The fiscal public presentation for FY 2011 continues to be a challenge with an after revenue enhancement loss of PKR 26.767 billion. This was preceded by six back-to-back loss doing old ages dating back to 2005. The air hose did describe a decrease of station revenue enhancement losingss of 83 % in 2009 ( compared to 2008 ) based on a decrease in fuel cost, relatively stable exchange rate for the Pakistan Rupee and higher grosss. But in 2011 & A ; 2010, losingss once more rose aggressively compared to the old old ages.[ I ]

The air hose faces many challenges to its profitableness such as staffing degrees and overall direction issues. An employee count of 18,014 for a fleet of 40 aircraftA is clearly an country that needs to be reviewed.

The study for the first one-fourth of 2012A does non demo any betterment. The after revenue enhancement losingss reported for the first one-fourth of 2012 are PKR 7.81 billion as compared to PKR 4.24 for Q1 of 2011. Gross is besides reasonably much stagnant at PKR 26.44 billion for the first one-fourth of 2012 compared with PKR 26.18 billion for the first one-fourth of 2011.

The last 3 old ages have shown a uninterrupted loss for PIA on the sale of their assets. 2011 marked a 65.7 PKR Million loss on the assests sold. Operating disbursals for PIA have continued to lift for PIA and were at 17,467.7 Million PKR for the twelvemonth which ended in 2011.

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‘Pakistan International Airlines Corporation may hold more fiscal hazard than other companies in the Airlines industry as it is one of the most extremely leveraged with a Debt to Total Capital ratio of 196.70 % . This ratio really increased over the last twelvemonth. Additionally, an scrutiny of near-term assets and liabilities shows that there are non plenty liquid assets to fulfill current duties. Histories Receivable are typical for the industry, with 25.38 yearss worth of gross revenues outstanding. Last, stock lists seem to be good managed as the Inventory Processing Period is typical for the industry, at 11.60 yearss.

Current assets for PIA have besides decreased between 2010 to 2011. At the terminal of 2011 it stood at 20,819.1 Million PKR. Good will for PIA has shown an addition nevertheless over the last 4 fiscal old ages for the company. At the terminal of 2011 it was calculated at 2,821.1 Million PKR. The long term investings for PIA have besides decreased and therefore hold dropped down to 86.1 Million PKR for 2011.

Histories collectible is valued at 15,619.2 Million PKR in 2011, a crisp rise to what it was in 2008. The long term debt for the company has besides increased and was 55,559.5 Million PKR in 2011 ‘ .[ two ]

Emirates Financial Analysis

In the fiscal twelvemonth 2011-12, Emirates generated grosss of around AED 62 billion, which represented an addition of about 15 % over the old twelvemonth ‘s grosss of AED 54 billion. Passenger Numberss besides increased from over 31 million to around 34 million over the same period stand foring an addition of around 8 % . In the fiscal twelvemonth 2009-2010, rider Numberss reached 27.4A millionA up from 22.7A million reported in 2008-09 stand foring an addition of 20.1 % over the old twelvemonth. Cargo carried in 2009-10 besides improved, by 12.2 % to 1,580,000 metric tons ( 2008-09: 1,408,000 metric tons ) .A The air hose ‘s net incomes for the 2009/10 financial twelvemonth rose by more than fourfold to AED 3,538 million ( $ 964A million ) up by AED 2,852A million ( 2008-09: AED 686A million ) on the dorsum of cost film editing and a about 21 percent rise in passengers.A Its parent company saw net income up 248 % for to $ 1.1A billion for the twelvemonth to 31 March compared with a $ 406m net income for the old twelvemonth. The air hose claims it pays market rates for its fuel, contrary to common belief, nevertheless it has a extremely successful fuel-price-hedging plan.[ three ]

As of March 2012, Emirates does non utilize fuel monetary value hedge. Fuel is 45 % of entire costs, and may come to $ 1.7 billion in the twelvemonth stoping 31 March 2012.[ four ]

The air hose was theA seventh-largestA air hose in the universe in footings of international riders carried, and theA largest in the universe in footings of scheduled international passenger-kilometers flown. It is besides theA seventh-largestA in footings of scheduled freight tonne-kilometres flown ( 6th in scheduled international cargo tonne-kilometres flown ) .

Thai Airways Financial Analysis

Thai airways gross for the FY 2011 was THB 192,936.8. this is an addition from the last 2 old ages nevertheless, in 2008 it was higher than this at 201, 739.1. Operating disbursals for the air hose has dropped to THB 33,322.7. this is good for the air hose as it has reduced its disbursals and therefore will salvage the air hose money.

