Fernando, Yudi
(2011)
Managers' Perceptions On Best Business Practices In Low Cost Carriers Industry In Indonesia.
PhD thesis, Universiti Sains Malaysia.
Abstract
The objective of the study was to develop a low-cost carriers’ excellent business
model, with the emphasis on the internal and external organizational competence. The
triangulation methods were proposed to contribute to the body of knowledge and give
a new insight for business practices. The research process started on the preliminary
data gathering. To get a new insight on the theoretical model development, the present
study provides benchmarking results on the two best low-cost carrier practices in the
six regions. Further, international phone call interviews were conducted to explore the
managers’ perceptions and interpretations of the internal service quality. Indonesia
has been chosen fit for the assessment of the model because it was listed as one of the
countries that have more than five aircraft crashes in the last few years. A survey was
conducted and the data obtained from 209 sets of usable questionnaires. In
quantitative study, unit analysis is strategic business unit and resource based view
serves as underlying theory. Based on quantitative findings, it is found that a positive
relationship exists between internal marketing and internal service quality. The
current study also finds that internal marketing and internal service quality are
significantly related with airline business performance. The synergy between low-cost
carrier and the supplier produces excellent service and strengthen airline business
performance. The study is drawn to the conclusion that both qualitative and
quantitative findings are complementing each other.
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