Category: Informative


In relation to the analytical framework for the Air Asia Company that deals with the airline transport services, there are a number of evident structures which define the source of pride for the accompany as a leading cost subsidy. For instance, in the SM process for analysis of the opportunities and threats for the Air Asia Company under the constraints of the conventional SWOT analysis, it is evident that the company is a cost price leader as an opportunity, while possible competition from other airline companies like the virgin company forms the threats.

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Consequently, the theoretical framework for the company under the constraints of PESTEL shows that the political trends bear a vast influence in the development of the company. For instance, the legislative roles for acquisition of merger endeavors between the Asia Airlines and the Asia Airlines-X could not be feasible for a joint business. On the other hand, the industry bears an economic and globalization setback in terms of capital remunerations for expansion. Moreover, the socio-cultural and environmental factors within the company depict lack of mutual understanding for joint venture activities, which is due to lack of funds for advancement of technological advancement.

Connectively, it indicates that for future advancement of the industry into joint venture activities, the technological aspect needs to be in a sound correlation with the activities within the organization. This is the key factor that would aid in research for potential harbors for expansion.


The generic competitive strategies within the Air Asia Airline company demonstrate that there is application of both cost leadership and brand differentiation, where the company practices a form of outsourcing for cheaper labor prospects for reduced costs of production. This has a positive impact on the profitability of the company without loss of quality. Consequently, differentiation is evident in the formation of trunk channels for transportation of both goods and people. This is evident in the industry charging a premium price that is geared towards attaining a higher margin of sales than the possible competitors. For instance, the company uses fuel efficient planes that cater for the added cost levied on guzzlers.

The role of the value chain in management systems within the industry suggests that there is a sound configuration of the value chain in relation to the strategies applicable. For instance, in reaching out for the low cost of production, the company has a form of outsourcing for prospective market bases. In addition, the core competencies for the company under the application of the generic strategies show that the company is readily available for merger with companies with similar business ideologies. This has a competitive advantage of increased capital for technological advancement.


The cultural implications of change management processes are defined in terms of values and behaviors of the society. This stems from the fact that culture is defined as “the process of integration of both the values and norms that are shared among a group of people and that when taken together, it constitutes a design for living.” This implies that culture has a feasible role in the evaluation of change management practices. For instance, in the Marks and Spencer case, the values of maintenance of quality among the stakeholders of the newly managed Penny bazaars saw a joint venture work out between Tom Spencer and Michael Marks. This is an evident form of change management strategy, where the management system of the M&S had to run on a new perceived outlook with the mandate of contributory ideologies of Marks as the executive and Spencer as the compatriot.

The cultural diversity in the change management process is evident in the case, where the visions for the new management systems within the M&S took the hierarchical perspective of one member overseeing greater roles than the other. It proves that the cultural web took root in the definition of the change management practice since the compatriots had a common behavior of articulation of quality. Moreover, the new outlook for the company had a sound platform for practicing of the rituals evident in the human resource management.

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