ACKNOWLEDGEMENT

This report has been prepared in the partial fulfillment of the

requirement for degrees of Bachelor of Business Studies. The main

objective of this fieldwork report is to present the conclusion of the study of

marketing environment of Yeti Airlines.

I shall express my gratitude to those helping hands without their help

the assignment of writing this report would have been very much difficult, I

owe thanks to my respected teachers Dr. Pushpa Raj Rajkarnikar and Mr.

Binod Khadka. Who helps me to prepare this report.

I would also like to express my gratitude to my brother Sanjay

Maharjan and friend Sudip Sing. My special acknowledgement to all those

who have directly and indirectly help me, they will always remain safe in

my mind.

Sabita Maharjan

Namuna Machhindra Campus

Roll No. 15851/063

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Table of Contents

Chapter I - Introduction

1.1 Background

1.1.1 Civil Aviation in Nepal

1.1.2 Introduction to Yeti Airways

1.1.3 Objective of Yeti Airlines

1.2 Objective of Study

1.3 Significant of Study

1.4 Limitation of Study

1.5 Methodology

Chapter II- Presentation and Analysis of Data

2.1 Marketing Environment

A. External Environment

1. Macro Level Factors

2. Micro Environment

B. Internal Environment

i. Marketing Mix

ii. Resource

iii. System & Procedures

Chapter III- Summary and Recommendation

3.1 Summaries and Conclusion

3.2 Recommendation

2

INTRODUCTION

1.1 BACKGROUND

`

Airlines - are those companies that provided flying services to peoples and safe

transportation of Cargo by sky with there Schedules of Charter as per public Interest and

Conditions geographical structure of the regions.

These airlines are highly promoted because of its demolishing time and space Barrie,

reliability of touching the far remote place where the means of reaching very difficult

and long walk. Over all can chalk out why it is promoting more and more airlines

companies and why the people eager to use this means of transportation. They are as

follows:

Quick means: Among all means of transportation, airlines are the fastest.

Short way: Since it is uses the sky route, it definitely talks the Shortest way

possible.

Security: Science perishable goods are easily damaged, so for the most efficient

way of transporting they would be air.

Suitability: Turbulence due to bad roads of Nepal will be avoided in air

transportation. So air transportation has to be considered very suitable.

Natural way : Since the peoples economy is increasing and the airlines market are

increasing vigorously.

But with various advantages there are some disadvantages there are as well:

The investment is very high.

Usually it gets disturbed climatically.

In the context of Nepal where the geographically fill with the mountains and hill,

here the means of travel is only possible by foot to far remote areas. So the air

services have been helping to connecting the places from the very beginning.

Mainly there are two types of airlines:

1. International: Connecting the international places (beyond the political

boundaries of a nations)

2. National: Connecting the domestic places (within the political boundaries of a

nation)

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1.1.1 Civil Aviation in Nepal:

The history of Airlines is being introduced somewhere from the west. But

here in Nepal a private carrier of India called operates the first civil aviation. M/s Indian

National Airways in 1951 between Katmandu to Patna. After two years M/s Himalayan

Aviation also an Indian Company started operation within Nepal sector- Kathmandu,

Bhairahwan, Pokhara, Biratnager and Simra in 1953. But in 1953/54 many private

carries from in India, so all these carries amalgamates and a separate association is

formed by Indian Airlines Corporation to operate the flights within Nepal and outside of

civil aviation in Nepal till 1957. On 01 July 1958 after long isolation HMGN

nationalized the operation of civil aviation of Nepal and formed RNAC. Afterwards

government of Nepal took over all staffs and fleets to run it, appointing Managing

Agents. It was only in the year Oct 12, administration with only one DC - 3 Dakota - 28

seated Aircraft. In 1959/60 - 3 added under US aid Program. In 1960 the service

expanded to Patna/Delhi/ Calcutta and gradually followed with palates Porter PC - 6

single engine craft in 1961- 1998,Fengushu Harvester AN - 2 (2 seated Chinese planes)

in 1963/64 with 4 more DC - 3 in 1963/64 used up to 1973. In the same year, 1963

expansion of flight to Pakistan i.e. DACCA. Like wise brought AVRO in 1970, Twin

otter DHC - 6 in 1971, Boeing 727 in 1972 - 1993, Boeing 757 in 1987.