Gross net income for the air hose is at 32,881.0 for FY 2011. This is a drastic lessening sing the last 2 old ages. It shows that the air hose has had good FY 2010 and 2009 nevertheless due to the rise in Cost of Goods Sold from 138, 763.1 in 2010 and 116.943.6 in 2009 to a addition to 160.055.8 in 2011.[ V ]

‘Year over twelvemonth, Thai Airways International Public Company Limited has seen their bottom line shrink from a addition of 14.7B to a loss of 10.2B despite an addition in grosss from 180.6B to 191.0B. An addition in the per centum of gross revenues devoted to cost of goods sold from 76.84 % to 83.80 % was a cardinal constituent in the falling bottom line in the face of lifting grosss.

Although debt as a per centum of entire capital increased at Thai Airways International Public Company Limited over the last financial twelvemonth to 69.17 % , it is still in-line with the Airlines industry ‘s norm. However, there are non plenty liquid assets to fulfill current duties. Cash Collection is a strong suit as the company is more effectual than most in the industry. As of the terminal of 2011, its ungathered receivables totaled 16.6B, which, at the current gross revenues rate provides a Days Receivables Outstanding of 32.18. Last, stock lists seem to be good managed as the Inventory Processing Period is typical for the industry, at 16.74 yearss ‘ .[ six ]

Background of the Problem & A ; Situation Analysis

The chief job faced by the company is that there is a loss of gross on the international flights because riders are switching to other alternate air hoses, for case, Etihad and Emirates. Over the past few old ages the company has been invariably losing out on their patronage and the company wishes to happen out the grounds as to why they are losing on their grosss as a consequence. PIA has been functioning the people of Pakistan on assorted paths for old ages and now the loss of clients is of great concern to them. PIA demands to place the grounds for this current job at manus and suggest ways to acquire rid of them or better their service. Due to increasing market competition PIA seems to hold lost their flicker and their market portion every bit good. Initially merely PIA used to transport riders from one topographic point to another, but placing a strong market, other companies have besides started providing to their mark audience, therefore increasing the competition in the market. PIA has decidedly been missing in their promotional and advertisement techniques, one major ground as to why they have non been able to maintain their clients. The services provided by the company have besides deteriorated over clip and no specific attempts have been made to undo this. Alternatively farther jobs have continued to originate, damaging the repute of the company and finally the set uping the grosss as good. Customer satisfaction is a major concern now, hence, the company must seek and derive back their clients ‘ trust in them and supply high quality service to each person, in order to guarantee re-purchase of the service.

Research Question

What are the grounds for the diminishing figure of riders on PIA International flights which automatically consequences in lower gross revenues for the company and therefore shackles the profitableness of PIA excessively?

Research aims

To happen out whether there has been a diminution in air travel or merely travel on PIA?

Come up with grounds why riders are non booking with Pakistan International Airlines when going overseas?

Find out the grounds for riders switching to other air hoses?

Pinpoint some facets of PIA service that need to be improved upon?

Which countries and sections need to better instantly and in the long tally?

Given the above research aims, PIA can move upon the consequences of this research and therefore better facets of its service which it is presently missing on.

Significance of Study

PIA being the flag bearer of Pakistan, is an air hose that is of huge value to its state and the people as good. A few decennaries ago, this air hose was ranked one of the best in the universe and now people have started socking on the air hose owing to the recent events and the status of the air hose. the air hose has lost a major part of their patronages and therefore being the national flag bearer, they are runing in loss.

This survey aims to foreground grounds for the diminution in air travel on PIA and the specific grounds for making so. It aims to take a expression at assorted facets of the air hose in order to nail the exact job that the air hose is presently confronting. Merely after carry oning a thorough research on the subject, can any conclusive comments be made as to the reply the research inquiry put frontward by the direction of the company to me.



For this peculiar research, both Qualitative and Quantitative research will be used. This will give a elaborate penetration into the subject at manus.

The advantages of Qualitative research are:

The participants are able to supply informations in their ain words and in their ain manner

Persons can be studied in more deepness

Descriptive capableness based on primary and unstructured informations

Ability to interact with the research subjects in their ain linguistic communication and on their ain termsA[ seven ]

The advantages of Quantitative research are:

Stating the research job in really specific and set footings

Extinguishing or minimising subjectiveness of judgement

Achieving high degrees of dependability of gathered informations due to controlled observations, research lab experiments, mass studies, or other signifier of research manipulationsA

Following steadfastly the original set of research ends, geting at more nonsubjective decisions, proving hypothesis, finding the issues of causality[ eight ]

Exploratory Research

Secondary Research which will assist us derive insight into the subject at manus and fill in losing points in the information already available.

The explorative research helps clear up the research inquiry as good so a individual can understand precisely what is to be researched in a peculiar research. It can besides assist in foregrounding the issues faced with carry oning primary research so that appropriate steps are taken to control it. Besides the fact that it is readily available and will supply an penetration into the research before really transporting out the primary research is besides an of import facet of it. The explorative research can besides move as a comparing to when the existent primary research is carried out.

