ing in the wrong direction, product driven instead of service driven
10. Continuing loss of market share to competitors
2. Develop toward a competitive distribution system
4. Trend of world traveler moving up
6. Expand their business to other services under tourism
1. Operate under competitive airline industry
2. Continuous expansion from US carriers
4. Fluctuation in oil price and currency exchange
6. Higher interest rates and fuel costs
7. Overcapacity and less-regulated competition
There were some restrictions related to this industry which back in the early stage. Between 1910 and today, the role of government in the economic infrastructure became very complex. Government bureaucracy and the scope of government regulation of economic activities greatly increased in the first half of the 20th century. Industry specific regulations became highly developed in several sector (telephones, railroads, airlines, communications, financial services). These regulations were quite restricted which barred other existing airlines or new airline to steep in their agreement area. However, these traditional regulations on industries have been reduced, while others have grown. The deregulation of the airline, for instance, as a result of Liberalised Bilateral Agreement was signed. Since then traffic system continuing increase within European and the rest of the world.
Currency exchange, interest rates and world trade price of fuel, all these which impact whole industry in some degree. All of these factors must be monitored in comparison with other competitors.
Social culture: More people travel more than before as introduction of airline route to new travel destination. Buying process also changed to more self selected from different places until find the best deal in the market. Choose to traveling time which suite them.
Demography: Small population size from their country whi
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