1.1.2 Introduction of Yeti Airways :

Yeti Airways is private airlines situated in Lazimpath, Panipokhari and

Kathmandu. This is the central office of yeti Airlines in branch offices in different

location, established as station to where it operates its flights and some in Kathmandu,

use for in purpose representing the company for easy available to the customer.

Yeti Airlines was established in 19 Sep, 1998 by its proprietor naming Ang

Teshring Sherpa win two aircraft 9N-AEV and 9N AET DCH _3-600 Twin. Other in

lease purchase process. Now it has two aircraft 9N AFE and 9N AFD that altogether

makes them four.

Yeti Airlines mostly operates its flights on Eastern Regions of Nepal where as of

Lamidanda. In western sector Pokhara, Jomsom and from Nepalgunj to Simikot, Dolpa,

and Jumla, these flights are mostly the cargo business.

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Its operate as per AOC (aircraft operate certificate) means 60/40 % rate and 10%

charter with insurance provision, issued by civil aviation authority of Nepal which under

legal requirement of country and ICAO.

1.1.3 Objectives of Yeti Airlines:

Since, it is private company; its primary concerned is the profit with consumer

satisfaction and development of its market with respect of peoples economic as well as

demand (interest), which helps country in the national economy for developing. It is

generally proclaim that the main object of business is to earn profit as we see that yeti

Airline cannot afford to keep profits as its sole objectives.

As Henry ford declared in his auto - biography that "mere money - chasing is not

Business."

Yeti Airlines also is a business on the basis of services which would be within the

means even of low - income group as well high - income group say foreigners and

which, therefore, would serve the general mass of people by providing its goods as

service at a price which community wants, which community can pay. As per civil

aviation's rules there should be operate 40% of its flight to local sector-the non profitable

sectors so that the private company also helps on the me load of transportation which the

people of Nepal are handling.

Since it is business essentially an economic activity that carried on by the people

(entrepreneurs & managers) through people (employees) for the people (consumes &

Society at large). So looking as economic institution functioning in social, political &

cultural environment, the objective of Yeti Airlines can determine inside activities of the

enterprise itself and environments by which and within response. Thus the objectives can

be promoted likewise:

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a. ORGANIC

Since it is business of organized of people to conduct business activity, which is

organic entity, having own infancy, childhood, and adulthood done. On the process of

getting to the childhood its also take with itself all other objectives like economic, social,

human and national all means as achievements of business enterprise and it activities,

without fulfillment of which cannot hope to survive for long leave part growing, like

Charles Darwin said that the survival for fittest.

b. ECONOMIC:

Yeti Airlines is private company, so with its own reorganization it is basically an

economic activity organization. Its prime objectives are economic when saying directly.

i) Profit:

Like other enterprise, profit may earn to provide not only for growth and expansion of

business activities but also for avoiding losses on social sector flights, which beings for

services oriented so that it can continue its function. So the objective is to earn as much

as profit as which cover its future risks.

ii) Creation of Customers:

Business involves of the exchanges of services and good between the enterprises and

people to satisfy the need of customers, So it is sustained to say the customer is body

who determines what businesses, how it will be their formations, which keep in

existences, the body that supply the wealth resources to business, Since the airlines of its

public services oriented, without customer any business is nothing just the object of its

fantasy world, to identify the categories of potential customers is the vital role of its too.

ii) Innovation:

It is necessary to innovate for giving dynamic power to functions of business, which can

increase its competitive strength as well as improve its image in the mind of the

customers. Like Yeti Airlines goes on visited to its agents thoroughly, giving incentive to

stockiest, certain percent commission to agents and also change the percentage rate on

commission as per the condition and market.

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c. SOCIAL OBJECTIVE:

Yeti Airlines operates in society with public oriented by providing society needs

the services say its flights areas where the means to connect is just foot. Since it is

service – oriented business is possible. This age’s the consumerism & that thing every

business is known about it. So customer is always right and their right to choose

whatever they like.

i. Supply of services to local sector like Lamindada, Rumjatar, Phaplu, Dolpa

and Simikot.

ii. Supply good quality tickets, services giving on abroad with snacks, juice

wearing an own culture dress, which helps to promote the culture and feels

like their own.

iii. Helping a society by producing the employment.

d. HUMAN OBJECTIVE:

Through medium of human being working as teams in organization without which we

cannot even think of organization. So, it is the main force of the company, therefore,

there should always be:

i. Fair dealing to employee.

ii. Development of human resources.

iii. Participation – change to give making decision as effects themselves.

