CHAPTER V CONCLUSION & RECOMMENDATION

Size: px
Start display at page:

Download "CHAPTER V CONCLUSION & RECOMMENDATION"

Transcription

1 CHAPTER V CONCLUSION & RECOMMENDATION 5.1 Conclusion In this case study can be concluded that Garuda Indonesia management team under command of CEO Emirsyah Satar has manage a successful turn-around of the national flag carrier and layout firm foundation to further expand the airline. The turn-around stages followed a pattern explained by John L. Thompson, retrenchment and turn-around strategy. The retrenchment, clearly shown in Survival Stage of Garuda Indonesia Strategic Path , in which the airline reduced negative cashflow, improved revenue and cost efficiency. Entering the turn-around, in , the airline launched a series of transformation including organization transformation, product & service improvement, as well as network expansion. The management also covered the three dimension of a turn-around, which is financial side, strategic side, as well as pride side. Successful debt restructuring and cash flow management has enabled the airline to build foundation to grow its business. On the strategic side, a comprehensive long term strategy has guide the airline to get away from difficult water and start to fly again. Last but certainly not least, the management also touched the pride side by leading the people in new corporate culture toward high performing organization, as well as conducted a series of transformation, breathing a new spirit into the company. Flying to Europe is not merely after a revenue, but in broader sense, energizing the people inside the

2 company and telling the world to see the new Garuda Indonesia is about to take off again. Analysis on the marketing strategy of Garuda Indonesia revealed that its turnaround has been made possible through appropriate marketing decision in term of Segmentation, Targeting, and Positioning, as well as a great combination of Product, Pricing, Place and Promotion. Having segmenting the air travel market, the airline made conscious decision to target customer in business and leisure segment, grabbing the middle upper section of the market. With a good understanding of its target market, Garuda Indonesia positioned itself as full service airline offering a unique concept of service, indulging its passengers senses with Indonesian best. With its differentiation strategy, the airline tailored a balance trade-off in term of product and pricing, resulting in unique service proposition at reasonable cost, generating optimum revenue. The airline also aware the importance of managing its distribution channel properly to sustain its business, as well as appropriate promotion and communication mix. All in all, Garuda Indonesia has greatly improved its overall performance. Its success is not an overnight one but a combination of well-thought strategy and careful yet consistent execution, supported by strong leadership. It s not a one man show, but as the CEO said, it s a team work efforts, it wouldn t be possible without

3 the help of every employee. Truly, it s the team work that allowed the pride of nation to once again, fly ever higher. 5.2 Recommendation In our opinion, Garuda Indonesia has laid out a very impressive turn-around grand strategy and actually performing its strategy very well also. However we have identified several issues to be highlighted in regards to the airline strategy. Reclaim Domestic Domination Revitalize Citilink LCC Indonesia s Air Travel domestic market is still considered price sensitive. This is evidenced through the rising popularity of low-cost travel enabled by Low- Cost Carriers (LCCs). The last couple years we have seen rapid growth of LCCs with aggresive marketing campaign. Although it s arguably that these LCCs expand the market by creating new demand and capturing new travellers, we believe that they shifted Garuda Indonesia market dominance in domestic flights. In 2008, Garuda Indonesia still holds 23% market share, but it is sliced to 19,28% in Unlike other national airlines, the full-frills Garuda Indonesia brand is still associated with high price. This association simply brought a deterrent factor for prospective customers with low budget/low income. And to simply follow price war is certainly not an option for the company since it operates with completely

4 different business model, catering a more premium segment that may be damaged by doing so. However, with analyst predicted that in years to come LCCs will continue their reigns especially in short-haul domestic flights; Garuda Indonesia certainly has to fight back and recaptured its market share. Still catering their premium segment of air travelers, Garuda Indonesia has to revitalize and seriously develops their LCC SBU Citilink, extending and leveraging its main-brand. Repositioning should be carefully done, with Garuda Indonesia giving up some less favorite time slot on certain route to be market as Citilink product, giving customers the option of low-cost travel using Garuda Indonesia-operated aircrafts. To fully revitalized SBU Citilink, a spin-off is debatable one of the option. But as we want to leverage the Garuda Indonesia brand, we suggest keeping the SBU intact under one roof. Assign a member of the board in charge of the SBU instead of currently a VP would give the SBU enough delegation of authority it needed to develop. As we will not extend the discussion in company reorganization, we only cite a good example of SBU organization in Banking institution, i.e. Bank Mandiri, where C-level executive is actually direct and supervise a SBU. Furthermore, the company needs to allocate at least 10 aircrafts to develop budget travel segment. The two aircrafts currently in Citilink s fleet assigned hardly give room for development of its customer base. Given the limited resources, Garuda

5 Indonesia may selectively utilize its classic Boeing 737 series which to be phased out from main-brand services. The SBU Citilink has to be consistent in term of low cost business model adopted. Being in the same roof with Garuda Indonesia does not mean its overhead cost should be same, especially in cockpit crew and cabin crew cost. The way out for this is having a different recruitment process, offering contractual base employment and benchmark for attractive compensation package among LCCs. Potential dense route to be served must be identified, i.e. CGK-JOG, CGK- SUB, CGK-DPS, as well as explore new potential route enabled by low-cost proposition. Keeping an eye on where the competitors fly is a good idea in this exploration. Strengthen Regional Presence Focus Business Travel Being followed closely by Indonesia AirAsia in number of international passenger carried, Garuda Indonesia should also give focus to strengthen regional presence. Indonesia AirAsia mostly carried the passenger to their homebase in Kuala Lumpur, feeding the passengers to their main carriers AirAsia to be travelled to more distant destination including Hong Kong, Korea, Japan, Australia and even London. Based in perceived less-preferable hub, Garuda Indonesia should join forces with Government and Airport Management to make Indonesian airports more