Causal/descriptive Research

Target population

The Target Population will consist of Young Business Men, Students, People in Social Class A and B. The ground of concentrating on this mark population is because these are the people who are fall backing to other agencies of air transit because of jobs faced with PIA

Sampling technique

The research will utilize the non-probability sampling technique because sing the variables involved, it is a more appropriate method of sample choice.

Non chance sampling is being used as the sample size is little plenty for this research. It besides tends to be more flexible and less dearly-won and clip consuming every bit good. Given the population, this technique will be the most appropriate. It will besides assist in deriving accurate informations which will turn out to be utile for this peculiar research being carried out to happen out rider penchants. Thus that is why the non chance sampling will be preferred over chance sampling.


The undermentioned research tool will be used to adequately garner informations:

questionnaire studies


Advantages of Using interviews:

Interviews will be utile in this intent as we can acquire a true apprehension of the direction ‘s position of the grounds for incurring losingss. An in deepness analysis can be carried out by this manner. Interviews are besides really utile in estimating the positions of people particularly when a service is in inquiry. Besides an in individual interview can assist in acquiring a more individualized and elaborate reply from the respondents as good. They besides allow for more elaborate inquiries to be asked as good and therefore follow up inquiries can besides be answered in this manner. They are more individualized than focal point groups therefore the respondent can be at more easiness every bit good. The ability of being influenced by others is besides non applicable in this peculiar class every bit good. Ambiguities originating from the inquiries in the interview can besides be cleared up every bit good with in individual interviews, and that is non possible with the other techniques of research available.

The advantages of utilizing questionnaires:

Questionnaires will be utile to enter respondent responses are many and one of that is that it allows for a much easier manner of garnering informations when a larger population is required. The clip required for make fulling in a questionnaire is less than that of holding an interview. Questionnaires are besides comparatively easy to analyse every bit good. For more sensitive subjects, questionnaires are the more appropriate pick. Anonymity can besides stay if the respondent does non experience like stating their personal inside informations every bit good. The existent cost of administrating a questionnaire is besides less. A questionnaire can besides make a larger population as good.

Sample Size

A Sample size of 30 participants will be chosen which will consist of pupils, Social Class B Social Class C, tourers and concern travellers.

Statistical techniques

Graphs and charts will be used to exemplify the consequences in order to show them in a more comprehensive and apprehensible mode. Arrested development Analysis can besides be run in order to better understand the relationships between the variables which will indirectly or straight have an affect on the low cost air hose industry.


Mentors in the company will be steering me throughout the class of this undertaking and are advised to steer me where they experience more in-depth analysis is required. 2 wise mans will presently be steering me:

Mr Nasir Javed Karim Bhutta: Passenger Gross saless Manager, PIA

Mr Javed Akhtar: Director Selling

Furthermore, the HR section will besides be easing me throughout the class of this undertaking.

Secondary research will besides be conducted every bit good in order to finish the literature reappraisal of this peculiar research undertaking.


What do you believe of PIA client services?

Less than 50 per centum of the population who were taking portion in this study indicated that PIA ‘s client services were good or above that. 11 participants were non satisfied with the service provided by PIA. 7 of the participants thought that the services were just plenty.

This study shows that the clients winging on PIA paths were split on whether the services provided were up to the grade or non. For air hoses like Emirates the evaluations for client services are much higher than the value that PIA has achieved in this study.

Comparison of services offered by PIA, Thai and Emirates.

Pakistan International Airlines Emirates Airlines

Thai Airways

Thai air passages and Emirates takes the lead in footings of the services offered from PIA in this respect. 26 out of 30 people said that the services offered by Thai and Emirates were above carnival and in comparing 24 out of 30 people ranked PIA services as above carnival. Thus we can state that PIA is a distant second topographic point after emirates and Thai air passages in footings of the services offered.

PIA has the most disgruntled clients every bit good in this study and therefore 6 people said that PIA ‘s services were hapless or really hapless. Emirates and Thai airways both merely had 4 clients who said that the services provided by these air hoses were hapless. It is pertinent to observe that no 1 ranked emirates and Thai air passages as really hapless in the service sector in comparing to PIA ‘s 2 ballots.

Quality of nutrient

Given that the repasts served on board are besides deemed of import by the riders, this inquiry was specifically put in to inquire if the quality of nutrient affected the pick of consumers when taking an air hose. Surprisingly 50 % of the riders said they were satisfied with the repasts on board PIA. For Emirates air hose this figure was 40 % , which is less than that of PIA ‘s. The figure for Thai air passages is the highest which shows that 53.3 % of the people like the nutrient served onboard.

This shows that nutrient does non play every bit of import as a function in make up one’s minding whether or non to wing a peculiar air hose

Technological Promotions

Harmonizing to this study, Thai airways has the largest figure of riders who believe that the technological promotions of Thai air passages is best amongst the other 2 air hoses in the study. 2 people said that there technological promotions were first-class, 9 said they were good and 17 said they were just. This shows that 28 people believe that Thai airways has the best technological promotions in the air hoses given and therefore they prefer winging with Thai air passages.

