"Low Cost Carrier" Essays and Research Papers

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Low Cost Carrier

airline markets around the world, control of operating costs and improved productivity have become critical to the profitability of airlines. The emergence and rapid growth of “low-cost” airlines is due in large part to their ability to deliver air transportation services at substantially lower costs and at higher levels of productivity than the traditional “legacy” airlines. In response, legacy airlines have had to find ways to reduce operating costs and improve the efficiency of how they utilize both...

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Is Low Cost Carriers Safe

Introduction Budget airlines, as you would guess from the name, offer inexpensive tickets -- sometimes as low as $50 for a one-way ticket. They manage this by cutting their own operating costs. How do they cut costs? There are many ways an airline can trim operating expenses, but budget airlines are most well-known for cutting back on passenger luxuries, or making passengers pay for luxuries à la carte. What's behind the success (and sometimes failure) of budget airlines? Do they cut corners on...

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Low-cost Carrier and Air Asia

network with neighboring countries in an effort to develop an open-skies agreement and grant landing rights to Air Asia. This worked to the advantage of the company now it could penetrate a bigger market and target a wider pool of customers. 2. Low price was the smartest marketing strategy Air Asia used. The company has done its research and found that there were a huge mass middle-class people that love to travel by plain. They targeted these people and offered them convenient and affordable...

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Delta Air Lines (a): the Low-Cost Carrier Threat

Delta Air Lines (A): The Low-Cost Carrier Threat Problem: Delta Airlines didn’t have a comprehensive response to low-cost carriers across functions. Option: Delta should launch its own low-cost carrier. Problems: Nearly all major airlines had done this unsuccessfully, proved unsustainable over time, never had a high-cost carrier transformed into a low-cost carrier. Since deregulation (1978) the average return on investment below cost of capital for the 5 largest carriers. Due to 9/11 the demand...

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Low Cost Carrier Impact

February 2003 English and French only THE IMPACT OF LOW COST CARRIERS IN EUROPE (Presented by Albania, Armenia, Austria, Azerbaijan, Belgium, Bosnia and Herzegovina, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, Moldova, Monaco, Netherlands, Norway, Poland, Portugal, Romania, Serbia and Montenegro, Slovakia, Slovenia, Spain, Sweden, Switzerland, The former Yugoslav Republic...

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Airlines: Low-cost Carrier and Airline Industry

not lasting a full 12 months in the industry and established low cost carrier company Kulula.com’s parent company Comair slipping into the red for the year ended December 2011 (Comair declares six-month loss amid rising costs, (n.d)). I will be discussing the macro-environmental forces that are affecting the domestic airline industry, with a focus on the South African industry. I will also analyse consumer behaviour in the low cost carrier market and the airline industry in general, by finding out...

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Strategies to Fight Low-Cost Rivals by Nirmalya Kumar

Strategies to Fight Low Cost Rivals Strategies: Strategy Use when Example Differentiate your offerings You can combine numerous differentiating factors. Consumers want the benefits your new offerings would provide. You can reduce the cost of benefits you would offer. HP’s restructuring has shrunk Dell’s cost adv from 20% to 10%. Customers have appreciated added benefits like instant deliver, ability to see Your traditional operation will become more competitive. Your low cost venture will...

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Discussion on price perception and service satisfaction would affect the development of Low Cost Carriers in Hong Kong airline industry

Research Proposal Topic area: Low Cost Carrier Discussion on price perception and service satisfaction would affect the development of Low Cost Carriers in Hong Kong airline industry Introduction There are four airlines in Hong Kong which are Cathay Pacific, Dragonair, Hong Kong Airline and Hong Kong Express. Cathay Pacific reveals merger-driven consolidation that Dragonair became a member of Cathay Pacific Group in 2006. On the other hand, HaiNan Airline acquired both Hong Kong Airline and...

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Case Study “Air Asia: Flying Low-Cost with High Hope”

study “Air Asia: Flying Low-Cost with High Hope”   TengAmnuay Thanat                                       1.  How  did  AirAsia’s  short-­‐haul  business  build  its  competitive  advantage?       LCC  Value  Chain   Aircraft  fleet   Cost  Leadership   Using  the  same  Airbus  A320-­‐200     -­‐ Lower  cost  in  terms  of...

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Airasia - Flying High with Low Cost Hopes

Briefly describe the trends in the global airline industry. Firstly, cost pressures on airlines continue to be high. The industry is facing many challenges on the cost side. For instance, jet fuel costs, which are directly correlated with oil prices, continue to rise. Airlines are generally unable to pass these costs onto the consumer, especially in the face of growing competition and price-sensitive markets. Nevertheless, these high fuel prices have motivated manufacturers to create more fuel-efficient...

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