6 desirable hubs. Polonia Medan might be a potential airport to serve as hub for regional market in addition to Denpasar Bali, catering flights to Far East region as well as Australia region. Also as suggested by IATA, the company must follow the region economic growth and capture business travel potential in the area. The regional market in Far East Japan and South Korea, is also a common hub for connecting flights to America. By having an interline agreement, i.e. Korean Airlines, Garuda Indonesia can also offer its customers connection to North America destination while strengthening its presence in the regional market. Expand International Network Alliance Partnership Since termination Garuda Indonesia s route to Amsterdam in 2004, practically no non-stop flight available to Western Europe. KLM operates to Amsterdam via Kuala Lumpur while Lufthansa serves Frankfurt via Singapore. Both Singapore Airlines and Malaysian Airlines offered connecting flight to Europe and United States through their home base. The MEB3 airlines are currently serving international flight with Emirates and Etihad serving their home bases non-stop from Jakarta while Qatar Airways currently serves Doha from Jakarta via Singapore, connecting flight to Europe or United States also available from their home base as well as their focus city in Singapore.

7 Re-entering this long-haul international routes, Garuda Indonesia should carefully better positioned itself among established carriers serving the routes and offer better value proposition in this sectors. Taking example from Jakarta- Amsterdam routes served by Garuda Indonesia through Dubai with Airbus aircrafts. Emirates Airlines, a 4-star airline rated by SkyTrax, also serve the same exact route with significantly cheaper airfare and more comfort enabled by larger aircraft, Boeing 777 series. With delivery of 10 Boeing ER, Garuda Indonesia will certainly have a better proposition to serve this sector, but positioning remains a vital part to market the product. Garuda Indonesia will need to review its product & pricing trade-off in comparison with other airlines competing in same sectors. With majority potential passengers fall into leisure travelers, in our opinion the airline may stand better chance positioning itself as affordable luxury to European market, focusing on leisure travelers while seducing business travelers. The first may also greatly appreciate packaged holiday, bundled with Aerowisata Hotel chain, while the latter certainly look for attractive frequent flyer program as long haul route will boost their mileage awards. We do however suggest Garuda not to expand exhaustively to these long-haul routes as it s also a potential bloodbath with existing carriers, having severed the airline s performance in the past. Instead Garuda Indonesia should put more effort in joining alliance, as it also will make its frequent flyer program more attractive, especially for business travelers. As of 2010, the company is still in progress to join

8 SkyTeam. The alliance consists of 13 members including Korean Airlines, KLM, and Delta Airlines. In our opinion, instead of expanding its international network and exhausting its limited resources, the company can operate code-shares with other airlines (and later alliance members, upon joining alliance). For example, instead of flying to 5 different cities in Europe, Garuda Indonesia can enter interline agreement with KLM to connect its passengers to extensive European network with more favorable prices, an agreement that at the moment is not being pursued. Another similar case is for North America destinations, instead of flying the ultra-long route to the continents, Garuda Indonesia can setup interline agreement with Korean Airlines (KAL) connecting its passenger to KAL s trans-pacific flights bound to west. By doing so, Garuda Indonesia will certainly brings greater value to its customers, and at the same time sealed their loyalty even further.

Thank you for participating in the financial results for fiscal 2014.

Thank you for participating in the financial results for fiscal 2014. Thank you for participating in the financial results for fiscal 2014. ANA HOLDINGS strongly believes that safety is the most important principle of our air transportation business. The expansion of slots

More information

Introduction: Airline Industry Overview Dr. Peter Belobaba Presented by: Alex Heiter & Ali Hajiyev

Introduction: Airline Industry Overview Dr. Peter Belobaba Presented by: Alex Heiter & Ali Hajiyev Introduction: Airline Industry Overview Dr. Peter Belobaba Presented by: Alex Heiter & Ali Hajiyev Istanbul Technical University Air Transportation Management M.Sc. Program Network, Fleet and Schedule

More information

TRANSFORMING INTO A GLOBAL CHAMPION

TRANSFORMING INTO A GLOBAL CHAMPION TRANSFORMING INTO A GLOBAL CHAMPION Benjamin Smith President, Passenger Airlines August 31, 2015 TRANSFORMATION PLAN ACCELERATED, BALANCED TRANSFORMATION OF AIR CANADA TOWARD SUSTAINED PROFITABILITY Between

More information

Building procurement capability through transformation. Jane Harley, Chief Procurement Officer Qantas Group

Building procurement capability through transformation. Jane Harley, Chief Procurement Officer Qantas Group Building procurement capability through transformation Jane Harley, Chief Procurement Officer Qantas Group SECTION TITLE HERE Heading here Group multi-brand structure Australia & New Zealand Singapore

More information

QANTAS HALF YEAR 2015 FINANCIAL RESULTS 1

QANTAS HALF YEAR 2015 FINANCIAL RESULTS 1 QANTAS HALF YEAR 2015 FINANCIAL RESULTS 1 Key points: Underlying Profit Before Tax: $367 million Statutory Profit After Tax: $206 million Transformation benefits: $374 million Comparable unit cost reduction:

More information

ANA HOLDINGS Announces Mid-Term Corporate Strategy for FY ~Strengthening the foundations of the business and looking into the future~

ANA HOLDINGS Announces Mid-Term Corporate Strategy for FY ~Strengthening the foundations of the business and looking into the future~ ANA HOLDINGS NEWS ANA HOLDINGS Announces Mid-Term Corporate Strategy for FY2018-2022 ~Strengthening the foundations of the business and looking into the future~ TOKYO, February 1, 2018 ANA HOLDINGS (hereinafter

More information

Leaps and Bounds. A Conversation With Pham Ngoc Minh, President and Chief Executive Officer, Vietnam Airlines, Pg 18.

