Preview

Pia: Marketing and Pakistan International Airlines

Powerful Essays
Open Document
Open Document
3935 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Pia: Marketing and Pakistan International Airlines
Executive Summary
The report highlights the current marketing mix of Pakistan International Airlines. This information supplied in this report is based on an interview with the Assistant Marketing Manager of PIA.

Pakistan International Airlines is the national flag carrier and was established in 1955. It not only provides transportation services, but its operations extend to providing cargo services and courier services also.

The private Airlines operating in Pakistan including Emirates, Air Blue, and Royal Airways etc are performing very well as far as the international flights are concerned, but they fail to cater the domestic market. Here Pakistan International Airlines differentiates itself by providing direct flights to distant areas, where other airlines are unable to stretch their network due to high cost. A flip side of this is that it is a liability on Pakistan International Airlines to cater this loss making sector, where most of the flights are not packed.

Pakistan International Airlines serves two markets – Domestic and International. In the domestic sector, it has out performed itself by stretching its networks to areas where other airlines do not fly to. In the international market it faces severe competition, especially due to the fact that these international organizations are providing fares much lower than Pakistan International Airlines.

Pakistan International Airlines major strength is its wide domestic network and high employee knowledge. It weaknesses include high fares, centralized decision making and ageing fleet. Pakistan International Airlines still has the opportunity and potential to innovate itself. Only then it can counter the increasing competition. Other threats to Pakistan International Airlines are increasing fuel prices and unstable government policy.
The main objective of Pakistan International Airlines is to provide better service to retain its customers and hence increase its profitability. This objective is

You May Also Find These Documents Helpful

  • Powerful Essays

    air canada vs west jet

    • 2334 Words
    • 10 Pages

    These report focuses on comparing the strategies between air Canada and WestJet. It does this by first discussing a brief background of the airlines together with their objectives. In addition, the paper goes a mile further to discuss how the two airlines carry out their market research and also the marketing tools they apply. Furthermore, it also gives an opinion on whether their strategies are in line with their objectives. Moreover, it also discusses the similarities and differences between the airlines’ strategies not forgetting the influence of the national or local government on their strategies. The conclusion gives a brief summary of the entire report.…

    • 2334 Words
    • 10 Pages
    Powerful Essays
  • Good Essays

    The Southwest Airlines can also remain competitive by fully utilizing its stronghold, financial stability. This concept can be achieved by expanding its territories margins to venture into new market segments, upgrading its facilities, as well as buying new airlines. Although these initiatives might be costly, but they guarantee the company’s competitiveness in the future as it introduces the company to bigger markets. These measures ensure the company retains their current established market shares and helps the airline in gaining new market shares as well. These strategies will also eliminate copycats and maintain the company’s uniqueness in the type of products and services it offers to its customers. Failure to adapt these recommendations will leave Southwest Airlines at the same sport and this will be an advantage for the competitors that will steal the airline’s strongholds and use it against themselves making the competitors more beneficial.…

    • 793 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Carrols experience of poor baggage handling was published in the web which received widespread exposure in mainstream media.…

    • 507 Words
    • 3 Pages
    Good Essays
  • Good Essays

    Southwest Airline’s successful strategy consists of three complementary qualities which are focus, divergence and compelling tagline. This short-haul airline believes that by focusing on friendly service, speed and frequent point-to-point departures, its low pricing is able to compete against car transportation. While other competitors try to delight customers by investing in meals, airport lounges and seating selections, Southwest chooses to eliminate or reduces investments in these industry’s competitive factors. As a result, Southwest’s low prices are unbeatable making them the preferred airline in the industry. With a divergence element in Southwest’s strategy, it is able to innovate and stand apart from its competitors. Instead of competing in the existing hub-and-spoke systems, Southwest created a new competitive factor by pioneering point-to-point travel between midsize cities. This niche strategy turns out to be a huge success as by avoiding congested major airports in big cities, travelers are able to reach their destinations on time and closer to downtown areas compared to major airports faraway from cities. A compelling tagline is another crucial element for effective strategy. Southwest’s tagline which goes “The speed of the plane at the price of the car- whenever you need it” is memorable enough to stay in the minds of travelers. It delivers a clear message and promotes exactly what Southwest Airline has to offer.…

    • 633 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Air France Case

    • 940 Words
    • 4 Pages

    Easy access to finance has made it very easy for potential entrants to entre the airline market. In addition, airline industry still enjoys high class status in society, therefore entrance of big corporate houses in this domain is very much probable. Airline industry is mostly dominated by two suppliers Boeing and Airbus. Therefore, airline industry need to rely on these two suppliers for necessary supply. At the same time, on a positive note, there isn’t cutthroat competition among suppliers. The bargaining power of the customers in airline industry is not very high since willingness to purchase the airline ticket does not vary much with reasonably increased priced ticket. Therefore buyer does not put pressure on the airline or the prices of tickets. Airline industry is very competitive industry. This competitiveness in combination with rising fuel costs substantially affects profit margin for the airlines.…

