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AirAsia Vietnam Joint Venture Mirrors Thailand Strategy

Category: Tourism, Posted:27 May 2010 | 06:00 am

In what will no doubt be a surge for both tourism and business in Vietnam is the recently announced joint venture between leading budget airline AirAsia and VietJet Air.
Adopting a similar strategy to how the carrier expanded in Thailand with the Thai AirAsia model, clearly the structure allows a far easier method of penetrating domestic markets which are traditionally highly restructured to incursions by international operators.
There does remain the danger and volatility to creating a network based on joint venture companies which could see brand standard variances and differing financial models in the long term though.
As for now AirAsia certainly is rapidly becoming one of the most prolific success stories in the region.

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