Leaps and Bounds. A Conversation With Pham Ngoc Minh, President and Chief Executive Officer, Vietnam Airlines, Pg 18. A MAGAZINE FOR AIRLINE EXECUTIVES 2008 Issue No. 2 T a k i n g y o u r a i r l i n e t o n e w h e i g h t s Leaps and Bounds A Conversation With Pham Ngoc Minh, President and Chief Executive Officer,

More information

ANA HOLDINGS Financial Results for FY2014

ANA HOLDINGS Financial Results for FY2014 ANA HOLDINGS NEWS ANA HOLDINGS Financial Results for FY2014 TOKYO, April 30, 2015 ANA HOLDINGS (hereafter ANA HD ) today reports its consolidated financial results for fiscal year 2014 (April-March). Highlights

More information

SUNWAY UNIVERSITY BUSINESS SCHOOL

SUNWAY UNIVERSITY BUSINESS SCHOOL SUNWAY UNIVERSITY BUSINESS SCHOOL FINAL EXAMINATION FOR THE BSc (HONS) IN BUSINESS STUDIES ACADEMIC SESSION SUBJECT : AUGUST 2013 SEMESTER : MKT3074 MARKETING STRATEGY EXAMINATION : DECEMBER 2013 TIME

More information

LCCs: On the verge of making it big in Japan?

LCCs: On the verge of making it big in Japan? The announcement that AirAsia plans a return to the Japanese market in 2015 is symptomatic of the changes taking place in Japanese aviation. Low cost carriers (LCCs) have been growing rapidly, stealing

More information

ANA HOLDINGS Management Strategy Update

ANA HOLDINGS Management Strategy Update ANA HOLDINGS NEWS ANA HOLDINGS Management Strategy Update TOKYO, April 28, 2017 - ANA HOLDINGS (hereafter ANA HD ) today provides an update to its FY2016-2020 Mid-Term Management Strategy, set out in January

More information

For personal use only

For personal use only Half Year Results Press Conference Remarks by Qantas CEO Alan Joyce 21 February 2013 Good morning. Thanks for joining us for the Qantas Group result for the six months ended 31 December 2012. The Group

More information

The Lufthansa Group in Panama A Successful Launch of Operations a six month retrospective

The Lufthansa Group in Panama A Successful Launch of Operations a six month retrospective The Lufthansa Group in Panama A Successful Launch of Operations a six month retrospective Felipe Bonifatti General Manager for Central America & the Caribbean Panama Business Day Hamburg, October 20 th,

More information

NETWORK DEVELOPMENT AND DETERMINATION OF ALLIANCE AND JOINT VENTURE BENEFITS

NETWORK DEVELOPMENT AND DETERMINATION OF ALLIANCE AND JOINT VENTURE BENEFITS NETWORK DEVELOPMENT AND DETERMINATION OF ALLIANCE AND JOINT VENTURE BENEFITS Status of Alliances in Middle East Compared with other world regions, the Middle East is under represented in global alliances.

More information

Significant strategic developments announced today

Significant strategic developments announced today Qantas Airways Limited Building a Stronger Qantas August 2011 Executive Summary Significant strategic developments announced today Initial Phase of comprehensive plan to turnaround the Qantas International

More information

For personal use only

For personal use only QANTAS GROUP MARKET UPDATE SYDNEY, 5 December 2013: The Qantas Group today announced a market update, accelerated cost reductions and a capital expenditure and structural review, in response to fundamentally

More information

PT GARUDA INDONESIA (PERSERO) Tbk.

PT GARUDA INDONESIA (PERSERO) Tbk. PT GARUDA INDONESIA (PERSERO) Tbk. Analyst Meeting & Presentation 9Months 2013 Result Announcement Jakarta, 6 November 2013 Delivering Indonesia s Best to the World 0 Shareholders & Performance List of

More information

Passenger: 17.2 Million (+3.9% yoy) OTP: 85.8% SLF: 73.3% Subsidiaries Operating Revenues US$415.2 Million Cargo Carried 219.4K ton (+10.

Passenger: 17.2 Million (+3.9% yoy) OTP: 85.8% SLF: 73.3% Subsidiaries Operating Revenues US$415.2 Million Cargo Carried 219.4K ton (+10. Value* 14.78 3.36 4.97 Volume** 32.85 9.59 13.43 Last Price 423 342 348 Market Cap.*** 8.74 8.85 9.01 Note: * Average Value in Billion Rupiah ** Average Volume in Million *** Market Capitalization in Trillion

More information

Record Result. 2006/07 Full Year Results Investor Presentation. Moved on successfully following bid. Profit before tax % to $1,032 million

Record Result. 2006/07 Full Year Results Investor Presentation. Moved on successfully following bid. Profit before tax % to $1,032 million 2006/07 Full Year Results Investor Presentation August 16 2007 Record Result Moved on successfully following bid Profit before tax + 53.8% to $1,032 million Group returning above Cost of Capital 2 Key

More information

THE FUNDAMENTALS OF ROUTE DEVELOPMENT SETTING THE SCENE MODULE 1

THE FUNDAMENTALS OF ROUTE DEVELOPMENT SETTING THE SCENE MODULE 1 THE FUNDAMENTALS OF ROUTE DEVELOPMENT SETTING THE SCENE THE FUNDAMENTALS OF ROUTE DEVELOPMENT Mike St Laurent Vice President, Consulting - ASM ASM BACKGROUND Global consultancy founded in 1993 to provide

More information

2004/05 Full Year Results Presentation to Investors

2004/05 Full Year Results Presentation to Investors Geoff Dixon Chief Executive Officer 2004/05 Full Year Results Presentation to Investors 18 August 2005 Group Highlights 12 months to June 2005 12 months to June 2004 Increase/ (decrease) % Sales and operating

More information

TRANSFORMATION. Briefing. Thai Airways International PCL. 5 February 2015

TRANSFORMATION. Briefing. Thai Airways International PCL. 5 February 2015 Thai Airways International PCL 5 February 2015 TRANSFORMATION Briefing Operating Environment Environment Changes SEA was Asia s hub Middle East emerging as the new World hub Longer range aircraft technology

