Study to Investigate the Customer Loyalty Towards Airasia

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Chapter 1
1.0 Introduction:
Aviation industry falls under the transportation industry in Malaysia. By now 2010 there are a lot of airports in Malaysia with a number of aeroplanes which travels to various destinations across the country. However, for every single aspect there must be a history or background from where the airline or the first airport exists. With the humble beginning in the golden travel, in Malaya was commenced in 1937 when Wearnes Air Services (WAS) commenced operating service between Singapore, Kuala Lumpur and Penang. The first flight took place in 28 June 1937, which then departed at the brand new Kallang Airport. After that, Malaysia Airlines began in 1947 as Malayan Airways, but the company is publicly called Malaysia Airlines System. Then on 2 April 1947, MAL took the skies with its first commercial flights as the national airlines. Continuously improvement, the researcher believe there are majority of the people in Malaysia never believe if the researcher could mention that the another airport was placed in Kuala Lumpur and, known as Sungai Besi Airport which served as the main airport to Kuala Lumpur from the year of 1952 to 1965. However, today Sungai Besi Airport is used as the Royal Malaysia Air Force, Royal Malaysia Police Air Wing and the air unit of Malaysia Fire and Rescue Department base. It is proud information for Malaysia residents. Thus, this development never stop there and continue to develop in Subang International Airport which now known as Sultan Abdul Aziz Shah Airport, also familiar with the name of Skypark Subang. Subang Airport was officially opened to customers on August 30 in 1965 and had the longest runway in Southeast Asia replacing Sungai Besi Airport. As the airport started to boom, by 1990s, Subang Airport already had three terminals which is Terminal 1 for international flights, Terminal 2 for Singapore and Kuala Lumpur Shuttle flights by Singapore Airlines and Malaysia Airlines, and Terminal 3 for the usage of domestic flights. However, that airport suffered at least two major fires that force the customer traffic to find other airports. Thus, by the end on 199, Subang Airport was overwhelmed by 15.8 million passengers.

This innovation continue in 1990s the planning of Kuala Lumpur International Airport which is familiar with calling of KLIA, when Malaysia government decided that the existing Subang International Airport could not handle future demand. Thus, the construction started in the year the construction was order was on 1994 and the completion was in 1998. The new airport was open on 28 June 1998. With all the technology based and the good demand by the customers with all the qualified service, KLIA had achieve 4 star airport in 2010 and is estimate that KLIA will be one of the 5 star airport. Nevertheless, KLIA also is in the world top ranking at fifth place which is an improvement, because the previous year in 2009 KLIA was in the seventh place. This is a proud sign given to Malaysia by our government through aviation industry.

1.1.0 The airline industry in Malaysia.
Malaysia Airline or known as MAS was the first airline to start in Malaysia by the name Malayan airline. Based on the company’s report there are certain element we should taken into consideration, as in the company’s revenue. In, 31 December 2005 the company earn RM 9, 181, 338, straight away boost up to RM 13, 407, 240 by 31 December 2006 with the increase of RM 4, 225, 902. This is a remarkable increased value for MAS. Thus, in 31 December 2007, MAS able to increase the total revenue to RM 14, 630, 231 with the increase amount RM 1, 222, 991 not much compare to previous year. During 31 December 2008, MAS able to increase to RM 15, 035,303 with the changes of RM 405, 072 which quite a disappointment because it is even worst compare to the previous year. (Refer to appendix: Website referencing)

Besides that, MAS is the parenting company for FireFly. FireFly does contribute a...
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