    • 940 Words
    • 4 Pages
    Powerful Essays
  • Powerful Essays

    The airline industry at present consists of fierce competitiveness where the market leader is a company who delivers their service in a more meaningful and efficient way than its competitors. Taylor (2006) states that today’s customers will not settle for less as they continue to grow more service savvy raising their expectations ranging from convenience in purchasing airline tickets to the helpfulness of employees. If customers are not satisfied, they will simply refuse to purchase the service provided and look elsewhere.…

    • 3376 Words
    • 14 Pages
    Powerful Essays
  • Better Essays

    The Airline industry provides a very unique service to its customers. It transports people with a high level of convenience and efficiency that cannot not be provided by any other industry or substitute. Airline companies pride themselves on the way they treat their customer during the flight. They have things such as food, drinks, entertainment, and a welcoming staff. The service of transportation is provided in other industries but the airline surpasses all of them when it comes to timeliness. The geographic scope of the airline industry is at a global level. Some firms are able to fly their planes all over the world while others focus on smaller geographic areas.…

    • 1541 Words
    • 5 Pages
    Better Essays
  • Satisfactory Essays

    Southwest Airlines Eassy

    • 4579 Words
    • 19 Pages

    The purpose of this paper is to analyze how Southwest Airlines (Southwest) developed a sustainable profitability based on its different strategies. It also shows how it succeeds in the US Airline Industry and how it differentiates its service from its competitors. The analysis includes the Strengths, Weakness, Opportunities and Treats (SOWT) for Southwest and other…

    • 4579 Words
    • 19 Pages
    Satisfactory Essays
  • Better Essays

    R, Doganis. The airlines business in the 21st century. Published in the USA and Canada by Routledge. Pages (44, 76,79 and 126). Reprinted 2001 (twice), 2002…

    • 2051 Words
    • 9 Pages
    Better Essays
  • Good Essays

    The state owned airlines suffer the maximum from this problem. These airlines have to make several special considerations with respect to selection of routes, free seats to ministers, etc which a privately owned airline need not do. The state owned airlines also suffers from archaic laws applying only to them such as the retirement age of the pursers & hostesses, the labour regulations which make the management less flexible in taking decision due to the presence of a strong union, & the heavy control &interference of the government. This affects the quality of the service delivery & therefore…

    • 820 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Case Analysis “Southwest Airlines 2008” 1. Would you consider the airline industry as attractive to compete in? NOTE: explore opportunities and threats for being in the industry. Yes, if we can find an unique business model to deliver value to customers with profitable level.  Opportunities of airline industry are,  "The global economy is recovering from the depths of the financial crisis much more quickly than could have been anticipated. Airlines are benefiting from a strong traffic rebound that is pushing the industry into the black," IATA CEO Giovanni Bisignani said in a statement.  Open skyies agreement draw new enters attentions and also open the opportunities to new markets.  Peoples like to do self service than ever which reduce much operating cost.  More and more customers prefer to have less food but cheaper fare; In another way, some people prefer to pay more for luxury reason.  Demand on China route is creasing dramatically.  Threats of airline industry are,  Planes, fuel, gates, major…

    • 966 Words
    • 4 Pages
    Satisfactory Essays
  • Good Essays

    The Classic Airlines scenario offers numerous examples of the marketing concepts found in Marketing Management.…

    • 634 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Air Asia-Marketing Plan

    • 781 Words
    • 4 Pages

    Competition in the airline industry is very intense and growing rapidly. The airlines are using several strategies to compete with one another in the industry. Airline companies need to identify their strategic management to achieve their vision and mission and Air Asia is no exception.…

    • 781 Words
    • 4 Pages
    Better Essays
  • Powerful Essays

    This paper will discuss the two airlines: Southwest and United Airways. United Airways is an organization that conducts business in both the domestic market and the global market. Southwest is domestically located in the United States only, however, the airline also announced that a new international booking system is being developed, and there are plans to build a new five-gate international terminal at Hobby Airport in Houston by 2015.” (Southwest is Going International, 2012) This paper will discuss process or procedure that is similar between both airlines in detail from the beginning to the end. This paper will explain why the process or procedures produces a competitive product or service in the domestic and global markets. An explanation of how quality management affects the position of the airline companies in the domestic and global market will be discussed as well.…

    • 1048 Words
    • 5 Pages
    Powerful Essays
  • Powerful Essays

    Railways

    • 7554 Words
    • 31 Pages

    Pakistan Railways (reporting mark PR) is a national state-owned rail transport service of Pakistan, head-quartered in Lahore. It is administered by the federal government under the Ministry of Railways. PR provides an important mode of transportation throughout Pakistan. It is commonly referred to as the "life line of the country", by aiding in large-scale movement of people and freight throughout Pakistan.Pakistan Railways (PR) is the state owned railway company of Pakistan. It is a large organization under the administration of Ministry of Railways. Pakistan Railways provides an important mode of transportation in the farthest corners of the country and brings them closer for business, sightseeing, pilgrimage and education. The current Chairman is Muhammad Arif Azim.…

    • 7554 Words
    • 31 Pages
    Powerful Essays