AirAsia Essay - Essay Prowess

AirAsia Essay


An interesting aspect of capitalization is that it is an economic system which highly encourages entrepreneurship. Through entrepreneurship, market systems are disturbed leading to industry shakedown as new entrants challenge conventional business revenue streams by tapping into a consumer segment previously neglected of their needs. In 2005, Thomas Lawton published a case study on a company that has literally transformed the air travel industry in the populous Asian continent, “In-Depth Integrative Case 2: Can the Budget Airline Model Succeed in Asia? The Story of AirAsia”.  By engaging in a written case analysis evaluation, the purpose is to determine if the case study by Thomas Lawton exposes readers on the impact of AirAsia in various aspects change within at the local and regional levels.

Historical & Background

The synopsis as provided by Lawton (2005) takes the reader back to turn of the new millennium. This is a critical element necessary for the reader to bear an accurate point of reference of the state of technology, global politics, economics, challenges, and opportunities existing at the time. The most memorable attribute of this point in time is that the U.S. homeland was attacked by international terrorists. Before this catastrophic event, a single individual with the vision to become a successful entrepreneur made the move from the music industry to the airline industry.

The information contained in the synopsis points the reader in the right direction towards understanding the direction in which the case study is headed. As an entrepreneur, Anthony Fernandes was willing to risk it all to venture into the Asian airline industry by buying into a Malaysian Airline on its deathbed (Lawton, 2005). Soon after, the world’s airline industry was put into turmoil as terrorists used airplanes to cause havoc in the American economy, global economy, and more importantly, in the air travel industry. However, it only took two years for Anthony Fernandes and his crew transforms the hapless Malaysian airline into a profitable low cost airline (Lawton, 2005). This accurately signified that the Asian air industry was ripe for change and promised brave entrepreneurs promise of unrivalled international success.

Critical Issue Identification & Framing

Perusing through the work by Lawton (2005) on AirAsia, one comes to embrace that he has identified a number of critical issues with far reaching implications concerning

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