MARKETING MANAGEMENT BMMK5103

EXECUTIVE SUMMARY

In spite of various intense efforts, MAS has been unable to establish itself as a sustainably
profitable and financially self-sufficient airline. It has seen RM8.4 billion in cumulative net
adjusted losses from 2001 to June 2014.

MAS’ core problem is simply that its unit cost has remained persistently higher than unit
revenue. Its small cost advantage versus its FSC competitors is dwarfed by a large revenue
disadvantage. Furthermore, its revenue per employee is only 51% of Cathay Pacific and 38%
of Singapore Airlines. Its small revenue advantage versus its LCC competitors, is dwarfed by
a large cost disadvantage of approximately 40% (Analysis based on Airlineanalyst.com, OAG,
company annual reports and OANDA exchange rates).

Many issues have contributed to MAS’ historical financial difficulties. These include the fact
that MAS fulfils national developmental obligations, such as investing in socially important,
but unprofitable, routes to develop tourism for Malaysia. MAS operates with a workforce that
is about 30% larger than comparable airlines (Analysis based on OAG, ACAS3, company
annual reports and company websites). There are also gaps in leadership across the airline and
capability gaps in several core functions. This remains the case even though the airline has
some excellent, internationally-recognised talent.

MAS has little margin for error. The airline industry is notoriously difficult. A total of USD390
billion in global industry losses have been experienced over the last 30 years (or an average of
USD13 billion a year). The Malaysian market is particularly competitive, with between three
and six carriers on most major routes and airline capacity growing at 10% a year, outstripping
demand growth of 8%.

Despite its challenges and the recent tragic events, MAS at its core has some distinct inherent
strengths. It has a long and proud history of a product and brand synonymous with outstanding,
warm hospitality. It has an impeccable track record of contributing to national development
and is a talent factory for skilled employees, especially its pilots and cabin crew.

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TABLE OF CONTENTS

1.0 Company Background – Malaysia Airlines .................................................................................. 4

2.0 Malaysia Airlines Situation Analysis............................................................................................. 6

2.1 PEST Analysis ............................................................................................................................. 6
2.1.1 Politics and Legal ................................................................................................................. 6
2.1.2 Economic............................................................................................................................... 7
2.1.3 Socio-Cultural ...................................................................................................................... 7
2.1.4 Technology ............................................................................................................................ 8

3.0 SWOT Analysis ............................................................................................................................... 9

3.1 Strength........................................................................................................................................ 9
3.2 Weakness ................................................................................................................................... 10
3.3 Opportunities............................................................................................................................. 10
3.4 Threats ....................................................................................................................................... 11

4.0 Segmentation, Targeting and Positioning (STP) ........................................................................ 12

4.1 Segmentation ............................................................................................................................. 12
4.2 Targeting.................................................................................................................................... 13
4.3 Positioning ................................................................................................................................. 14

5.0 Marketing Goals and Objectives ................................................................................................. 15

5.1 Malaysia Airlines Goals ............................................................................................................ 15
5.2 Malaysia Airlines Objectives.................................................................................................... 15
5.2.1 Leveraging Alliance and Strategic Partnerships ............................................................. 15
5.2.2 Malaysian Flavour to Customer-Centric Products......................................................... 15
5.2.3 Consolidation at KLIA Main Terminal Building............................................................ 16

6.0 Marketing Strategy ....................................................................................................................... 17

6.1 Product and Service .................................................................................................................. 17
6.2 Pricing ........................................................................................................................................ 17
6.3 Place and Distribution .............................................................................................................. 18
6.4 Promotion .................................................................................................................................. 19

7.0 Implementation, Evaluation and Control ................................................................................... 20

7.1 Implementation ......................................................................................................................... 20
7.2 Evaluation .................................................................................................................................. 20
7.3 Control ....................................................................................................................................... 20

8.0 Summary........................................................................................................................................ 21

REFERENCES .................................................................................................................................... 22

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1.0 Company Background – Malaysia Airlines

Figure 1. MAS Airbus A380 Aeroplane

Malaysia Airlines Berhad (MAB), previously known as Malaysia Airline System (MAS), is
the national flag carrier of Malaysia, based in Kuala Lumpur. Originally founded in 1947 as
Malayan Airways, MAS operates a network of scheduled international and domestic services
as part of a broader group of airlines that include its wholly-owned
subsidiaries, Firefly and MASwings. MAB is owned entirely by the Malaysian Government,
through sovereign wealth fund, Khazanah Nasional. MAB wholly-owned subsidiaries include
the following: Firefly (since Apr-2007) and MASwings (since Oct-2007).

