Pia Ppt 2 Aims

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 2. Brand Recognition 3. Superior Operating Structure

Having the maximum route and fleet

4. Network Presence 5. Hub airport at Karachi

Customer loyalty

Growing demand for low cost airlines

Shifting customer needs 5Industry Recovery

Threats

Weaknesses 1. High Interest Rates 2. Accidents

1. Formulation of Govt. Rules 2. High dependence on Passenger 2. Debt 3. Reliance on Oil Prices

. …Revenues

3. Strong Competition by Air-blue 4. Interest and foreign currency 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

Technological

Economical 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 • Speed • Safety

Attribute Positioning

• Positioning by price and quality. • Introduction of Additional Low Cost Flights • “PIA express”

Quality-price Positioning

• Positioning by product user. • An ambassador of Pakistan in the world.

User 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

Price, 50%

others, 20%

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