iv. Job satisfaction – fob interesting and challenging.

v. Helping in national income by increment of its business.

e. NATIONAL OBJECTIVES:

Keeping in view the national goal of establishing a democratic socialist society and

achieving growth with stability and social just Yeti Airlines had following major rate:

1.2 OBJECTIVES OF STUDY

It is the well – known facts that for the economic development of the nation, Airlines

plays a vital role. Yeti Airlines is contributing the social activities in private sector. It

expands the station in different sectors of the Nepal. Like Lukla, Rumjatar, Lamidanda,

Rukum, Dolpa etc. However this fieldwork does not cover the wide scope of this

Airlines, but it has been develop to give summarize view of Airlines. So the main

objectives of the field works are:

a. To identify the external marketing environment of the Yeti Airlines.

b. To identify the internal marketing environment of the Yeti Airlines.

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c. To compare between the domestic Airlines in the marketing environment.

1.3 SIGNIFICANT OF STUDY

This Airline is playing vital role in the tourism and social economic development. They

are not only earning profit but also development the country by economically. Form the

beginning of its establishment; numerous plans and projects have been carried out by

these Airlines to develop the nation and areas.

The market strategy of Yeti Airlines plays a vital role for tourism development in Nepal.

1.4 LIMITATION OF STUDY

For the partial fulfillment of the course on BBS 3 rd year design by the Tribhuvan

University, this fieldwork report was prepared. This fieldwork report may be defined as

mini – thesis in which research has to be done keeping time constraint on mind. Thus,

only one aspect of Yeti Airlines that is Environment of the marketing has been

emphasized in the fieldwork report. This study is based on the Marketing Environment

of Yeti Airlines only.

1.5 METHOLOGY

1.5.1 Sources of data

Primary sources:

Both primary and secondary data where used to fulfill the requirement of the

fieldwork. The primary data include interview of the Yeti Airlines.

Secondary sources:

The secondary data include official record of Yeti Airlines. This study is based

on secondary sources.

1.5.2 Tools used

In this fieldwork following tools are used:

1. Percentage

2. 2. Flow chart

Here are chart

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1.5.3 Research Design:

The research designs used in the fieldwork are both comparative and descriptive

in nature. The commercial data collected were evaluated in comparative nature. And

since the concerned title the “Marketing Environment of the Yeti Airlines”.

Here in the space of chart

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CHAPTER II

2. PRESENTATION AND ANALUSIS OF DATA

2.1 MARKETING ENVIRONMENT

The environment, in which business operates its functions to achieve its

objectives. Most of the successful companies always emphasizes on the outside

view of their business. They look forward constantly spinning out new

opportunity and of theirs of marketing environment, which is the vital importance

to run business. Since, threats of marketing environment, which is the vital

importance to run business. Since, in any companies fail to notice to change as

with environment. Think it is unfortunate for the business, by which effects on

dysfunctional of its strategies, which means no longer business. Likewise, Yeti

Airlines is also running under its environment where its external and internal

environment always in every step effecting its infrastructure like socially the

threat of public regulation or public ownership, the change in public opinions,

comprising consumers and employees which benefits from business or provide

benefits to it. The economic – encompassing, the HMG rules and regulation, the

weather and so on. All over, marketing environment is a group of all powers

remaining around the business or product, which affects directly as well as

indirectly.

“An environment threat is a challenge posed by an unfavorable trend or

specific disturbance in the environment that would lead in the absence of

purposeful in the marketing action, to the stagnation or demise of company,

product or brand”- Philip Kilter, 4th Edition.

Mainly we can divide the business or Marketing Environment in two

branches. They are – External Environment and second one is Internal

Environment with respect to issue of controllable and uncontrollable

organization. The both area of environment is very much important for any

business.

Form the studies of Environment we can frame the programmed of

company by knowing about Marketing Analysis, Market segmentation etc. With

right strategy on right time for making dynamic, and talk precaution and

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preventing the Environment disturbances, can make the alternative services in

antithetical of competitors.

The external analysis helps to determines following factors:

Opportunity and threat analysis.

Monitoring key macro-environment forces.

For each trend of development, management needs to identify the implied

opportunities and threats.

The Internal Environment analysis helps the company to:

Strengths / weakness analysis.