The airline began as Malayan Airways Limited and flew its first commercial flight in 1947.
Malayan Airways was headquartered in Singapore. A few years after Singapore's expulsion
from Malaysia, the airline was renamed Malaysia Singapore Airlines (MSA), before its assets
were divided in 1972 to form Singapore flag carrier Singapore Airlines and Malaysian flag
carrier Malaysian Airline System.

Despite numerous awards from aviation industry and recognition from the World Travel
Awards as the leading airline in and to Asia (2010–11, 2013) the airline struggled to cut costs
to compete with new, low-cost carriers in the region since the early 2000s. In 2013, the airline
initiated a turnaround plan after large losses beginning in 2011 and cut routes to prominent, but
unprofitable, long-haul destinations, such as the Americas (Los Angeles and Buenos Aires)
and South Africa.

In May-2016, Malaysia Airlines Berhad announced the establishment of a new holding

company, Malaysia Aviation Group. The new structure is part of Khazanah
Nasional's restructuring programme. It is expected to improve transparency, drive focussed
management across the operating subsidiaries, ensure profit and loss accountability, drive

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greater operational efficiency and allow flexibility for the companies to explore collaboration
and capital raising opportunities.

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2.0 Malaysia Airlines Situation Analysis

Thinking about airlines, the first thought which probably comes to mind would be luxury and
comfort. However, there is much more to the airline industry than just that. Yes, most of the
airlines worldwide are facing a cycle of rising operating costs and declining profits and
margins. Now, passengers may not be able to observe these characteristics, but after extensive
research it is quite apparent the global airline industry is in disarray.

2.1 PEST Analysis

PESTLE Analysis is an acronym given to “Political, Economic, Social, Technological, Legal
& Environmental” analysis. Similar and (or) related acronyms are PESTEL Analysis and
sometimes just PEST analysis (CIPD, 2014). It is an extremely useful tool to determine the
environmental influences in order to make strategic management decision. For example, USA
and Cuba are in the middle of a trade embargo. Planning a trade with Cuba without this
knowledge would be disastrous as it is prohibited and will not be allowed, thus wasting
considerable company resources.

Figure 2. PEST Analysis

2.1.1 Politics and Legal

Due to the actual bad economic recession, Malaysian Government through Bank Negara had
to reread the foreign and monetary policies. (Bank Negara Malaysia, 2010) As such, Ringgit
Malaysia (RM) was attached to RM 3.80 to 1 US dollar. The Government had to impose stricter
and tighter policies for Malaysian to travel abroad to avoid currency outflow, which indirectly
caused low rates of travellers for MAS. The situation worsens, when the regional economic
recession was coupled with the instability in the political arena in Malaysia in 1998. As a result,
the investors lost their confidence, being more cautious and prefer the attitude of “look and
see” and some of them have ceased their operations in Malaysia, resulting in more layoffs.

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The airline industry operates in a highly regulated political environment where passengers are
favoured over the airlines. This is due to the fact that passenger safety is paramount and the
political establishment have been made weary of the airlines and resorted towards strict
regulations for their operations, due to their earlier inclinations towards monopolistic
behaviour. Furthermore, with there being more competition in the industry and regulations in
demand, passengers are in a position where they can push for lower prices and amenities.

2.1.2 Economic
The Asian financial emergency in the late 90s which has influenced the South East Asian area
was additionally a causative component that created MAS to endure 6 continuous losses
(CAPA, 2014). These circumstances got deteriorated as the Malaysian Ringgit cash was
underestimated, which thus prompted high enthusiasm on remote exchange. Ventures made by
MAS to extend its business by buying more air ship were very influenced by this. The
devaluation of RM had additionally prompted low using force, which brought about lesser
individuals to go via air. The disaster of September 11 has likewise helped the reported
misfortunes by MAS. From that point forward, the world economy was on its downturn and
the world masses were getting phobia to travel via air. MAS need to tolerate the misfortunes
as its fundamental operation is focused around the global system.

