Question:

AIR UNIVERSITY
DEPARTMENT OF BBA

SEMESTER: SPRING – 2022

ASSIGNMENT N.O: 03

NAME: MUHAMMAD FAIZAN NAWAB

REG. / ROLL NO.: 211516 SECTION: 2C

DATE: 12-2-2022

For Examiner Use: _________________________________________

MARKS OBTAINED: ___________ TOTAL MARKS: __________

SIGNATURE: ________________
 What are the main factors influencing an organization’s
marketing environment? Using a framework of your choice, describe
how trends in each of the main environments impact the current
Pakistan’s for airline flights. How could these insights into the
marketing environment help shape Pakistan Airways marketing
strategy when developing this market?
Answer:
There are six serious environmental marketing factors. These comprise
of the following:
1. Socio-cultural factor
2. Legal factor
3. Economic factor
4. Political factor
5. Technological factor
6. Demographic factor
Main Environment impact on the current Pakistan’s for airline flight:
1. COVID-19 impact:
The global aviation sector has been severely impacted by the Covid-19 outbreak.
Before several of the global shutdowns occurred in February 2020, PIA took
proactive measures. which include:
 Evolving a ‘cash ICU’, engaging with financial institutes, major sellers
and suppliers manage cash flow crisis better.
 Working early exile flights. In total 300k Pakistanis have been
repatriated, many from regions PIA had not before flown to.
 Quickly shifting to distant working.
Insights that help shape Pakistan Airways marketing strategy when developing
this market:
Following the COVID-19 epidemic, PIA will continue to function in a hard and
impulsive environment. Motivating and keeping employees and enhancing
product and service quality and safety will all remain top priorities.
 2. Air transport connects Pakistan to cities around the world (Technological):
If Air transportation's distinctive contribution is the bridges it builds between
cities, then the flows of products, people, investment, and ideas that branch the
economic growth must remain unrestricted in order to maximize their value to
consumers and the wider economy. We measure how readily products and
people move here.
Insights that help shape Pakistan Airways marketing strategy when developing
this market:
By providing quick links between cities, air transportation helps customers and
the greater economy. The economic movements of commodities, investments,
people, and ideas that are the primary drivers of economic progress are enabled
by these virtual air bridges.
3. The air transport spending (Economic):
Air transport manufacturing, including airlines and its supply chain, are estimated
to support US $2 billion of GDP in Pakistan. Costs by foreign tourists supports an
additional US $1.3 billion of the country’s GDP, totaling US $3.3 billion. In total 1%
of the nation’s GDP is supported by inputs to the air transport sector and foreign
tourists arriving by air.
Insights that help shape Pakistan Airways marketing strategy when developing
this market:
Benefits from air transport to economy can be seen from the costs of foreign
tourists and the value of exports though note these figures include all modes of
transport. A key economic flow, encouraged by good air transport networks, is
foreign straight investment, creating productive assets that will make a long-term
flow of GDP.
4. Annual passenger flows by region(Demographic):
The Middle-East is the main market for passenger movements to Pakistan,
followed by Asia-Pacific and Europe. 6.1 million passengers arrived in Pakistan
from the Middle-East (51.5 percent of total), 4.1 million passengers came from
Asia-Pacific (34.6 percent of the total) and 1.2 million passengers came from
Europe (9.8 percent).
Insights that help shape Pakistan Airways marketing strategy when developing
this market:
Passenger facilitation:
Pakistan’s passenger facilitation (1.6/10) scores below the
average of Asia-Pacific (4.4/10). Improving the facilitation will increase the rate in
which people travel in PIA.
Measures of air cargo trade facilitation:
Pakistan’s facilitation of air cargo finished
its regulations ranks 67th out of 124 countries in terms of the Air Trade
Facilitation Index (ATFI). The margin fairly not so satisfied by the cargo supplier
and consumer about 20% of the cargo is damaged due to low quality of Airplane
of the PIA.