More information

Queensland Tourism Aviation Blueprint to 2016

Queensland Tourism Aviation Blueprint to 2016 Queensland Tourism Aviation Blueprint to 2016 tq.com.au Blueprint outline The purpose of the Queensland Tourism Aviation Blueprint to 2016 is to develop the strategic framework that will guide aviation

More information

Qantas Airways Limited. Nomura Conference 30 November Qantas Group. Gareth Evans Chief Financial Officer

Qantas Airways Limited. Nomura Conference 30 November Qantas Group. Gareth Evans Chief Financial Officer Qantas Airways Limited Nomura Conference 30 November 011 Qantas Group Gareth Evans Chief Financial Officer The Qantas Group Our Operations Qantas Group is the eleventh largest airline in the world based

More information

Jakarta, 3 May Analyst Meeting. Q1/ Corporate Performance

Jakarta, 3 May Analyst Meeting. Q1/ Corporate Performance Jakarta, 3 May 2018 Analyst Meeting Q1/2018 - Corporate Performance Shares Information 6,750 GIAA IJ Equity - Last Price (R1) JCI Index - Last Price (L1) 294 6,188.987 600 6,500 6,189 6,250 6,000 550 500

More information

AVOIDING TURBULENCE. The risks and opportunities of airline consolidation for corporate travel programs

AVOIDING TURBULENCE. The risks and opportunities of airline consolidation for corporate travel programs AVOIDING TURBULENCE The risks and opportunities of airline consolidation for corporate travel programs Introduction Whatever role you play in your corporate travel organisation, offering the best experience

More information

Media Release. Qantas Group Full Year 2017 Financial Result 1. Sydney, 25 August 2017

Media Release. Qantas Group Full Year 2017 Financial Result 1. Sydney, 25 August 2017 Media Release Qantas Group Full Year 2017 Financial Result 1 Sydney, 25 August 2017 Underlying Profit Before Tax: $1,401 million (second highest in Qantas history) Statutory Profit Before Tax: $1,181 million

More information

J.P. Morgan 2019 Global Emerging Markets Corporate Conference. Miami, February 2019

J.P. Morgan 2019 Global Emerging Markets Corporate Conference. Miami, February 2019 J.P. Morgan 2019 Global Emerging Markets Corporate Conference Miami, February 2019 This presentation may include forward-looking comments regarding the Company s business outlook and anticipated financial

More information

2007/08 Full Year Results Investor Briefing

2007/08 Full Year Results Investor Briefing 2007/08 Full Year Results Investor Briefing Highlights of Result Profit before tax up 46% to $1,408 million Up 36% on the reported result Margin improvement $3 billion of Sustainable Future Benefits achieved

More information

2010 ANNUAL GENERAL MEETING. May 4, 2010

2010 ANNUAL GENERAL MEETING. May 4, 2010 2010 ANNUAL GENERAL MEETING May 4, 2010 FORWARD-LOOKING STATEMENT Certain information in this presentation and statements made during this presentation, including any question and answer session, may contain

More information

Remarks for Mark Galardo Vice President, Network Planning, Air Canada Bombardier Media Day Montreal, January 14, 2019

Remarks for Mark Galardo Vice President, Network Planning, Air Canada Bombardier Media Day Montreal, January 14, 2019 Remarks for Mark Galardo Vice President, Network Planning, Air Canada Bombardier Media Day Montreal, January 14, 2019 Bonjour and good afternoon everyone. It is a pleasure to be here today. I certainly

More information

Building Long Term Shareholder Value

Building Long Term Shareholder Value Building Long Term Shareholder Value Gareth Evans, CFO Macquarie Conference 6 May 2011 Sustainable Returns to Shareholders Leverage dual brands to build on competitive advantage International business

More information

Juliater Simarmata*, Charles A.N**

Juliater Simarmata*, Charles A.N** Analysis and Evaluation on the Strategy of Indonesian Airline Companies to Face the Increasing Price of Avtur and the Decreasing Exchange Value of Rupiah against the US Dollar Juliater Simarmata*, Charles

More information

Malaysia s s 2020 Vision

Malaysia s s 2020 Vision Kuala Lumpur International Airport: The New Southeast Asia Airline Hub? Lev Pinelis, M.S. Transportation December 7 th, 2004 1.231 Airport Systems Planning, Design, and Management Malaysia s s 2020 Vision

More information

Agenda. Conclusion of Transform Key Perform 2020 initiatives. Perform 2020 financial framework. Information meeting

Agenda. Conclusion of Transform Key Perform 2020 initiatives. Perform 2020 financial framework. Information meeting Information meeting Agenda Conclusion of Transform 2015 Key Perform 2020 initiatives Perform 2020 financial framework 2 Transform 2015: first phase of group turnaround accomplished Strict capacity discipline

More information

ASEAN Single Aviation Market Agreement

ASEAN Single Aviation Market Agreement ASEAN Single Aviation Market Agreement CAREC Aviation Workshop, Singapore 6 April 2017 Brendan Sobie Chief Analyst and Southeast Asia Chief Representative CAPA Centre for Aviation Contents ASEAN-SAM background

More information

$0.7bn total spend. 141,400 arrivals. 4m total nights. 17% dispersed nights 1. Indonesia Market Profile. Performance overview

$0.7bn total spend. 141,400 arrivals. 4m total nights. 17% dispersed nights 1. Indonesia Market Profile. Performance overview Market Profile Performance overview In 2013, Indonesia was Australia s 12th largest inbound market for visitor arrivals, the 14th largest market for total expenditure, and 19th for visitor nights. It was

More information

CHAPTER I INTRODUCTION

CHAPTER I INTRODUCTION CHAPTER I INTRODUCTION a. Overview High-Competition would be the best words describing current Indonesian Airline Industry situation, unless they could find their own niche market. One of the fire-starter

More information

Airline Performance and Capacity Strategies Dr. Peter Belobaba

Airline Performance and Capacity Strategies Dr. Peter Belobaba Airline Performance and Capacity Strategies Dr. Peter Belobaba Istanbul Technical University Air Transportation Management M.Sc. Program Network, Fleet and Schedule Strategic Planning Module 18 : 13 March

More information

For personal use only

For personal use only ASX and Media Release QANTAS DELIVERS RECORD FIRST HALF PROFIT, INVESTS IN AIRCRAFT AND TRAINING Sydney, 22 February 2018 Underlying Profit Before Tax: $976 million (up 15%) Record results for Qantas Domestic,

More information

6 Dec 2009 version Developments in Air Transport Industry, and Implications for the proposed LCC- Focused Airport in SE Korea. Prof.