The 9/11 attacks left a major impact that the airline industry is yet to recover from. The
prolonged recession, fluctuations in oil prices and an imminent global slowdown are other
debilitating factors that are affecting the growth of the airline industry. Airlines have to cope
with declining passengers, high fuel prices, competition from low-cost airliners, labour
demands and soaring operating and maintenance costs. In addition, events such as the recent
Malaysian airline disappearance, is also adversely affecting the global airline industry.

2.1.3 Socio-Cultural
Malaysia is placid of three fundamental races where Islam is the authority religion. Its
Productivity in social assortment and could be utilized as the pulling in element for the
vacationers to go to Malaysia, and in a roundabout way helped MAS to advance its operation
to contain more remote destinations.

Over the years, the millennial generation’s emergence into the consumer class has resulted in
major social changes, more importantly in terms of service, where consumers have become

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much more demanding. Therefore, to meet the increasing demands of this segment, airlines
have to stabilize their costs. Additionally, the passenger profile has changed as well with there
being more economically minded passengers. When it comes to business class passengers,
improved communication facilities have reduced the need to fly down for meetings.

2.1.4 Technology
MAS has additionally put resources into IT and information transfers headway to build the
effectiveness of its operation. More individuals can have admittance to the MAS benefits just
through the Internet where individuals can book and purchase their ticket on the web. Other
than that, more advancements and ads could be possible through the Internet, which can draw
in additional also more individuals to go with MAS. The becoming request in load
administrations has brought about more airlines selecting to change over their traveller flying
machine into freight air ship. This new pattern gives an option to MAS to diminish some cash
on buying new freight airplane what's more maybe go into other conceivable beneficial
operations.

With intense competition in the airline industry, latest technology must be adapted by airliners
in order to survive in the already tough environment. Additionally, the use of latest technology
in aircrafts would not only lower fuel consumption, but also the cost of airline operations and
improve efficiency.

Figure 3. MAS Online Booking

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3.0 SWOT Analysis

SWOT is an acronym for Strength, Weakness, Opportunities and Threat. It is primarily used to
examine what the strengths and weaknesses are of an organization, and what opportunities and
threats it can face in the future. In order to successfully capitalize on the Opportunities, the
organization must utilize its strengths and in order to combat future threats, it must repair or
remove its weaknesses.

Figure 4. SWOT Analysis

3.1 Strength
Malaysia Airline System (MAS) is Malaysia's national carrier. With a fleet quality of in excess
of 100 flying machines, the Airline covers very nearly 114 ends of the line over the world. The
organization has a solid brand picture over the globe. The gathering has been controlling its
solid image picture to win the reliability of Consumers to develop its piece of the overall
industry. In any case, serious rivalry in the carrier business may influence the bunch's edge
antagonistically.

Malaysia Airline has a built brand picture in the residential and in addition the universal
business. Malaysia Airline has reliably settled elevated expectations of administration over its
business fragments. The gathering has joined the most restrictive gathering of world airlines,
being positioned as a 5-Star Airline by the flight rating organization, Skytrax, with only four
different airlines on the planet. The organization was regarded with the World's Best Cabin
Staff Award for 2006. Separated from the carrier operations, the organization has likewise
settled its vicinity in the freight operations. Maskargo won the 'Magnificence in Logistics – Air
Cargo Services' grant from Engineering Business Review magazine amid 2006.

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The organization has recorded an increment in the quantity of travellers conveyed and payload
persisted the past couple of years. The gathering has been leveraging its solid image picture to
win the faithfulness of shoppers to develop its piece of the pie. MAS have their own particular
marking methodology that includes its flight specialists to advance the carrier.

