Essay on Crises That Change Airline Industry in Malaysia

1062 Words May 18th, 2012 5 Pages
As an oligopolist industry, airline industry is far from free of crisis that will affect the airline industry’s way in approaching the business in order to sustain their potential ability in the industry. Any slump in economics, political and etcetera will massively contribute to the downturn of certain airliners and in more serious cases, rendering the business and eventually might lead to bankruptcy. Malaysian Airlines have had a rough time in some years regarding their financial stability, and such crisis forces the airliner to change their ways in approaching the business in a way that will rescue them into staying in the industry. Generally, Malaysia Airline will be taken as the main reference on each and every case appeared on this …show more content…
The fact that the virus was highly transmissible in a way that even a skin contact with the body fluid of infected person might get them the disease, oversees flight sale had been majorly affected. Most of the airline industries, especially the Malaysian Airlines had come to sense that prevention method must be resolved in order to re-establish their international flights in regards to the Influenza A’s effect. They, Malaysia Airlines had increase the security by implementing strict regulations for every passenger who had shown any flu symptoms, but unfortunately, the resolution had given a none-effect on the cause as the fear of the disease was massive. Besides that, the increment of the rate of terrorist attack was at the same time, had furthermore hindered the airliner’s international flight. Cases were recorded that terrorist were actively hijacking flights, and the outcome was fatal in some cases. Airliners in Malaysia had resorted a way of increasing the security regarding the terrorism, but the venture had came to nothing.

In the year of 2005, the year which was when Dato’ Seri Idris Jala became the CEO of the Malaysia Airlines starting of 1 December, Malaysia Airlines have had the worst financial crisis in 50 years history of the national’s main airline. The financial downturn of that year was then settled by the appointment of the aforementioned personnel; now one of the Malaysian Minister in Prime Minister Department. He solved the financial problem by

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