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Essay / Research Paper Abstract
This 4 page paper presents a PEST analysis looking at the political, economic, social and technological influences that are, and may be felt, by two airlines; British Airways and Air Asia. The bibliography cites 4 sources.
Page Count:
4 pages (~225 words per page)
File: TS14_TEAABAPEST.rtf
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Unformatted sample text from the term paper:
up in 2001 and does directly compete with BA due to the different market, but with increases in air passengers expected over the next decade it is likely that the
two airlines are going to see more of each other as the air industry changes and develops, especially as Air Asia is now serving Europe, with the service starting on
the 11th March 2009 between Kuala Lumpur and Heathrow. The airlines will see different influence, there will also be common influences, this can be seen by looking at a PEST
analysis. In political terms both airlines are benefiting from decreasing trade barriers and the open skies agreements that are making it more possible for airlines to travel to more destinations.
The decreased trade barriers are also making it more possible for the airlines to undertake strategic alliances and code sharing. Over the next decade it is likely that the falling
trade barriers that are seen will further encourage international flights. Air Asia has some more direct political influences it has to deal with, including the direct influence of the Malaysian
Government. This was seen with the way that the airline was denied permission by the government to use Surbang as a hub, interestingly permission was later granted to the subsidiary
airline of MAS; Firefly. This indicates that there is a degree of bias within the government in the way the industry is being regulated and controlled in Malaysia. The Airline
has also been subject to political criticism, as MPs have condemned the uniform used by the air hostesses as too sexy, at the United Malays National Organization (UMNO) annual
congress Zaleha Hussin argues that the uniforms, which exposed calfs, knees and thighs was inconsistent with Malaysia being a Islamic nation (The China Post, 2007). The criticism is likely to
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