3.2 Weakness
MAS shortcomings amid its offerings, work force and monetary. Presentation of ease
admissions by specific airlines are surely harming MAS in the short run as they couldn't rival
these tolls accordingly losing clients particularly in the residential business sector disordered
representatives were the real donor for MAS gigantic misfortune in 2005 and still keep on being
an issue and monetarily weaker contrasted with its opponents, for example, Thai Airways and
Singapore Airlines. MAS now needs to rival worldwide airlines Thai Airways and Singapore
Airlines. Despite the fact that the reality where MAS does gives local and global flight
administrations, greater part of the clients of Malaysia Airline are worldwide flight clients.

In the event that we contrasted and other carrier organizations, the expense offered by MAS is
more costly than others. Its local courses were practically totally assumed control via Air Asia.
With Air Asia's minimal effort admissions, MAS were not ready to contend subsequent to its
local offerings were more lavish. Clients eager to go without solace for shabby air admissions
and Air Asia were the client's favoured decision. Since MAS crossed out a couple of courses
because of their BTP exercises, clients were changing to different airlines that still keep up
those ends, for example, Thai Airways and Singapore Airlines. Indeed Air Asia is exploiting
this circumstance with their flights covering most Asian ends of the line particularly in India
and China and they're charging it less expensive.

3.3 Opportunities
The territories of chances are gathered in enhancing consumer loyalty in pair with changes in
client inclination. We can see the pattern now with client's inclination in ease charges and better
in-flight administrations. Clients have distinctive needs and yearnings in term of buying. This
is a result of the variables like demographic, psychographic, and geographic variable. To get a
certain objective, MAS ought to have the capacity to present another idea of flying with MAS.

It is on account of clients are individuals that can have different inclination. They can be
affected by numerous part of their life including the method for their way of life. For instance,

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MAS are exploiting client's inclination by serving more Malaysia and western suppers in their
menu what's more better in flight stimulation (AVOD) in their 777-200 and 747-400 fleet. An
aggregate of 37 menus are on offer over an 8 week cycle turn to guarantee that successive
explorers will have the capacity to appreciate a mixed bag of suppers.

3.4 Threats
Dangers are the components from outside of the organization which could have negative impact
on the organization. There are a few dangers that will influence MAS, for example, economy,
contenders, extreme rivalry, terrorism and political agitation, and engineering, increasing plane
fuel costs and outside coin vacillation.

In later past, the costs of plane fuel have expanded forcefully, harming the primary concerns
of generally airlines. For example, the costs of plane fuel have expanded from $1.5 every gallon
in May 2005 to $2.1 every gallon in May 2007 speaking to an increment of around 40%. Plane
fuel represents a critical parcel of the working consumption of airlines. On the off chance that
stream fuel costs achieve more elevated amounts, then the margins of these organizations will
feel obligated.

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4.0 Segmentation, Targeting and Positioning (STP)

4.1 Segmentation
Market segmentation can be defined as “the process of disaggregating the total market for a
given product into a number of sub-markets” (Chadrasekar, 2010, p.60). In simple terms,
segmentation is dividing population into groups according to certain characteristics.
Three levels of segmentation are identified as mass marketing, segment marketing and niche
marketing (Devashvish, 2011).

Mass marketing is associated with aiming to sell to a broad range of customers, and in airline
industry in particular mass marketing relates to the development of a single flight package for
all customers. Mass marketing may have some cost advantages for businesses, however it fails
to address unique needs of certain groups of people.

Segment marketing, on the other hand, relates to grouping of customers according to their
certain common aspects in general and their needs and wants in particular. Segment marketing
is the most popular type of marketing used many airline companies including MAS.

Niche marketing relates to a small group within population whose needs are not being well
satisfied. In airline industry in particular, an example of niche marketing may relate to offering
private jets to be hired by wealthy people for national and international travels. Segmentation
bases can be divided into the following four categories (Boone and Kurtz, 2013): geographic,
demographic, psychographic and behavioural. These are broad bases of segmentation and each
of these bases can be divided into more categories.

Segmentation needs to be conducted taking into account specific characteristics of the relevant
industry. Specific factors to be taken into account in segmentation include viability,
accessibility, and measurability of segments. The role of preference segments when conducting
market segmentation and divide preferences into three groups: homogeneous, diffused and
clustered.

Homogeneous preferences relate to instances where there are no or little differences in

customer preferences. Diffused preferences, on the other hand, is associated with a high level
of variety in consumer preferences.

