Professional Documents
Culture Documents
Assignment 3
The Airline Business Plan is a 30 pages document that explains details the
major aspect of your airline business.
The following information may, or may not, influence your business plan
Check- in facilities
Asian visitors to the country are usually preferred to use low cost
carrier services
Non- Asian visitors prefer to hire cars to get around the country.
The proportion of passengers passing through the terminal who are
Malaysian passport holders varies for each airline and is
approximately:
- MAS 40%
- Air Asia 30%
- Malindo Airlines 15%
- FireFly 15%
The Airline Business Plan should include six sections. Each section
addresses a key question regarding the business?
1. Summary section
2. Market Opportunity
The purpose of the Market Opportunity section is to clearly establish that
there is a definite and substantial ‘need’ in the target market and to
clearly quantify the nature and size of this opportunity.
• What is the target market? (who is the market? / where is the market?)
• Why will the customer buy the product? (what is the value proposition?)
• How big is this market? (quantitative assessment)
• What are the key features or trends of this market? (qualitative
assessment)
• How much will the airline business sell into this market? (what is the
expected market penetration?)
• Does the market demonstrate the opportunity for sustainable margins
and
growth in the long term?
• What are the mid to long term plans for expansion into other markets?
The purpose of the Product section is to describe in simple and clear terms
what the product is, how it is made and what state it is currently in.
• What is the product?
• What does the product do? What are the product’s key features?
• How does the product work?
• What are the product’s key benefits?
• How is the product made? What resources are required to produce the
product?
• What state is the product in now? (idea / prototype in market)
• How much time and money will be required to complete product
development?
• What is the feedback on the product to date?
The Strategy / Operations section should clearly define ‘how’ the airline
will create value and how it will respond to the market environment.
• What is the airline’s Business Model? (how does the airline make
money?)
• What is the airline’s ‘route to market’ (what does the airline need to do
to sell its product? Does this differ for different markets or customer
segments?)
• What is the airline’s marketing strategy?
• What is the pricing model and the basis for this?
• Who are the airline’s partners?
• How committed are these partners? (what tangibles do they bring to the
venture?)
• What is the competitive situation in the target market?
• Who are the competitors? How much threat do they pose?
• What is the airline’s competitive advantage? (why will it succeed against
its
competitors?)
• How will competitors respond to the airline’s market entry? How will the
airline be able to sustain its competitive advantage in the light of this
response?
• What key milestones have been achieved to date?
• What are the airline’s key milestones in the next 6, 12 and 24 months?
• What are the critical success factors for achieving these milestones?
• What is the airline’s funding strategy as it relates to the operations of
the
venture? (how much funding will be required? from where will it be
sourced?)
• What are the key risks to the success of the airline? How can these be
mitigated?
5. Management (WHO)
6. Financial
Note
In order to reach the above outcome, you may also need to complete
some of the following. These are NOT required for the Airline Business
Plan:
• Profit & loss statement
• Balance sheet
• Capital currently available (capital utilization to date)
ASSIGNMENT FEEDBACK SHEET
Student Name:
A hard copy of your work should be submitted to Dr. Rohafiz Sabar no later
than 1200 hrs on the above submission date. You will be issued with an
email receipt for your work which will show the date that your work was
received.
Any work that is not issued with a receipt will not be marked.
COLLEGE OF BUSINESS
Please note: This is an example of inner side of research report (white A4
paper)
College of Business
May 2017