6 Dec 2009 version Developments in Air Transport Industry, and Implications for the proposed LCC- Focused Airport in SE Korea. Prof. 6 Dec 2009 version Developments in Air Transport Industry, and Implications for the proposed LCC- Focused Airport in SE Korea Prof. Tae Hoon Oum The Air Transport Research Society (ATRS) www.atrsworld.org

More information

PT GARUDA INDONESIA (PERSERO) Tbk.

PT GARUDA INDONESIA (PERSERO) Tbk. PT GARUDA INDONESIA (PERSERO) Tbk. Analyst Meeting & Presentation First Half 2013 Result Announcement Jakarta, 2 September 2013 Delivering Indonesia s Best to the World 0 Shareholders & Performance List

More information

Hello everyone, I am Shinichiro Ito, President and CEO of All Nippon Airways.

Hello everyone, I am Shinichiro Ito, President and CEO of All Nippon Airways. ANA2011 1 Hello everyone, I am Shinichiro Ito, President and CEO of All Nippon Airways. Thank you for taking the time to join us today for our two-year corporate plan briefing for fiscal 2011 and 2012.

More information

Aviation Sector Upbeat domestic demand, a sweet spot for LCCs

Aviation Sector Upbeat domestic demand, a sweet spot for LCCs 13 March 2018 Sector Update Aviation Sector Upbeat domestic demand, a sweet spot for LCCs Maintain POSITIVE INVESTMENT HIGHLIGHTS MAHB s passengers grew by +4.7%yoy in February 2018 International passengers

More information

QUT BlueShift Business Case Competition 2018 Business Case

QUT BlueShift Business Case Competition 2018 Business Case QUT BlueShift Business Case Competition 2018 Business Case Table of Contents Confidentiality... 2 1.0 Airlines in Australia... 3 2.0 Loyalty Programs... 4 3.0 Virgin Australia Group... 5 4.0 Velocity Frequent

More information

GLOBAL STRATEGY AND LEADERSHIP

GLOBAL STRATEGY AND LEADERSHIP GLOBAL STRATEGY AND LEADERSHIP CASE ANALYSIS EXAMPLE CPA PROGRAM SEMESTER 1 2016 INTRODUCTION Following is a short case titled Blue sky man which is an article from the CPA Australia publication INTHEBLACK

More information

ANA Reports Record Profits for FY2012

ANA Reports Record Profits for FY2012 ANA HOLDINGS NEWS ANA Reports Record Profits for FY2012 TOKYO April 30, 2013 - ANA Holdings today reports consolidated financial for the fiscal year ended March, 2013. Financial and Operational Highlights

More information

Understanding the Market

Understanding the Market IATA Seminar: A Successful Airport for a Successful Industry Understanding the Market Ian Thomas Senior Consultant Industry Affairs The Asian Growth Bubble Regional economic expansion + China + Air service

More information

THE FIRST CHOICE FOR FREQUENT TRAVELERS

THE FIRST CHOICE FOR FREQUENT TRAVELERS THE FIRST CHOICE FOR FREQUENT TRAVELERS One of SAS s strategic priorities is to be the first choice for frequent travelers. We define frequent travelers as individuals who take five or more return flights

More information

Air Canada. Transportation & Aerospace Conference presents at the. Toronto November 20, 2012

Air Canada. Transportation & Aerospace Conference presents at the. Toronto November 20, 2012 Air Canada presents at the Transportation & Aerospace Conference 2012 Toronto November 20, 2012 1 2 Caution Regarding Forward-looking Information Air Canada s public communications may include forward-looking

More information

ANA Group Announces Its Fiscal Year 2019 Flight Schedule

ANA Group Announces Its Fiscal Year 2019 Flight Schedule ANA NEWS ANA Group Announces Its Fiscal Year Flight Schedule ANA plans to accelerate growth by expanding its international network. New state-of-the-art aircraft will be introduced to further improve passenger

More information

THE FUNDAMENTALS OF ROUTE DEVELOPMENT UNDERSTANDING AIRLINES MODULE 3

THE FUNDAMENTALS OF ROUTE DEVELOPMENT UNDERSTANDING AIRLINES MODULE 3 THE FUNDAMENTALS OF ROUTE DEVELOPMENT UNDERSTANDING AIRLINES AIRLINE ISSUES Low margins Fuel price uncertainty Vulnerability to economic downturn Unpredictable one-time events High profits of airports

More information

PT GARUDA INDONESIA (PERSERO) Tbk. Analyst Meeting & Presentation First Quarter 2014 Result Announcement Jakarta, 30 April 2014

PT GARUDA INDONESIA (PERSERO) Tbk. Analyst Meeting & Presentation First Quarter 2014 Result Announcement Jakarta, 30 April 2014 PT GARUDA INDONESIA (PERSERO) Tbk. Analyst Meeting & Presentation First Quarter 2014 Result Announcement Jakarta, 30 April 2014 0 Shareholders & Performance List of Shareholders as of 31 March 2014 Number

More information

Air Namibia A Regional Carrier Transformation. Presented by: Theo Namases Managing Director

Air Namibia A Regional Carrier Transformation. Presented by: Theo Namases Managing Director Air Namibia A Regional Carrier Transformation Presented by: Theo Namases Managing Director 04 September 2012 1 Welcome to Namibia! Some facts about Namibia 2 The Airline business is a difficult one subject

More information

2003/04 Full Year Results Presentation to Investors

2003/04 Full Year Results Presentation to Investors 2003/04 Full Year Results Presentation to Investors 19 August 2004 Geoff Dixon Chief Executive Officer Highlights 12 months to June 2004 12 months to June 2003 Increase/ (decrease) % Sales and operating

More information

TAIPEI, Taiwan EVA Air joins the Star Alliance network, further strengthening the Alliance s presence in Asia-Pacific.