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Lastly, clustered preferences involve the formation of preference clusters according to specific
segments. According to above classification, preferences of airline companies such as MAS
can be classified as clustered. In other words, MAS services are offered to cluster of individuals
within population according to their common needs and characteristics.

4.2 Targeting
Targeting involves choosing specific groups identified as a result of segmentation to sell
products and services to. Target market selection can be facilitated by according to the
following patterns:
a) Business may target single market segment with single product (single-segment
concentration).
b) Business may target different market segments with different products (single-segment
concentration).
c) A set of products may be offered to the same market segment (market specialisation).
d) Several market segments may be targeted with the same product (product specialisation).
e) All segments in the market may be targeted with a wide range of products.

MAS follows single-segment concentration marketing strategy by offering three different

service packages to different customer segments. Specifically, MAS targets different customer
segments for its four levels of services: economy, business and first class.

Flyers are expecting airlines to behave more like retailers rather than transportation. Majority
of flyers are technological equipped with mobile devices as personal communication device.
Business travellers are increasing, making purchase decisions based on a wide range of features
and value enhancers, from extended seat space options and priority security line access to
mobile ticketing, and inflight Wi-Fi availability. Business travellers have their own preferences
and willing to pay for different amenities. The buying habits and preferences of business
travellers are changing drastically. Premium segment is very challenging and demanding, and
therefore it is imperative for MAS to line up good plans to capture the business traveller market.

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4.3 Positioning
MAS is banking on the combination of a revamped premium product on long-haul flights and
the new regional premium carrier will enable it to win back premium customers lost in recent
years as its fleet aged and its product languished. Yield management improvement,
membership in oneworld and new sales initiatives, aimed primarily at growing corporate
revenues and ending its practice of putting tactical sales promotions ahead of brand-building,
will further aid in these efforts.

MAS now serves five destinations in Australia and Auckland in New Zealand but it is unlikely
to cut back this operation significantly if at all because it is now seeking to forge a close
partnership with Qantas, which is sponsoring MAS’ entry into oneworld. Qantas, which does
currently not serve Malaysia, is one of several potential joint venture partners for MAS. The
carrier says it is now “exploring JVs with selected partners” as part of its new focus, as
identified in the new business plan, on alliances and partnerships.

MAS believes sustained profitability is feasible once it completes all the initiatives identified
in the new business plan, including collaboration on several levels with AirAsia, new
partnerships with foreign carriers which will come as MAS joins oneworld in 3Q2012 and the
spin-off of several non-core businesses. The carrier aims to have an annual after tax profit of
MYR900 million (USD280 million) by 2016.

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5.0 Marketing Goals and Objectives

5.1 Malaysia Airlines Goals

The vision of the company is to become a preferred premium carrier, well positioned in the
Asian aviation marketplace. Even though Malaysia is relatively smaller in Asian arena, the
airline will try to harness the country’s geo economic centricity in ASEAN, and emphasise on
their own natural way of cost competitiveness as a hub and try to enter into alliance and
partnership to ‘punch above the weight’(Malaysia airlines).
• Operational Cost Effectiveness
• Excellence Flight Operation and Safety
• Commercial/Social Value

5.2 Malaysia Airlines Objectives

Marketing objectives are goals set by a business when promoting its products or services to
potential consumers that should be achieved within a given time frame. In other
words, marketing objectives are the marketing strategy set in order to achieve the overall
organizational objectives.

5.2.1 Leveraging Alliance and Strategic Partnerships

Malaysia Airlines officially began its global aviation partnership agreement with Emirates
Airlines (Emirates) in the quarter with both carriers placing its codes on the Kuala Lumpur-
Dubai route, as well as other routes under the agreement. The codeshare is an integral part of
the airline’s future network plan as it focuses on getting customers connected globally, opening
up a host of new destinations for customers by providing unprecedented access to Emirates’
network. The first phase of the agreement will see 11 destinations introduced, including Rome,
Paris, Madrid and Frankfurt, with the rest being added progressively over the next few months
subject to regulatory approvals. Once complete, Malaysians will have access to over 30
destinations in Europe, Middle East, Canada, and Africa.

