Pakistan International

Airlines (PIA)
Presented by:
Zulaikha 22L-8448
Omaymah 22L-8451
Hamza khalid 22L-6432
This Photo by Unknown author is licensed under CC BY-SA.
 Political Economical

Macro
Environment
Social Technological
Political analysis

Political factors greatly affect PIAC as it is held by government in large share

Political distress in neighboring countries affects our airline industry

Change of government results in change of business owners

Political stability provides more investment to PIAC

Economic analysis

PIAC is mostly dependent on customer revenue hence economic conditions of market is very important

Decrease in income of people decreases the number of customers

Increase in fuel prices increases ticket prices

Social analysis
Explosive elevation in youth's education level
Increase in number of people for Hajj and Umrah
Initiative to automate check in and ticket booking process is not well received by general public
Demand for in-flight entertainment systems
Technological analysis
Introduction of viper jet
Introduction of auto check-in counters
First airline to install Sabre system
Business plus lounges are equipped with latest magazines, internet access and snacks
Use of fiber optic cable to stay connected with the airline departments
Micro Competitors

environment
company

Customers

Marketing intermediaries

Suppliers
• Customers
• It has a wide market share of 51.2%
• Network includes major airports both
domestically and internationally
• High quality customer service
• Competitors:
• It is competing against Airblue as it has strong
brand image and customer loyalty
Company
It has globally strong network
It operates with involvement of autocratic model
Employee involvement is limited
Centralized structure
Suppliers
Has put out foreign tenders to expand fleet
Tender has 128 groups to provide the aircraft
Marketing intermediaries
Brand marketing through sponsorships
 PIA is an International Organization

It flew its first

It merged with
international
orient airways in
flight from karachi
1955
to london
Difficulties Faced while going International

One third of all piolet

Following the crash in
A french national's licenses were found
2007, european Airline is banned by UK
attempt to hijack a PIA fraudulent as a result it
commision banned PIA and US
flight was barred from flying
from flying to Europe
in european airspace
Culture • The work place culture of PIA is centralized
• Hiring outside candidates at market rates
• Takes illegal notice against those employees
who don't take their work seriously
Economic factors effecting the organization

Inflation and downsizing due to Covid 19

Introduction of "Cash ICU"

Currency devaluation
Culture and its Highlights
• PIA has National culture with centralized workplace culture
• An international firm so cultural intelligence in present
• National Culture has collectivistic approach, “PIA has cooperative work culture
and provide us with the opportunity of well diverse internship
program. exposed to different sub department of finance and learned the
basic procedures and system of the department.”
• High power distance practiced in Pakistan International Airlines
• No long and short orientation of the organization due to corrupt bureaucrats
leading and managing the organization
 Due to high power distance no action is taken
IMPACT ON against the concerns of the employees

PRODUCTIVITY Frequent government change means frequent

OF EMPLOYEES management changes, “New management is
not rigid and very incompetent.”
AND
STAKEHOLDERS Unsettling for the employees and stakeholders
 Reduced discrimination due to National culture of
the organization
CULTURAL
FACTORS Collectivistic approach builds unity and harmony
among the staff and provides an overall good
SUPPORTIVE OF workplace environment

EMPLOYEES National Culture creates familiar workplace

AND environment

STAKEHOLDERS Easy for stakeholders to hire as employees from the

home country already trained about the best work
approaches and practices of the national culture
 • The national culture of PIA with ethnocentric
attitudes and considerable workplace environments
PERSONAL is significant but somethings are worth changing
• Should implement low uncertainty avoidance for the
ASSESSMENT airline to be competitive

REGARDING • Should practice low power distance for awareness of

employee concerns and decision making
CULTURE OF • Hire dedicated and trained employees for better
customer experience
PIA • these cultural changes would make Pakistan
International Airlines reach new heights in terms of
profits, competitiveness and customer experience.