TAIPEI, Taiwan EVA Air joins the Star Alliance network, further strengthening the Alliance s presence in Asia-Pacific. Wider choice in growing Cross-Straits market TAIPEI, Taiwan EVA Air joins the Star Alliance network, further strengthening the Alliance s presence in Asia-Pacific. At the official joining ceremony held

More information

Amendment of ANA s International Baggage Policy

Amendment of ANA s International Baggage Policy ANA NEWS Amendment of ANA s International Baggage Policy TOKYO April 25, 2013 - ANA, Japan's largest airline, today announces changes to its baggage policy for international flights. The changes apply

More information

Information meeting. Third quarter results. March 2011

Information meeting. Third quarter results. March 2011 Information meeting Third quarter 2010-11 results 1 March 2011 Agenda 2010-11: recovery in activity and return to profitability Current issues Air France-KLM ambitions for the next three years 2 All businesses

More information

A chat with Paulo Salvador, Chief Marketing Officer at Worldhotels

A chat with Paulo Salvador, Chief Marketing Officer at Worldhotels A chat with Paulo Salvador, Chief Marketing Officer at Worldhotels Worldhotels is a group of independent hotels with almost 500 hotels in its global portfolio. How do you devise a marketing mix that caters

More information

Air China Limited Announces 2010 Interim Results

Air China Limited Announces 2010 Interim Results Air China Limited Announces 2010 Interim Results Record High First Half Results Leveraging New Opportunities to Drive Growth Hong Kong August 25, 2010 Air China Limited ( Air China or the Company, together

More information

AIRASIA BERHAD 21 ST ANNUAL GENERAL MEETING

AIRASIA BERHAD 21 ST ANNUAL GENERAL MEETING AIRASIA BERHAD 21 ST ANNUAL GENERAL MEETING 4 JUNE 2014 1 2 FINANCIAL HIGHLIGHTS 3 2013 Overview Malaysia 5.11 Revenue (billion) Operating Profit (billion) 1.03 Net Profit (billion) 0.79 +3% 4.95 1.01-2%

More information

SPEECH BY WILLIE WALSH, CHIEF EXECUTIVE, INTERNATIONAL AIRLINES GROUP. Annual General Meeting, Thursday June 14, Check against delivery

SPEECH BY WILLIE WALSH, CHIEF EXECUTIVE, INTERNATIONAL AIRLINES GROUP. Annual General Meeting, Thursday June 14, Check against delivery SPEECH BY WILLIE WALSH, CHIEF EXECUTIVE, INTERNATIONAL AIRLINES GROUP Annual General Meeting, Thursday June 14, 2018 Check against delivery FINANCIAL PERFORMANCE Good afternoon Ladies and Gentleman. I

More information

Case Study 2. Low-Cost Carriers

Case Study 2. Low-Cost Carriers Case Study 2 Low-Cost Carriers Introduction Low cost carriers are one of the most significant developments in air transport in recent years. With their innovative business model they have reduced both

More information

Bank of America Merrill Lynch 2018 Emerging Markets Corporate Credit Conference. Miami, May 2018

Bank of America Merrill Lynch 2018 Emerging Markets Corporate Credit Conference. Miami, May 2018 Bank of America Merrill Lynch 2018 Emerging Markets Corporate Credit Conference Miami, May 2018 This presentation may include forward-looking comments regarding the Company s business outlook and anticipated

More information

For personal use only

For personal use only ASX Release 5 December 2011 MAp Sydney Airport Announces New Vision to Integrate International, Domestic and Regional Services Please find attached a presentation providing further information about Sydney

More information

ANA HOLDINGS Financial Results for the Year ended March 31, 2016

ANA HOLDINGS Financial Results for the Year ended March 31, 2016 ANA HOLDINGS NEWS ANA HOLDINGS Financial Results for the Year ended March 31, 2016 TOKYO, April 28, 2016 ANA HOLDINGS (hereafter ANA HD ) today reports its consolidated financial results for fiscal year

More information

UBS 14 th Global Emerging Markets Conference. New York, November 2016

UBS 14 th Global Emerging Markets Conference. New York, November 2016 UBS 14 th Global Emerging Markets Conference New York, November 2016 This presentation may include forward-looking comments regarding the Company s business outlook and anticipated financial and operating

More information

Up in the Air: Can an Industry Compete on Costs Without Destroying its Workforce?

Up in the Air: Can an Industry Compete on Costs Without Destroying its Workforce? Up in the Air: Can an Industry Compete on Costs Without Destroying its Workforce? Thomas Kochan, MIT Jody Hoffer Gittell, Brandeis University Greg Bamber, Griffith University Andrew von Nordenflycht, Simon

More information

5 REASONS WHY OUR CORPORATE TRAVEL PROGRAMME IS PERFECT FOR YOU

5 REASONS WHY OUR CORPORATE TRAVEL PROGRAMME IS PERFECT FOR YOU 5 REASONS WHY OUR CORPORATE TRAVEL PROGRAMME IS PERFECT FOR YOU REASON #1 WE RE FLUENT IN BUSINESS AND WE RE INVESTED IN YOU Take your company s cost savings to higher altitudes with a Corporate Travel

More information

GH Group. New Aviation Leader Aircraft Sales, Acquisitions, Trades and Charter Solutions Flight Crew Resourcing Aviation PR Consultancy

GH Group. New Aviation Leader Aircraft Sales, Acquisitions, Trades and Charter Solutions Flight Crew Resourcing Aviation PR Consultancy GH Group New Aviation Leader Aircraft Sales, Acquisitions, Trades and Charter Solutions Flight Crew Resourcing Aviation PR Consultancy GH GROUP GH Group is a vibrant and boutique aviation experts group