3 Peoples gave Emirates air hoses an excellent, 9 a ‘good ‘ and 15 a ‘fair. For PIA these figures were 2, 6 and 13 severally. Thus given the above information, it can be assumed that the riders do emphasize on the technological promotions of a peculiar air hose and PIA therefore ranks lowest amongst the other 2 air hoses in this study which indicates it should better its technological promotions to better accommodate the demands of the mark market who travel on the air hose.

How of import is Quality and Service while taking an air hose?

For Quality and Services offered on air hose, 10 participants indicated that while taking an air hose, this was a really of import factor while 14 indicated that it was an of import factor to see. This sums up to 24 out of the 30 people in the study. This goes to demo that so people do put an accent on the quality and services offered by air hose while taking which air hose they should so wing.

3 people said that it was non an of import factor and 2 said it was unimportant and 1 said it was extremely unimportant. Given the above statistics, it is safe to presume that now a yearss people are puting an accent on the quality and the services of the air hose every bit good excessively.

Pricing of a ticket while taking an air hose.

This inquiry intended to judge the consumers perceptual experiences on the pricing of the air hoses and whether it was really an of import variable to see while taking an air hose. 9 said that an air hose tickets monetary value was extremely of import to them and 14 said that it was an of import factor. This shows that people do care about what monetary values are being charged and therefore it can besides be assumed so that pricing does play an of import factor in choosing an air hose.

2 people said that they did n’t care about the monetary values offered by the air hose, while 4 said that monetary value was an unimportant factor and 1 said that it was an extremely unimportant factor. Given that the bulk did ballot for monetary value being taken into consideration while purchasing a ticket, it is safe to presume that the riders are going more witting of how they spend their money.

For long Haul flights, do you prefer taking PIA

For this peculiar inquiry, merely 8 people said that they would prefer taking PIA on a long draw path. 22 people said that they would instead wing other air hoses.

This shows that out of the 30 people who were surveyed, merely 26.6 % that they would prefer PIA while 73.4 % said that they would wing other air hoses. This shows that PIA does non hold a strong client base when it comes to long draw flights and therefore riders will wish to go on other air hoses other than PIA as they feel those air hoses really satisfy their demands more.

Ranking of different air hoses harmonizing to client penchants

This graph shows the degree of penchant that people have for the above 3 mentioned air hoses. From the informations given above, we can see that Thai airways is the most preferable from the list as 20 out of the 30 people in the study listed it as their most preferable air hose. Emirates was the 2nd as 17 people voted for that and PIA was the least preferable with merely 15 ballots.

PIA has the highest figure of non penchant amongst the riders as indicated by the above mentioned graphs. This shows that people do prefer winging one peculiar air hose over another one and therefore they choose air hoses that suit their demands. PIA seemingly does non accommodate the demands of many riders and therefore it is voted the least preferable air hose in the group. Thai airways every bit is clearly seen meets the demands of the population and hence is the most preferable air hose and Emirates ranks in between both PIA and Thai air passages in footings of the client penchant.

Given the twenty-four hours and age, it is no surprise that people now a yearss do pay attending to the services that they receive. This tabular matter shows us that 77 % of the people do believe that because of the deficiency of services available on PIA flights, clients do be given to fall back to other air hoses to wing on. These people think that PIA does non hold alot of the services which they want and those services are available with other air hoses.

23 % of the people nevertheless, disagree when they say that the deficiency of services is non impacting the air travelers that fly PIA. These people believe that other variables are the cause of people switching to other air hoses. However, given the bulk reply we have received, we can see that the deficiency of services that are provided on PIA flights is impacting the air travelers.

Comparison of long haul finishs offered by air hoses

Harmonizing to the client study, Emirates airlines has the best scope of finishs offered and therefore they are the 1s that riders prefer winging with. 5 people ranked their finishs as excellent, compared to 3 of PIA ‘s and 3 of Thai ‘s. Emirates had the highest figure of ‘good ‘ ballots as good, with 10 ballots compared to PIA ‘s 6 and Thai ‘s 7 ballots. Thai Airways nevertheless, was voted the highest in footings of ‘fair ‘ finishs with 12 ballots compared to emirates 10 and PIA ‘s 7.

PIA was ranked the lowest in footings of finishs provided and 7 people voted that PIA had hapless figure of finishs and 8 voted they had really hapless finishs. This was compared to Emirates 4 and 1 severally and Thai airways with 7 and 1 severally. Thus we can see that Emirates has the most favoured figure of finishs amongst the market that was surveyed. PIA takes the last place with the least figure of favoured finishs and Thai air passages is graded figure 2. Thus we can see how of import the finishs that are offered to the riders play a critical function in assisting them select the air hose that they want to go on and therefore impact their attitude towards the air hose.

