Preview

Mas's Poters Five Forces

Powerful Essays
Open Document
Open Document
2070 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Mas's Poters Five Forces
Malaysia in the aftermath of economic crisis Malaysia Airlines had from a surplus to a deficit. The MAS has changed over to state enterprise and inaugurated a new CEO from the government. He started the business turnaround plan was changed MAS system. Since then the business turnaround plan and efforts record a surplus and they cancel small income root in order to make more profit. In addition, they were converted from ‘Point to Point’ to ‘Hub and spoke’.
The hub and spoke model is almost all of the airline’s aircraft flies on spokes between destinations and the hub, with very few direct flights between other destinations. (“What is the Hub and Spoke Model?,” n.d., para. 1).
The MAS Way provides the framework for our Business Turnaround Plan: 1. Flying to win customers- MAS will reconfigure our network and our product portfolio to ensure that they have the tools and capabilities to be a top-tier player in each of the markets we serve. 2. Mastering operational excellence- MAS will build a unique operating capability unmatched by our peers. 3. Financing and aligning the business on profit and loss- MAS will relentlessly increase profits with the support of a world-class finance function that ensures true financial accountability, transparency and performance orientation in our business. 4. Unleashing talents and capabilities- MAS is committed to their people. They strongly believe that the MAS employees and managers have both the passion and talent to achieve whatever goals we set for ourselves. 5. Winning coalitions- MAS know that they cannot achieve their goals alone. MAS need the resolute support of the Government, its employees, managers, customers, suppliers, agents and investors. (Malaysia airlines, 2006)
While MAS has award-winning products and services, competitive cost base, and only slightly below average load factors, they yields are dramatically lower than their competitors. Therefore, they immediate problem is one of low cash and

You May Also Find These Documents Helpful

  • Powerful Essays

    there is a strong motivation to work as a team and deliver what is necessary to survive the…

    • 4257 Words
    • 26 Pages
    Powerful Essays
  • Satisfactory Essays

    Newell Case Analysis

    • 366 Words
    • 2 Pages

    -Their strategy is to increase their sales and profits by offering a wide range of products and reliable service to the mass retail channel.…

    • 366 Words
    • 2 Pages
    Satisfactory Essays
  • Best Essays

    “United and Continental transport people and cargo through their mainline operations, which utilize full- sized jet aircraft, and regional operations, which utilize smaller aircraft that are operated under contract by United Express, Continental Express and Continental Connection carriers” (UAL, 2011, p. 4).…

    • 2778 Words
    • 12 Pages
    Best Essays
  • Powerful Essays

    Herman Miller Essay

    • 1260 Words
    • 6 Pages

    High performance at all levels to enrich their lives, delighting customers and creating value for shareholders.…

    • 1260 Words
    • 6 Pages
    Powerful 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
  • Good Essays

    final private security

    • 2763 Words
    • 9 Pages

    Continuously improving on all aspects of our business while building on our culture of excellence…

    • 2763 Words
    • 9 Pages
    Good Essays
  • Powerful Essays

    Creating a Ppd Plan

    • 2379 Words
    • 10 Pages

    Excellent performance in this area results in being able to: • ensure that there is a well-communicated innovation strategy that fits with the overall vision of the business • motivate…

    • 2379 Words
    • 10 Pages
    Powerful Essays
  • Satisfactory Essays

    Hub and Spoke Systems

    • 355 Words
    • 2 Pages

    The hub and spoke model is a system which makes transportation much more efficient by greatly simplifying a network of routes. It is extensively used in commercial aviation for both passengers and freight, and the model has also been adopted in the technology sector as well. Delta Airlines pioneered the method in 1955, but it wasn't until the 1970s, when the FedEx Company took advantage of the concept, that the method really took hold, revolutionizing the way airlines were run. The model is named after a bicycle wheel, which has a strong central hub with a series of connecting spokes. In the sense of aviation, an airline routes all of its traffic through one central hub or hubs; Dallas and Detroit, for example. Almost all of the airline's aircraft flies on spokes between destinations and the hub, with very few direct flights between other destinations. Routing all the traffic through the hub actually makes the overall system more efficient.…

    • 355 Words
    • 2 Pages
    Satisfactory Essays
  • Better Essays

    Motivational Theories

    • 1692 Words
    • 6 Pages

    An organization’s success is built and defined on its strategy and goal for the company. In order for an organization to achieve its goal, it must be shared with the whole organization. This includes the employees as well as stockholders feeling connected to the company and motivated to reach these goals usually by some type of compensation.…

    • 1692 Words
    • 6 Pages
    Better Essays
  • Good Essays

    3. Excellence In a risky sector like ours, we are committed to excellence through a systematic and disciplined management of our operations. We met and defend the rules and standards we set for our company. We are committed to quality results, we want to learn and improve.…

    • 966 Words
    • 4 Pages
    Good Essays
  • Satisfactory Essays

    Five Forces

    • 582 Words
    • 3 Pages

    * Let’s take the Sky TV case as a typical example of penetration pricing. Sky TV is launched with a very low price, when many companies started using them, their prices continued to climb, however the product offered is good, so it continues to be used. This example also means that when Manac applies this method for their customized product, they need to concern more about after-sale service.…

    • 582 Words
    • 3 Pages
    Satisfactory Essays
  • Powerful Essays

    Our group will be explaining the Human resource management of the company Mobilink GSM company originated in 1994 which provides the best cellular services within Pakistan.…

    • 1100 Words
    • 5 Pages
    Powerful Essays
  • Good Essays

    The purpose of writing this report is to explain the business operation within the Malaysia Airlines; it includes the procedures, processes and systems that Malaysia Airlines utilizes in order to carry out its day to day services. Nothing less, we also intend to highlight the importance of being effective and efficient in running the whole operation processes in the Airline Industry.…

    • 7120 Words
    • 29 Pages
    Good Essays
  • Good Essays

    There is a high barrier entering airlines industry since it requires high capital to set up everything such as purchase or lease air craft, set up office, hire staffs, and etc. Thus, this has reduced the treat to Malindo Airline. Moreover, brand awareness is quite important in this industry. Hence, to enter this industry not only required high capital but also have to take some time to create brand awareness. Consumers always choose the product or service they really trust. Thus, instead of creating brand awareness, new entry has to create so called brand loyalty. Hence, this is reducing treat to Malindo too. However, the government legislation is one of the barriers for entering airlines industry. For example, MAS has been protected by Malaysia government on the route to Sydney and Seoul Incheon. Therefore Malindo find itself very difficult getting a new route from government. This not only affects the timeline set by Malindo but also influence their profit. Nevertheless, this has limited the new entrance due to the government policy. In overall, the treat of entry is low to Malindo.…

    • 821 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    From its inception, it has not been plain sailing for the planned share swap between two of the country 's most bitter airline rivals — Malaysia Airlines (MAS) and AirAsia — given the many issues involved.…

    • 3089 Words
    • 13 Pages
    Powerful Essays

Related Topics