More information

ANA Group Announces Its Fiscal Year 2018 Flight Schedule. ~Responding to the increasing demand in inbound tourism~

ANA Group Announces Its Fiscal Year 2018 Flight Schedule. ~Responding to the increasing demand in inbound tourism~ ANA NEWS ANA Group Announces Its Fiscal Year Flight Schedule ~Responding to the increasing demand in inbound tourism~ TOKYO, January 18, ANA announces its fiscal year flight schedule, which reflects the

More information

JAL. oneworld Value Proposition

JAL. oneworld Value Proposition JAL oneworld Value Proposition December 3, 2009 Tom HORTON Executive Vice President of Finance and Planning and Chief Financial Officer of AMR Corp. and American Airlines 2 An introduction to American

More information

Information meeting. Jean-Cyril Spinetta Chairman and CEO

Information meeting. Jean-Cyril Spinetta Chairman and CEO Information meeting Jean-Cyril Spinetta Chairman and CEO Forward-looking statements The information herein contains forward-looking statements about Air France-KLM and its business. These forward-looking

More information

Airline Schedule Development Overview Dr. Peter Belobaba

Airline Schedule Development Overview Dr. Peter Belobaba Airline Schedule Development Overview Dr. Peter Belobaba Istanbul Technical University Air Transportation Management M.Sc. Program Network, Fleet and Schedule Strategic Planning Module 18 : 1 April 2016

More information

Bank of America Merrill Lynch Global Transportation Conference. June 16, 2010

Bank of America Merrill Lynch Global Transportation Conference. June 16, 2010 Bank of America Merrill Lynch Global Transportation Conference June 16, 2010 FORWARD-LOOKING STATEMENT Certain information in this presentation and statements made during this presentation, including any

More information

Business Update. Avi Mannis Senior Vice President, Marketing

Business Update. Avi Mannis Senior Vice President, Marketing Business Update Avi Mannis Senior Vice President, Marketing Hawaiian Airlines a decade ago Network: 10 mid-haul U.S West Coast cities 4 South Pacific destinations 6 Interisland routes Fleet: 18 Boeing

More information

REAUTHORISATION OF THE ALLIANCE BETWEEN AIR NEW ZEALAND AND CATHAY PACIFIC

REAUTHORISATION OF THE ALLIANCE BETWEEN AIR NEW ZEALAND AND CATHAY PACIFIC Chair Cabinet Economic Growth and Infrastructure Committee Office of the Minister of Transport REAUTHORISATION OF THE ALLIANCE BETWEEN AIR NEW ZEALAND AND CATHAY PACIFIC Proposal 1. I propose that the

More information

Commercial aviation. Market outlook, key trends driving growth and implications for airports. Dave Gamrath BCA Marketing.

Commercial aviation. Market outlook, key trends driving growth and implications for airports. Dave Gamrath BCA Marketing. Commercial aviation Market outlook, key trends driving growth and implications for airports Dave Gamrath BCA Marketing June 2014 BOEING is a trademark of Boeing Management Company. Copyright 2014 Boeing.

More information

The 20 year history of global airline alliances Flight Global Graham Dunn 5 may, 2017

The 20 year history of global airline alliances Flight Global Graham Dunn 5 may, 2017 The 20 year history of global airline alliances Flight Global Graham Dunn 5 may, 2017 Since the first global alliance was established 20 years ago, these airline groupings have become a central part of

More information

SINGAPORE MICE ADVANTAGE PROGRAMME A comprehensive programme tailored to help you deliver an exceptional business event experience

SINGAPORE MICE ADVANTAGE PROGRAMME A comprehensive programme tailored to help you deliver an exceptional business event experience SINGAPORE MICE ADVANTAGE PROGRAMME A comprehensive programme tailored to help you deliver an exceptional business event experience Where progressors, leaders and innovators meet. Home to world-class facilities,

More information

Cebu Pacific Air (CEB) Briefing Routes Asia 2012 Chengdu, China

Cebu Pacific Air (CEB) Briefing Routes Asia 2012 Chengdu, China Cebu Pacific Air (CEB) Briefing Routes Asia 2012 Chengdu, China April 2012 Outline Who is Cebu Pacific? Business Proposition Support Package Required Who is Cebu Pacific? CEB: The Philippines Largest Carrier

More information

Presentation Outline. Overview. Strategic Alliances in the Airline Industry. Environmental Factors. Environmental Factors

Presentation Outline. Overview. Strategic Alliances in the Airline Industry. Environmental Factors. Environmental Factors Presentation Outline Strategic Alliances in the Airline Industry Samantha Feinblum Ravit Koriat Overview Factors that influence Strategic Alliances Industry Factors Types of Alliances Simple Carrier Strong

More information

Air Transport Industry

Air Transport Industry Air Transport Industry Structure, Economics, Operations Northwestern University Transportation Center April 28, 2016 Peter L. Smith Context The Presenter BA Harvard, MST Northwestern, MBA Foster School

More information

ANA HOLDINGS Financial Results for the Three Months Ended June 30, 2018

ANA HOLDINGS Financial Results for the Three Months Ended June 30, 2018 ANA HOLDINGS NEWS ANA HOLDINGS Financial Results for the Three Months Ended June 30, 2018 TOKYO, July 31, 2018 ANA HOLDINGS INC. (hereinafter ANA HD ) today reports its financial results for the three

More information

Air China Limited Announces 2009 Annual Results

Air China Limited Announces 2009 Annual Results Air China Limited Announces 2009 Annual Results Record Operating Profit in Complex Market Environment Strengthened Position to Capture Growth Opportunities Hong Kong April 22, 2010 Air China Limited (

More information

We Get you to your doorstep! An Innovative Strategy for Garuda Airlines?