Harmonizing to this inquiry, safety and dependability is considered to be an of import facet while choosing an airline.15 out of 30 people have ranked it as of import or really of import and 7 have remained impersonal on this stance. Merely 8 people have termed safety and dependability as an unimportant factor when taking an air hose to go on so.

Hence we can infer that the stairss taken by an air hose to increase the safety and dependability of an air hose are of import in theorizing the rider tendencies. The more safe and dependable an air hose is in footings of safety and dependability, and so more figure of riders will wing on the air hose that manner so.

Passengers place a great accent on the agendas of an air hose. They believe that the agendas are the most of import facets when it comes to taking an air hose as it is shown by the above mentioned diagram.77 % of the population rank it as of import or really of import.

PIA seemingly does non hold the right sum of flight times etc in order to fulfill the client demands and wants. Passengers want greater flexibleness in flight timings and PIA has really less sum of flight options available. Thus the riders do non hold the option of winging out at a clip that is convenient to them. That is nevertheless, available to them on other air hoses.

Analysis of Interview

Analysis of Interview with Passenger gross revenues Manager

There are many possible grounds for diminution in gross of PIA which are Competition, terrorist act which has led to a diminution in touristry, deficiency of handiness of newer aircrafts, limitations imposed on the air hose by many states are some of the basic grounds for diminution in gross. No betterment in services onboard and negative word of oral cavity adversely impacting the air hose. Monetary values of oil have besides increased therefore ensuing in an addition in ticket monetary value. No new metropoliss are being introduced on the path map hence it is neglecting to capture the market of certain metropoliss. The high monetary values of a ticket besides do non take into consideration the in-between and budget traveller.

Pia at one clip was considered the best air hose in the universe. Pia does non bask the repute now as it used excessively many old ages ago. The chief cause for that has been political instability which straight impacts the running of the air hose. Plans to make a better image and better repute are being formulated and implemented.

Plans to upgrade the ego cheque in are afoot which will better efficiency for the clients. And betterments in the aeroplanes and flight crew are besides being considered as good presently. Attempts are afoot to increase the figure of flights to new finishs. The pricing of tickets is being considered in order to convey them lower than normal that of challengers in the industry.

Lack of resources available history for the proficient jobs faced. This is in the form of deficiency of trim parts, deficiency of technology chances all over Pakistan etc. the service jobs are being looked into nevertheless the proficient facets are more of import as the safety of riders is out first precedence. The deficiency of proficient chances besides leads to the foundation of PIA aircrafts. The debut of a new reserve system ( SABRE ) and the buying of high tech planes like the 777 series have helped PIA better its image and has led to an addition in rider grosss one time once more.

Many chances are possible. Ad on Television more often and internationally will assist increase rider grosss. Following a selling scheme along the lines of other successful air hoses is besides pertinent.

deficiency of handiness of newer aircrafts, limitations imposed on the air hose by many states are some of the basic grounds for diminution in gross. No betterment in services onboard and negative word of oral cavity adversely impacting the air hose.

Analysis of interview with Manger Marketing

The PIA has suffered a drastic lessening in its image and repute as a consequence of which client volumes have besides suffered. Both governable and unmanageable factors have led to the diminishing of the PIA repute.

PIA was the first air hose in Asia to present In-flight amusement. It has besides been the launch client of the 777-200 which is one of the universe ‘s finest aircrafts. The last 10 old ages have besides resulted in PIA traveling online, as a consequence of which the clients are able to book and modesty seats online.

PIA plans on upgrading the services offered and has ordered new aircrafts every bit good. The technology section is besides being improved in order to minimise flight holds etc.

Improper care has resulted in proficient issues originating in the air hose which hampers productiveness of the aircrafts. Attempts are afoot to better both the technology sections and the onboard services of PIA.

Research findings

First and foremost it is pertinent to advert that the riders who are going on PIA have the issue that PIA services are non up to the grade. They believe the services of other air hoses are better suited to their demands and hence they purchase tickets from those air hoses.

Technological promotions in the air hose were besides an of import factor on long draw flights. Passengers wanted the maximal sum of options available to them ( in footings of fleet, inflight amusement etc ) when they were winging. Passengers felt that their demands were non being met on an air hose like PIA.

Customer services and cordial reception besides go a long manner in set uping the long term client relationships with the riders. The riders who travelled on PIA felt that the hospitalility factors for PIA were non up to the grade in this twenty-four hours and age. They felt that other air hoses met their demands in a better manner.

Pricing of the tickets was besides an of import factor that the riders took into consideration. This was mentioned in both the interviews of the Directors at PIA and the riders who participated in the study every bit good. Peoples felt that the monetary values of the tickets on PIA were excessively high in comparing to the other options available to them every bit good.