Signifying micro – environment factors

A. EXTERNAL ENCIRONMENT

The external environment is that environment which has effecting from outside

the organization and which is beyond the power of organization and, which that drive its

infrastructure toward where is going. In context to Yeti airlines there are the various

effecting factors, which we can, divided into part, 1. Macro, these factors that

represented “non controllable” which the company must monitor and respond to within

which the company is monitoring seven major factors on macro environment and three

on macro environment respectively.

They are known as macro level factors: -

Demography # economy# society & culture

Political & government (policies/laws) # Technology

Competition # Climate conditions

Macro Level factors as follows: -

Market # Suppliers # Agents

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MACRO LEVEL FACTOR

On this level, we put those factors, which are totally out of control, and

which are no control even by the little bound. So they are being macro

environment elements. Here are some brief introduction & effects of elements.

Demography:

Demography is study of statistics of birth, death, diseases etc. in order to

show the state of community. Since, it is people who involve in making markets

and every marketers eagerly interest on size of population growth in different

regions and nations; differentiated by age, sex, ethic mix educational levels,

lifestyle and so on. A growing human heeds, but it does mean growing markets

unless there is sufficient purchasing power.

Like for Airlines business, the main income source is the foreigner tourist

group, which cane to have some adventure holidays in Nepal. In context of own

Nepalese group we found most effecting factors are ethic, regional characteristics

and movements like on Dashain occasion the demand is high, you can’t easily

manage the supply of it on all sectors, Likewise, during the seasons of tourist, the

main foreign currency income source of Nepal takes place then. Whereas in both

seasons, the looks forward to cargo business and foreigners, but it is generally not

the Indians who join the adventure sectors.

Among foreigners we mainly found many found many variances like;

ethic mix for Japanese they mainly prepared to western parts of Nepal say around

Pokhara and its regions whereas western Europeans & US they look around the

Sagarmatha regions and much interest to the adventure things like

mountaineering, rafting so on. Likewise the age difference; in

Nepal we mostly found middle age population of tourist - the adventures

living group where as the older tourists they mostly prepared for the roaming

around the cities, mountain flights and short teaks.

ii) Economic Environment:

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The main factor for the marketers is the economic factors - the economy

of the regions of a country. Since a market requires both the purchasing power of

the customers and the people. That only depends upon income, how much they

save the price fluctuation of the nation, monetary value so on. So every

organization or marketers always look close to the major trends on income and

consumer - spending pattern.

i) Low -Who can't afford the fare for flying on planes even on government

rates?

ii) Medium - These are the genuine passengers for the airlines in Nepal. They

seem to spend more carefully then any others, like on the Dashain seasons the

airline is fully loaded with passengers on the local sectors by this mostly the

medium rage of group, which are flying in and out of the sectors on the holidays

for cargo, for personal work, etc.

iii) High -Under this group people who can afford in context Nepal who travel

with a purpose of business and rarely on holidays - the source of income during

off seasons is cargo.

iv) Very High - In this category the foreigners are kept and few a Nepalese

citizens whose income and saving ratio equal to the foreigner.

iii) Natural Environment:

Today in the 21st century, the world is very sensitive on environment. The

increment of air and water pollution, shortage of natural resources force the

charging role of government and non - government firm in environment

protection.

This airline has flown in remote places where maximum flights lands. In

context of Nepal, most of the airports are STOL and where every half an hour or

less the weather keeps varying. This causes the schedule to change sometimes by

delay or cancellation of flights. So we conclude that the flights to remote areas

depend upon the weather. During monsoon most of the STOL fields are closed

and as the consequence, this affects the airlines business.

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These are the local sectors that are populated and demand flights.

Phaplu Lamidada Rumjaar

Yeti Airlines: 3 Days 4 Days 3 Days

Skyline Sirlines: Daily Noflights 4 Days

Other

iv) Technological Environment

The world has changed drastically from the 1900s. In this new millennium, the

people, their life style, everything has changed. And not forget, the agricultural field and

the industrial field have also changed a great deal. All these happened due to the

dramatic force of technology and the human nature. Now the world is getting smaller and

smaller day-by-day and business is getting globalize too. So in the competitive world, if

industries don't get modernized, then they will be ignored for and their good. A computer

that give accurate results are doing the tasks and the ticket quality has been improves.