We Get you to your doorstep! An Innovative Strategy for Garuda Airlines? We Get you to your doorstep! An Innovative Strategy for Garuda Airlines? Ameen Ali Talib 1,* 1 Head, Applied Projects, School of Business, Singapore University of Social Sciences, Singapore *Correspondence:

More information

Ancillary Revenue On-Site Consulting Package

Ancillary Revenue On-Site Consulting Package Ancillary Revenue On-Site Consulting Package Overview Airlines enjoy greater revenue success when they become effective retailers, rather than passive shopkeepers. IdeaWorks offers a one-price solution

More information

Analysts and Investors conference call. Q results. 15 May 2013

Analysts and Investors conference call. Q results. 15 May 2013 Analysts and Investors conference call Q1 2013 results 15 May 2013 Management summary Key messages of Q1 2013 +6% +9% +3.3%p. Q1 2013 operational KPIs are in line with 109.7 116.2 6.5 7.1 82.3 85.6 expectations,

More information

Media Release QANTAS RESULTS FOR THE YEAR ENDED 30 JUNE 2006 HIGHLIGHTS

Media Release QANTAS RESULTS FOR THE YEAR ENDED 30 JUNE 2006 HIGHLIGHTS Media Release QANTAS RESULTS FOR THE YEAR ENDED 30 JUNE 2006 HIGHLIGHTS Profit before tax of $671 million Net profit after tax of $480 million Revenue of $13.6 billion Final dividend of 11 cents per share

More information

ANA HOLDINGS Financial Results for the Three Months ended June 30, 2015

ANA HOLDINGS Financial Results for the Three Months ended June 30, 2015 ANA HOLDINGS NEWS ANA HOLDINGS Financial Results for the Three Months ended June 30, 2015 TOKYO, July 29, 2015 ANA HOLDINGS (hereinafter ANA HD ) today reports its financial results for the three months

More information

AIR NEW ZEALAND/SINGAPORE AIRLINES ALLIANCE APPLICATION: DRAFT RECOMMENDATION

AIR NEW ZEALAND/SINGAPORE AIRLINES ALLIANCE APPLICATION: DRAFT RECOMMENDATION BRIEFING AIR NEW ZEALAND/SINGAPORE AIRLINES ALLIANCE APPLICATION: DRAFT RECOMMENDATION Reason for this briefing Action required To provide you with our draft recommendation on the application by Air New

More information

For personal use only

For personal use only ASX code SXR AIM code SKYW 30 October 2012 SKYWEST AIRLINES LTD ( Skywest or the Company ) Offer for Company Receipt of Proposal from Virgin Australia Skywest, the Australian and South East Asia regional

More information

ANA Holdings Financial Results for FY2013

ANA Holdings Financial Results for FY2013 ANA HOLDINGS NEWS ANA Holdings Financial Results for FY2013 TOKYO April 30, 2014 - ANA Holdings (hereafter ANA HD ) today reports its consolidated financial for fiscal year 2013 (April, 2013 March, 2014).

More information

OUTLINE OF JAL GROUP MEDIUM RANGE CORPORATE PLAN FOR THE YEARS 2004 THROUGH 2006

OUTLINE OF JAL GROUP MEDIUM RANGE CORPORATE PLAN FOR THE YEARS 2004 THROUGH 2006 OUTLINE OF JAL GROUP MEDIUM RANGE CORPORATE PLAN FOR THE YEARS 2004 THROUGH 2006 Tokyo March 10, 2004: FY2003 business has been badly affected in terms of demand and on revenue by the negative impact of

More information

Future Challenges For the Indian. Market. CEO Centre for Asia Pacific Aviation. Andrew Miller. April 2006

Future Challenges For the Indian. Market. CEO Centre for Asia Pacific Aviation. Andrew Miller. April 2006 Future Challenges For the Indian Market Andrew Miller CEO Centre for Asia Pacific Aviation April 2006 Environmental Drivers Governments focus on tourism growth and regional dispersal stimulate economy

More information

ANA s Growth Strategy

ANA s Growth Strategy ANA s Growth Strategy Shinya Katanozaka Member of the Board of Directors, Senior Executive Vice President All Nippon Airways Co., Ltd. January 08, 2013 ANA s History 2 Rising to the Challenges ~ Always

More information

Airport forecasting is used in master planning to guide future development of the Airport.

Airport forecasting is used in master planning to guide future development of the Airport. Airport Forecasts Airport forecasting is used in master planning to guide future development of the Airport. 4.1 INTRODUCTION Airport forecasting ensures development is appropriate for passengers, ground

More information

pilot the A Conversation with Tim Hoeksema, chairman, president and chief executive officer, Midwest Airlines. pg. 36 Special Section

pilot the A Conversation with Tim Hoeksema, chairman, president and chief executive officer, Midwest Airlines. pg. 36 Special Section A MAGAZINE FOR AIRLINE EXECUTIVES 2008 Issue No. 1 T a k i n g y o u r a i r l i n e t o n e w h e i g h t s the pilot A Conversation with Tim Hoeksema, chairman, president and chief executive officer,

More information

3M 2013 Edition. Share Information : GIAA.IJ / GIAA.JK. Daily Share Price Movements

3M 2013 Edition. Share Information : GIAA.IJ / GIAA.JK. Daily Share Price Movements 3M 2013 Edition 3M 2012 3M 2013 Change Financial Summary (USD Mio) OPERATING REVENUES 717 807 12.51% OPERATING EXPENSES 734 827 12.70% INCOME (LOSS) FROM OPERATIONS (17) (20) 20.68% INCOME (LOSS) BEFORE

More information

AIR TRANSPORT MANAGEMENT Universidade Lusofona January 2008

AIR TRANSPORT MANAGEMENT Universidade Lusofona January 2008 AIR TRANSPORT MANAGEMENT Universidade Lusofona Introduction to airline network planning: John Strickland, Director JLS Consulting Contents 1. What kind of airlines? 2. Network Planning Data Generic / traditional

More information