Finishs offered by the air hose are besides an of import factor when it comes to make up one’s minding an air hose to go on. Peoples feel that PIA does non hold plenty long draw finishs that they want to go to.

Lack of expertness in the company besides affects rider gross revenues. This affects the policies which are implemented in the company and therefore it hampers the profitableness.

Political instability of the state besides affects PIA every bit good. The frequent work stoppages and the brotherhood jobs frequently consequences in flights being cancelled or delayed and therefore people do non desire to be inconvenienced in any manner and therefore they resort to booking with other air hoses as good.

Given that these yearss this is a society that gives high value to the quality of the services they receive, the research found out that the quality of services on PIA is non at par with the international criterions now readily available.

Safety and dependability of an air hose are besides perceived to be major factors riders depend on when make up one’s minding on which air hose they should go.

Wayss to better the efficiency of PIA need to be introduced as good. These include offering self look into in booths, betterments in preparation Centres, technology etc. This can assist the riders choose an air hose that best suit their demands and wants. It can besides assist in the preparation of the people who interact straight with the riders as these people are the 1s that can assist the riders when they require aid.

The current agenda of flights of PIA are besides haltering the client penchants of winging PIA. PIA has a limited figure of flights for each finish per hebdomad and therefore the clients are non able to wing out at a clip that suits them. This is why riders choose to wing on other air hoses as those air hoses offer the riders the flexibleness of taking a flight that suits their ain demands.

Analysis of findings and Data tabulated

For this study, 19 males and 11 females were selected. They were all above the ages of 18 and more than half were pupils in the undergraduate and the graduate student.

Through this research it was reasonably much evident that riders were non willing to go on PIA on long draw flights. Even the PIA Managers said that there were gross revenues had come to a low degree owing to the riders taking other air hoses. In a comparing amongst 3 air hose PIA was at the bottom rank as the riders chose other air hoses as their preferred air hoses to go on. Harmonizing to the direction, Both governable and unmanageable factors have led to the diminishing of the PIA repute.

Passengers besides said that they believed that the figure of finishs offered by PIA should be increased every bit good. They believed that PIA did non offer that many finishs as their rivals did and that is why those people preferred to wing on those air hoses. The path map for PIA needed betterment. This clain was farther backed up by the direction of PIA who said that they were non providing to the demands of the riders in footings of the paths that were offered.

The image of PIA is besides turn outing to be an issue every bit good as people believe that PIA is non a dependable air hose to go on. Thus it can be inferred from this information that safety and dependability has a major portion in the rider gross revenues of a peculiar air hose as good. the incidents which occur and are highlighted in the media are besides a strong index to this as well.people therefore resort to utilizing other air hoses. Lack of resources available history for the proficient jobs faced. This is in the form of deficiency of trim parts, deficiency of technology chances all over Pakistan etc. the service jobs are being looked into nevertheless the proficient facets are more of import as the safety of riders is out first precedence.

Agendas of an air hose are besides of import in set uping the rider Numberss on an air hose. Peoples find the agendas of other air hose suit their demands more than that of PIA. They besides find them to be more flexible. Thus this is why riders have besides shifted to other air hoses. Given this twenty-four hours and age people have clip restraints and therefore they want to go at convenient times and PIA does non offer them that service and the other air hose do.

Customers besides believe that PIA does non hold any technological progress equipment in comparing to that which is available by the other air hoses. Peoples choose to go on other air hoses because they feel they have the best engineering available in the market and therefore they will be better off winging those air hoses. PIA has non had any new technological promotions and their fleet is besides acquiring old and has non been improved. The direction of PIA besides agrees with this and state that the air hose has non been in a fiscal place to acquire new aircrafts etc even though they recognize the demand for upgrading their fleet.

The direction of PIA besides pointed out that the services that were offered on PIA flights are non the same as they were one time used to be. The services were non comparable to the services offered by other air hoses as good. Therefore people were non willing to go on PIA now. The direction besides pointed out that PIA had non had any technological discoveries late and therefore was still traveling utilizing engineering which was now old and other air hoses had kept brining in new engineering in order to delight their clients.

the riders pointed out that PIA was non functioning that many finishs. In response to that the direction of PIA said that there were a batch of limitations imposed on them that is why they could non add more paths to their web. PIA has already been cognizant of the fact that the paths need to be improved but with limitations being imposed, there is no manner to make that.

The direction has besides acknowledged that negative word of oral cavity promotion has besides caused this job of loss is gross. Peoples have non had pleasant experiences on PIA that is why they start giving negative promotion. This impacts the air hose as in the hereafter the riders so are loath to go on the air hose and therefore they travel on the alternate air hoses available. This has proven to be a major issue for PIA in footings of loss of gross.

