WELCOME ON BOARD AT ECONOMICAL PRICES
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WELCOME ON BOARD AT ECONOMICAL PRICES
LET'S GET ON BOARD
LET'S TALK ABOUT AIR ARABIA
FOUNDED IN FEB 2003
115 DESTINATIONS USING 44 AIRCRAFTS
COMPANY SLOGAN: PAY LESS FLY MORE HEADQUARTERS: SHARJAH INTERNATIONAL AIRPORT
FIRST AND LARGEST LOW COST CARRIER
IN MIDDLE EAST AND NORTH AFRICA
HOW THEY SUCCEED IN PROVIDING LOW FARES ?PLUCKY CHOICE OF AIR CRAFTS
A320
A320S
PIONERRING TECHNOLOGIES TO BOOST EFFICIENCY AND REDUCED FUEL PRICES
ORGANIZATIONAL STRUCTURE
Arif Naqvi NON EXECUTIVE DIRECTOR
Sheikh Abdullah Bin Mohammed Al Thani CHAIRMAN
Adel Abdullah Al Ali CEO
Dr. Ghanem Al Hajiri INDEPENDENT DIRECTOR
Sheikh Khalid Bin Issam Al Qassimi INDEPENDENT MEMBER
STRENGTHS
THREATS
SWOT ANALYSIS
WEAKNESS
OPPORTUNITIES
STRENGTHS
TO DECREASE FUEL COST BY 4%
WEAKNESS
OPPORTUNITIES
TO EXPAND IN SOUTH ASIA AFRICA EUROPE
OPPORTUNITIES
CREATE MORE HUBS TO LINK ARAB WITH AFRICA
THREATSINTENSE COMPETITION
MAIN STRATEGY
• Expand no of products offered or Market served.• Increase in the number of employees,
revenue or Market share.
ACHIEVEMENTS
Air Arabia awarded for customer innovation at
first Aviation Achievement Awards.
Air Arabia named ‘Best Low-Cost Carrier’ at
World Tourism Forum Awards in Istanbul.
Best Low Cost Airline" at the
Aviation Business Awards 2015
Airline of the Year – Middle East" at the Aviation Business
Awards 2015
STATISTICAL HIGHLIGHTS
MINI CASE STUDIESQUESTIONS
Air Arabia has succeeded in profitably challenging big established airlines companies in the Middle East and North Africa. Why don’t all other airlines
apply the same business model as Air Arabia ?
LUXU
RY H
IGH
CO
ST
OTHERS AIRLINES TARGETS DIFFERENT SEGMENTS
What challenges does Air Arabia face? Do you think that the company will be able to maintain its leadership position in the LCC market in the Middle East and North Africa? What will happen if other airline apply the same business model as Air Arabia?There are a number of competitors of Air Arabia in low cost aviation industry which forces employees to work harder with limited resources. This results in greater employee dissatisfaction towards the workplace and more employee turnover rate.
The employees in Air Arabia were found to be less efficient and thus the company was compiled to increase its fare to sustain pressure of increasing oil prices. The main cause of this problem can be lack of motivation in the employees towards the company growth. Leadership position will depend on how Air Arabia will deal with employees.
Created By: Suraj Rajak, Nizam College Hyderabad during a Marketing Internship with
Prof. Sameer Mathur, IIM Lucknow
DISCLAIMER
Prof. Sameer MathurIIM Lucknow
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