5.2.2 Malaysian Flavour to Customer-Centric Products

The quarter saw the introduction of new menus showcasing Malaysia’s diverse and unique
flavours. Alongside the new menus, a personalised ‘dine-on-demand’ service, where guests are
able to have meals at their convenience, was introduced for First class passengers in the quarter.
The service will be rolled out to Business class over the next few months. Hot meals were also

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introduced for short haul economy passengers, which have already garnered very positive
responses from customers. Moving forward, the airline will be taking the five star Malaysian
experience further by collaborating with top- ranked hotels and culinary personalities.

5.2.3 Consolidation at KLIA Main Terminal Building

To ensure convenience and improved connectivity for passengers, Malaysia Airlines is also
planning a move to concentrate most of its operations in KL International Airport’s (KLIA)
main terminal. The plan will mean quicker connections for ASEAN passengers between
international and domestic flights. This will improve flight connection times, provide faster
and more reliable baggage transfer and ultimately ensure better customer satisfaction. With a
successful trial conducted earlier this year, the airline is working closely with Malaysia
Airports Holdings Berhad to realise the consolidation.

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6.0 Marketing Strategy

MAS is the largest airlines in Malaysia in terms of its fleet size and international destination
flights. If it is about carrying passengers, it comes at number second. In order to maintain its
position as one of the leading Airways it has set and maintained its high standards in terms of
services.

6.1 Product and Service

Malaysia Airlines: Malaysian offers three travel classes on its international flight services
including Economy Class, Business Class and First Class. Domestic services within Malaysia
typically only feature two classes (Economy and Business). MAS' premium cabins and
Economy Class have won numerous awards for excellence in product and service delivery. The
products offered by MAS are excellent in terms of satisfying the needs and wants of the buyers.
MAS tries to satisfy all the requirements of its customers.

Firstly, it provides the flight tickets at a reasonable price to satisfy their want of flying from
one destination to another. Secondly, the airline is connected to some of the busiest airports of
the world and it provides excellent scheduled flights to all its destinations. Thirdly, the airline
tends to provide all its customers the best possible in-flight services in terms of comfortable
seats that have previously been allocated to them, hot and fresh meals, drinks and even
entertainment on board.

The customers can go through the magazines provided by the staff or can choose other form of
entertainment like the movie collection, radio channels and even television programs. MAS
has gone out of its way to deliver some superb support facilities. In order to cater to the needs
of different sections of customers it has divided its services in three diverse executive classes.

6.2 Pricing
MAS has shrewdly kept its pricing policy such that every class of people can avail themselves
of its services. They have tried to maintain a policy of pricing that equals to the value provided
by the company. The strategy of the company is such that the customers are the decision makers
and it is they who decide about the total amount to be spent. A customer can buy a ticket at its
base price without any extra value added benefits or can even choose the different services that
he requires.

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The Economy pricing strategy is for people who want low priced tickets. The medium-value
pricing strategy is for people who require some of the fringe benefits and the Premium pricing
strategy is for people who like to travel with all the high-class benefits provided by the airlines.
This method of splitting their pricing policies has helped MAS in maintaining their high
standards and creating profits at such competitive times.

The airline keeps on revising its pricing policies against all its competitors so that they can
maintain their loyal customers. Their method of pricing the tickets at the perceived value has
proved to be a success story.

6.3 Place and Distribution

Place plays a very important and distinctive role in any marketing strategy. MAS recognizes
this truth and has always been dedicated towards mergers and liaisons with most of the
important destinations of the world. As the base of the company is Malaysia, it carries on most
of the day-to-day activities in and around its operational base.

The company has successfully developed and upgraded infrastructure to conduct safe and
proper activities. MAS has joined hands with various other airport authorities for carrying out
their business activities successfully. They have their own warehouses and sometimes
warehouses in coalition with other companies for carrier purposes and for servicing their
aircrafts.

Their main channel of distribution of the products is through the call centres, the online
websites and the travel agents. The airline also emphasizes on easy accessibility of all their
locations for smooth and fast transactions. MAS is one of the most popular airlines to fly to
Europe nowadays selected by Malaysian.