Overall comprehensive Analysis of Undertaking

In the beginning of the research undertaking, interviews were conducted with the direction of PIA in order to happen out a suited subject to carry on market research on. These interviews were with the top degree direction of PIA. Over the class of the interviews it was learned that PIA was running at entire capacity on domestic paths because it was the lone air hose that was winging to finishs that were distant and unaccessible by other air hoses.

However on the International paths, PIA was confronting stiff competition and therefore losing out on net incomes. Many of the flights which were long haul flights were half empty and therefore there was a deficiency of riders on PIA flights. In comparing, the rival flights were coming and traveling from Pakistan with all of the seats occupied. PIA had been confronting this job for some clip and therefore did non cognize how to respond to it. Owing to this, I decided to transport out research to happen out the grounds for the loss of riders on PIA flights.

Before transporting out primary research, secondary research was conducted in order to happen out the grounds globally for the diminution in riders on PIA flights. Many grounds were brought into position for the diminution in riders. The first and first ground was the economic crisis in the universe. This economic crisis had led to a diminution in travel internationally and other air hoses were being faced by the same job. Beside the economic crisis, the lifting monetary value of jet fuel was besides an issue. Airlines were go throughing on the excess fuel monetary value to the consumers and therefore that led to an addition in the ticket monetary value for the consumers. Therefore owing to this, riders so shifted to alternate methods of transit i.e. , the train and the coach.

Besides the deficiency of proper agreements in an air hose besides led to a diminution in the gross revenues. This is because the air hoses have non been able to capture the market of smaller metropoliss. The agenda of battles from and to smaller metropoliss from the major metropoliss are non co-occuring with the long draw flights therefore the riders from those smaller metropoliss who want to go on a long draw flight, have to wait for a longer continuance. That is why many of the riders choose to utilize the other agencies of transit alternatively of winging and therefore this hampers the gross revenues as good of an air hose.

The primary research consisted of both questionnaires and interviews. These methods were chosen because they were the most feasible options available in order to derive the most accurate information sing the PIA long draw flights. The questionnaires were filled in by the riders who often travelled on PIA flights and the interviews were of the direction of PIA. in the questionnaires which were filled out, it was gauged by the responses of the riders that many factors contributed to them taking an air hose to go on. They said that PIA did non hold the services which were available on other air hoses. They besides said that the paths of PIA were non plenty for the riders and therefore they chose to wing on other air hoses. PIA besides does non hold proper programming of flights and therefore the flight timings are non suited for them. Besides the fact that PIA has a repute that is non that good and besides the fact that there are frequent holds in flights every bit good besides contribute to riders non desiring to wing on PIA. the riders preferred other air hoses because they felt that by winging on PIA they would be subjected to a batch of jobs and that is non the instance with other air hoses therefore they prefer winging other air hoses. The quality of services offered by PIA were non good either and in this twenty-four hours and age, people give a batch of importance to the services offered on board a flight.

In a comparing of three air hoses, PIA was ranked the lowest in footings of client penchants. Passengers felt that their demands were met better with other air hoses and therefore PIA was non their first pick to wing with. Besides an of import factor was the pricing of the tickets. The riders felt that PIA had really expensive tickets on long draw paths and there were cheaper options available for them every bit good. Harmonizing to the monetary values charged and the services offered by PIA, riders felt that they were non acquiring their moneys worth with PIA. That is why they preferred winging other air hoses in comparing to winging PIA..

Harmonizing to the riders who were taking portion in this questionnaire research, PIA is besides non perceived as a safe air hose to go on either. This has chiefly been caused by the proficient jobs which have arisen on PIA flights and have come into the position of the general populace. No 1 individual factor has led to a diminution in the gross revenues of PIA but alternatively it is a combination of multiple factors which has led to this province of PIA.

The interviews of the direction besides revealed that many factors were doing the gross revenues to worsen. The direction of PIA thought that owing to the deficiency of technological promotions in PIA and the deficiency of installations available on PIA flights were a few of the many grounds which had led to the diminution in the riders on PIA flights. However the other issues that were highlighted by the direction besides consisted of aging fleet, deficiency of paths available, etc. in the state every bit good. Technical issues originating invariably besides and the deficiency of resources available to work out those issues is besides a job. Many planes have been grounded and are non allowed to wing because they do non go through the safety ordinances.

Another major ground for the diminution in gross revenues of PIA harmonizing to the direction is the deficiency of touristry in the state. This is due to the political instability in the state. Having no clear vision for PIA besides leads to the air hose non being properly tally either. the lifting monetary value of jet fuel has besides led to the ticket monetary values being increased. PIA has had no clear and consistent scheme of covering with this addition unlike many other air hose who had taken stairss to forestall the ticket monetary value from leaping up and therefore doing jobs for the air hose.

