Malaysia Airlines (A) Harvard Case Solution & Analysis

Vision

The vision of the company has been described below:

‘To become a preferred premium carrier around the world’

Despite the fact that there is an increased opportunity for the low cost carriers around the world and a decreased customer spending and purchasing power, the company has maintained its focus on providing premium airline services to its customers (Malaysia Airline, 2014).

Recovery Plan

While shedding lights on the continuous financial losses made by the company, Malaysia Airlines is focused on building a network that would yield increased profits for the company that would cover their losses. The strategy is also focused on bringing back its previous customers that had left utilizing the services of the airline due to the lack of confidence which was led by two incidents. The company is also focused on reducing the cost for its operations as the operating margins of the company had been declining since three years (Malaysia Airline, 2014).

Game Changers

The game changer strategy of the company is focused upon capturing the region based market share. The company aims to capture regional traffic by implementing different strategies in different regions. The other strategy to capture the market share devised by the company has been focused upon maintaining partnerships and alliances across different countries. Malaysia Airline is a part of One World Alliance which aims to provide cost efficient routes for frequent international travelers. This strategy has allowed the company to expand its destinations and service provision. The company also aims to strengthen its ancillary business. The company currently provides services of repair, maintenance, and overhauls and as well as in cargo. Therefore, profitability in these ancillary businesses would financially help the company in attaining its goals.

Foundations

The foundation strategies of the airliner are based on providing the branded customer experience where the image of the brand shall reflect the needs and desires of its customers. The company also aims to maintain continuous improvement in its business operations which may result in cost effective approaches and also result in the increased profitability for Malaysia Airlines. Creating a winning organization that shall bring fruitful returns to the company as it has been the foundation for Malaysia Airline.

What is Malaysia Airlines brand identity?

The identity of the Malaysia Airline brand is based on providing excellent in-flight customer experience to all of its customers. The company aims to post an image in the mind of its customers that it is a premium based airliner which aims to delight their customers on the basis of its customer service. Customer perceives the Malaysia Airline brand as highly lucrative while experiencing a life-time in-flight quality flying with Malaysia Airline. A wide customer perception is based on the culture that has been portrayed by Malaysia Airlines through its tangible cues and servicescape (Malaysia Airline, 2014).

However, due to the two recent incidents the consumer perception and their confidence have shifted and have made a diversion against the prior perception of consumer satisfaction. A fear has indulged the people of North America as customers avoid traveling through Malaysia Airlines. Therefore, the company has slightly shifted its brand identity strategy as it aims to develop consumer centric approach but as well as maximizing the profit (Malaysia Airline, 2014).

SWOT Analysis

Strengths

Malaysia Airline has a strong brand image since the company had initiated its brand name for over 70 years. The company has a backing of Malaysian government and it represents the image of the nation. The airliner has been operating around the world in more than 850 different destinations. The Malaysian airline is renowned for its best customer in-flight experience and provides the best airline service across the country and global. Due to an increase in the Malaysian Tourism, the company has benefitted heavily as revenues have tend to flow for the carrier along with the increase in traffic. As the airliner has government backing due to being the national flag carrier airline, the company is aided by the government whenever it is in a state of financial distress (Malaysia Airline, 2014).

The Malaysian Airline has a diverse revenues stream as it has different modes of business to generate revenues. The company generates revenues from the flight operations and as well as from cargo aircraft services. The other sources of revenues for the company include Maintenance, Repair, and Overhaul (MRO) of the aircraft, handling of the aircraft, and it also has two different airline subsidiaries by the name of Firefly and MASwings..............................

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