It also has an official website for rendering various services like information about the
incoming and outgoing flights, changes in flight schedules, buying of flight tickets, cancellation
of tickets, information about current discounts and packages offered by the airlines.

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6.4 Promotion
Considerable innovation has been put towards creating and maintaining promotional strategies.
In order to keep the communicative lines open with all its customers, different strategies have
been formed. A mobile application is created for the special airline customers allowing them
to make reservations easily and to get fringe benefits. In order to promote the services of the
airlines, the help of the internet has been taken as the techno-savvy customers can save their
time while booking tickets through net.

In order to cash the off-season market the company tends to offer discounted prices to its
customers. For the promotion of the company and its products and various services, MAS has
taken the help of electronic and print media. Television channels, internet, magazines,
billboards are different promotional routes of the company where active and catchy
advertisements have helped in maintain as well as creating a customer base.

Sponsoring events has also been a part of their promotional strategy as a healthy awareness
about the company and its services can be generated here. Some of the celebrities like Nur
Fazura Sharifuddin has been part of the company as their brand ambassadors. MAS has
become a synonym for luxurious and reliable airlines that is dedicated to provide safe and
prompt travels.

Figure 5. Promotion – Deals of the Day.

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7.0 Implementation, Evaluation and Control

7.1 Implementation
Missteps in the implementation phase of a marketing plan can be disastrous. Implementation
means execution, or the actual steps the company will take to promote its business. These steps
may include running ads, launching a website or sending direct mail. If the implementation
isn't completed according to plan, the company won't achieve its strategic objectives. The best
ideas still need to be enacted. The implementation phase of the marketing plan makes sure the
marketing activities happen in the correct time and sequence for success.

7.2 Evaluation
The evaluation step of a marketing plan focuses on analysing quantitative and qualitative
metrics associated with the implementation and strategy. Quantifiable metrics are those to
which numbers can be attached, such as the numbers of sales leads obtained, customers reached
and dollar amounts achieved. Qualitative factors include measures of customer satisfaction.
Evaluating the marketing plan means looking at the data and examining whether or not the
company achieved its strategy objectives from the implementation phase. If it did, the steps
can be replicated for future success. If not, changes can be made to improve performance and
results.

7.3 Control
Controls are necessary for the evaluation phase. Controls established during the creation of the
marketing plan provide benchmarks to assess how well the plan accomplished its goals.
Controls are like goals; they give the company something to aim for when enacting the plan.
Controls may include measures such as the marketing budgets and market share.

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8.0 Summary

Malaysia Airlines' well-being and strength is a major component to the country's economy.
MAS carry the aspirations and pride of the Nation. Both at home and abroad, the Malaysia
Airlines brand remains associated with Malaysian unique heritage of giving customers that
personal touch.

The airline also carries the expectations of all our employees, without whom the airline would
not still be flying today, given all the challenges the Company has faced over the years. MAS
was in a crisis and the current situation of the Company is a serious concern for our people,
stakeholders, customers and business partners.

MAS recognizes that hard and unpopular decisions will need to be made along the way for
MAS’ survival and future success. These decisions with the gravity that they merit, and forge
solutions in the best interest of MAS’ employees, shareholders, customers and strategic
partners.

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REFERENCES
1. CIPD, (2014). PESTLE Analysis. Retrieved from
https://www.cipd.co.uk/knowledge/strategy/organisational-development/pestle-
analysis-factsheet#7986.
2. Bank Negara Malaysia, (2010). Payment Systems in Malaysia. Retrieved from
www.bnm.gov.my/?rp=254.
3. CAPA, (2014). Malaysia Airlines reports six consecutive quarterly losses. Retrieved
from http://centreforaviation.com/news/malaysia-airlines-reports-six-consecutive-
quarterly-losses-368919.
4. Chandraserkar, K.S., (2010). Marketing Management: Text & Cases. Tata McGraw-
Hill Education.
5. Dasgupta, D., (2011). Tourism Marketing. Pearson Education India.
6. Boone, L.E. & Kurtz, D.L., (2013). Contemporary Marketing. Cengage Learning.

WORDS COUNTED EXCLUDED REFERENCES IS 5080 WORDS.

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