While construing the research that was carried out it has become evident that air hoses need to hold a clear and consistent scheme to cover with the issue of worsening gross revenues on long draw flights. This is a quickly altering environment and air hoses need to hold a consistent scheme to get by with the alterations that are go oning. Without the scheme air hoses will non be able to do good. The scheme should be formulated good plenty so that it takes into history the assorted issues that need to be finally solved and therefore assist the air hose in work outing those issues. Future rapid alterations in the market besides need to be seen so that stairss can be taken to guarantee that the air hose is prepared to really manage any state of affairs that they may meet.

Therefore it can be said that there is no 1 apparent ground for the diminution in net incomes for PIA. Changing consumer tendencies and the involuntariness of PIA to alter itself to the demands of the consumers have brought on this loss. PIA lacks in a batch of classs and that is why there is a deficiency of people who are willing to go on PIA flights. To come up with one peculiar ground for this loss is non possible as it is a mixture of many factors taking to it.


There are many recommendations that can be made to PIA after the class of this undertaking.

PIA needs to better its services and quality in order to derive client satisfaction. Customer satisfaction plays a really of import function in hiking the grosss and presently client satisfaction with PIA is really low. Services scope from the seating in the aircraft to the nutrient provided onboard every bit good.

Repute of PIA is conveying down the grosss as good. The flight cancellations and holds are besides a hinderance to the clients as good and therefore they resort to other air hoses to go. Having a flight which leaves on clip can really assist hike client morale sing the air hose in the hereafter when they need to go.

A°t besides needs to put in advertisement so that clients are cognizant of the trades and publicities and the clients are non kept in the dark any longer as PIA will be the 1 who will in the terminal bear the brunt of it as travelers will go on to switch to other air hoses they will believe fulfill their demands more suitably.

PIA besides needs to better the preparation of its crew and come up with an luxuriant preparation system as through my research I saw that clients were non satisfied with the hospitality/customer service facet of PIA.

Onboard amusement really needs to be improved excessively as on long draw flights the amusement system is something that keeps the clients busy and therefore through my research it can be seen that the amusement provided upon PIA flights is non at par with those on other air hoses.

The image of PIA besides needs to be improved. It is non percieved as a safe air hose to go on and this needs to be corrected. This can be done by replacing its fleet and integrating new province of the art aircrafts into the fleet. The flight operations besides need to be improved as well.A TheA EngineeringA section can be improved every bit good.

By offering installations like e-check in, precedence cheque in, free ticket delieveryetc which are offered by other air hoses PIA will be able to recover some of its market portion therefore giving a encouragement to the grosss.

Offer services that will outdo suit the demands of the consumers and offering economical menus given that there is a recession and people are moreA witting about where they spend their money and how much.

Paths of the air hose demand to be improved every bit good as presently PIA is non winging to many metropoliss as there rivals are. Passengers who want to wing PIA are unable to as PIA does non provide to their coveted metropolis of travel so. Therefore they resort to other air hoses as good.

Technological promotions besides need to be made in order to be at par with some of the best air hoses in the universe as PIA is presently dawdling behind.

Customer Services demand to be improved every bit good as during the class of this undertaking, it was noted that riders are non satisfied with the degree of services provided.

A clear and consistent scheme demands to be adopted for the efficient running of the air hose. Without this the air hose will non cognize what it needs to accomplish and the stairss it needs to take to accomplish it.


In decision we can see that the current client base does non believe that PIA is an air hose that is their figure one pick of travel. Passengers believe that PIA does non presently suit their demands and therefore they need to go on other air hoses to fulfill those demands. There is non merely one facet of PIA which needs betterment, but instead a overplus of facets that require PIA to better and therefore assistance in the recovery of riders.

Peoples do believe that other air hoses better suit their demands and hence winging on those will be more good to them. Long haul flights operated by other air hoses are more good as they offer more finishs, services etc to the riders who therefore improves the full experience of going. Peoples besides tend to wing other air hoses because they are cognizant of the PIA flight breaks and in order to do their journey as hassle free as possible, they opt for winging other air hoses.

Now a dayspeople are cutting down on going disbursals therefore are being forced to utilize air hoses which offer cheaper tickets even if it involves increased traveling clip. PIA has increased the monetary values of its tickets and so people find that going on PIA is financially non a valid option and therefore they resort to utilizing other air hoses to go on.

Anchoring of aircrafts which consequences in cancellation of flights due to non handiness of aircraft and care jobs is besides a hinderance to the people every bit good as they feel that PIA is non a safe and dependable option to go on so really.

Passengers besides agreed with the fact that PIA has the least figure of services and technological promotions like in flight amusement options available and on long draw flights these are the things that really matter and therefore other air hoses invest to a great extent on holding the best of the services and technological promotions available to the clients therefore the riders will of course fall back to utilizing those air hoses.

Therefore through the class of this research, many facets of PIA have been highlighted through secondary and explorative research which needs betterment. The solutions to the jobs need to be implemented rapidly in order to salvage the air hose from losing more gross and therefore finally losing out on their cherished client base every bit good.


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