You are on page 1of 28

Group Introduction

• Bilal Ahsan 073330


• Shoaib Tauseef 073307
• Sabahat ullah Khan 073328
Outline
• Company Profile
• Product and services offered by PIA
• PIA Network
• Hierarchy of PIA
• Vision Mission and Values
• SWOT analysis of PIA
• PEST analysis of PIA
• Market segmentation of PIA
• Targeting strategy of PIA
• Positioning of PIA
• Competitors Analysis
• Recommendations for PIA
• Findings of Research
• Comparison of PIA with different airlines
PIA’s Profile
• Pakistan International Airlines Corporation, more commonly
known as Pakistan International Airlines or PIA (Urdu: ‫پی آئی اے يا‬
‫پاکسنتان نانٹٹٹرنیشننل نايرليننز‬.is the flag carrier airline of Pakistan ,(

• Pakistan-based company -------- engaged in the provision of air


transport services.

• Other activities -------- provision of engineering and other allied


services.

• The Company operates in two business segments------- airlines


operation and hotel operation.
Products and Services offered by PIA

• Fleets
• Business Class Services
• In-flight Dining
• You're in For a Special Treat!
• In-flight Entertainment
• Let the fun begin!
PIA’s Network
Domestic Network International
Network
Hierarchy of PIA



Vision Mission & Values

• CORPORATE VISION OF PIA


‘To be a world class airline exceeding customer
expectations through dedicated employees
‘Committed to excellence’
• CORPORATE MISSION
“As a Symbol of National Pride, We Aspire to be a Choice
Airline, Operating Profitably on Modern Commercial concepts
and Capable of Competing with the Best in the International as
well as Domestic markets.”
• VALUES
SWOT Analysis
External Factors


Internal Factors

Strengths Opportunities
1. Leading Market Position Having the maximum route and fleet
2. Brand Recognition
3. Superior Operating Structure Growing demand for low cost airlines

4. Network Presence Customer loyalty


5. Hub airport at Karachi
Shifting customer needs

5Industry Recovery

Weaknesses Threats
1. High Interest Rates
1. Formulation of Govt. Rules
2. Accidents
2. High dependence on Passenger . …Revenues
3. Strong Competition by Air-blue
2. Debt
4. Interest and foreign currency
3. Reliance on Oil Prices exchange rates
5. Decline in airline industry
PEST Analysis

Political Social
1Increased Competition (Deregulation of airline industry) 1Greater Customer Awareness
2Political Stability 2Increased Entertainment Spending

Increased Investment Opportunity Technology Averse Customers

Economical Technological
1Improved Purchasing Power 1In-flight Entertainment

2Demand Value-for-Money 2E-ticketing (SABRE System)

Soaring Oil Prices Automated (Self) Check-in

4Reduced Ticket Prices SMS Services


Market Segmentation of PIA

Demographic Segmentation
of PIA:
• Income Segmentation
• Occupation
Segmentation

Behavioral Segmentation:
• Occasion Segmentation.
• Hajj’s Occasion.
• Eid’s Occasion.
• New Years’ Occasion.
• Loyalty Status.
Market Segmentation of PIA

Geographic Segmentation
• Both segments domestic and international.

Psychographic Segmentation of PIA:


• Social Class
• Tourists
• Religious Travels
• Pakistani Expatriates
Targeting Strategy of PIA

• Demographic Segmentation
• Income Segmentation -----audience who
falls under the category of upper and
upper middle class.

• Occupation Segmentation ----- working


class and business class.

• Geographic Segmentation
• Domestic Regions ----- people within the
country.

• International Regions ----- people residing


Print Ad
Targeting Strategy of PIA
• Behavioral Segmentation
• Occasion Based
• Hajj’s Occasion ----- people going to
perform Hajj.

• Eid’s Occasion ----- people within the


country and outside the country to get
together with their families on Eid
Occasions.

• New Years’ Occasion -----people coming


back to Pakistan from different
countries or moving outside Pakistan
Targeting Strategy of PIA

Psychographic Segmentation

• Social Class

• Tourists ----- all the tourists within and


outside the country.

• Religious Travels ----- people going for


or coming in for religious offering.

• Pakistani Expatriates ----- people


residing outside Pakistan.
Positioning of PIA

• Positioning by attributes.
• Reliability
Attribute
• Speed Positioning
• Safety
• Positioning by price and quality.
• Introduction of Additional Low Cost
Quality-price
Flights Positioning
• “PIA express”

• Positioning by product user.


• An ambassador of Pakistan in the User
world. Positioning
Competitor Analysis
Competitive Advantages of
PIA

• Reliability and safety


• Best engineering facilities.
• Best trained pilots.
• National flag carrier.
• Pakistani expatriates when step in the PIA plane
they get they homely feelings because of the
national airline which plays a role of ambassador.
• High linkage to the remote areas of Pakistan.
• State of art technologies and highly equipped
Competitive Position of PIA
Differentiation
• Competitive Moves

• PIA is having 48.4% market share internationally


and 65% domestically, and PIA has the Market
Leader Competitive Move in Pakistan.

• Competitor Attack Strategy

• The attack strategy of PIA against its competitor Air


Blue is Flanking Attack Strategy.
Existing Competitors of PIA

• PIA operates both domestically and internationally. So it has


different competitors on both scales of operations.

• Domestic Competitor

• International Competitors of PIA


• Thai Airline
• Ethad Airways
• Qatar Airways
• Singapore Airline
• Emirates Airline
Findings Of Research

Selection of Airline
According to research in , 60% people utilize the services of PIA, 30% people utilize the services
of airblue and only 10% people utilize the services of shaheen International Airline.

Selection Of Airline
Airblue,
30%

PIA, 60% shaheen


International
Airline., 10%
Reason for Selection of PIA

50% favor price


30% favor services
20% favor other attributes

others,
Price, 20%
50%

Service,
30%
RECOMMENDATIONS FOR PAKISTAN
INTERNATIONAL AIRLINES

• Decentralization
• PIA should decentralize its structure that would lead to the easy
management and increased motivation.

• Strategic Business Unit


• PIA should make its different departments into Strategic Business
Unit. Every SBU should have a defined business strategy.
• Employee Empowerment
PIA should make efforts towards empowering the
employees that is going to lead to more employee
participation in the decision making process.
Overhead Costs
PIA should also reduce its overhead costs that are it
should mange its resources:
Two-Way Communication
The suggestions of the employees can prove to be very
effective in improving the operations as they are the
ones who manage them.
THANK YOU

Any Questions

You might also like