They are having airhostess's abroad and highly qualified staffs are being taken in.

v) Political Environment:

Political behavior is also one of the factors that give this business its real shape

and how it acts and under which circumstances it should. Since every policies of the

government are affecting business, it always seems to grow. The governments and its

laws have many influences in this business, In context of Nepal, the airlines are free of

tax up to five years and this provides a chance to airline companies to collect at least it's

cost of investments. The civil aviation decides to print out the air traffic rules of all the

sectors. Likewise the AOAM (Airlines Operators Association of Nepal) print out the

price list sharing with other airlines. There are substantial amounts of legislation's

regulating business that has affected this business steadily over the years. The

government has stopped the registration of new airlines. Likewise there are certain laws

and rules mentioned in both ICAO and AOC. For example, the airline should operate

60% flights on business sectors and 10% flights on charter in order to balance all

regions. For Yeti Airlines business sectors are Lukla, Pokhara, Jomsom, Meghauli,

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Bharatpur, and the local sector are Phaplu, Rumjatar, Lamidanda, and Simara. All the

passengers should be insured including the crewmembers, cargo and luggage and not to

forget the aircraft.

vi) Society and Cultural Environment:

The world, the heritage of people increasing their beliefs, values and norms of

their society that is simply termed as culture. The peoples living in a certain particular

society that is simply termed as culture that holds many beliefs and value that tends to

carry on. Anyway the modern concepts of business stress on the satisfaction of

customers rather then just profit earning. The consumers of this service are the pillars

that support this business. The Nepalese people believe that their elders should be at

home blessing them during Dashain time and this helps to elevate the transactions a little.

The tough desire of people wanting to reach their homes during Dashain to have

themselves blessed by their elders make the make the pilots take people to their

destinations even during bad weather. But the foreigners seem to be cautions of the bad

weather and prefer the safest journey possible.

vii) Competition:

In respect to this world of competitive business, the main factors the directly

affects this business is the price. There are many competitors in this business Nepal like

Shangri-La air, Skyline airways, and flights care Aviation had given around 155 to 17%

on all sectors, which means Lukla, Phaplu in US Dollars fare where previously there

were only 9% to agents, which means by these policies of competitors, it affects the

whole volume of sales transaction. Likewise other airlines like Buddha Air and Necon.

Air are giving 25% on Pokhara sector. So Yeti Airlines has to complete with all these

airlines. So looking factors and the problems faced by Yeti Airlines.

Looking over the macro environment, it is the place where it should start seeking

for opportunities and possible threats as looking towards the better policies.

1. MACRO ENVIRNOMENT

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The factors, which we same as macro – environment factors non-controllable but

certain length can be control by the organization. Under the micro – environment

certain factors have been putted they are:

i) Market

ii) Supplier

iii) Marketing Channels (agents)

i) Market:

The area of region where the service or product is sell is called market. All

decision made are related to market where satisfying the demand of market is ability

is pre-requisites for market. Taking the social liabilities to satisfy the market is very

difficult job, even through market factor is out of control using the market tools for

some circumstances can be control. Like which all the flights are flying can be

control as certain limitations by using different factors efficiently as servicing

satisfying providing commissions.

ii) Suppliers:

This factor is actually the appreciable as its role on marketing activities to

be successful. The airlines get the customers and its resources available to

run its business.

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iii) Marketing Channels:

“A channels of distribution is the structure of inter-company organization

units and extra company agents, dealer, wholesaler, retailer, through which

commodity products or services is marketed” – American Marketing

Association, New York 1960.

The middle part, which factors is playing role between the business and

consumer are the agents or marketing intermediacies. They are also called

trade channel or distributions system is very much essential for the airlines

business through which a maximum sale is done.

The importance of the distributor is that the consumer can get ticket with

easily at the right time and right place. Along with this company cannot keep

in touch with all the consumer so it plats as company representative like its

branch office and from their welfare on collection the business. We can

divide in it into two parts.

a) resellers- Agents :

here the travel agents and its own branch offices with put buying

ticket stock came under it. They bought with airlines on the behalf

of customer and the commissions, which give by the airlines, take

as the services charge for the ticketing. The agents whose main

business is selling the tickets directly to the ultimate customers

that mean these are the branches, which handle the customer

directly and acts like a sales representative of the airline.

b) Stockiest of Facilitating Institution :

They act like a representative of airlines, which kept tickets on

stock and sell it to the agents & customer. It plats biggest role for

marketing and promoting the sales of airline through which airline

can cover the whole area of the regions.

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B. INTERNAL ENVIRONMENT:

The process of factors, which are controllable with full limitation.

But they are such sensitive that with the small bending it will change

the whole policies and can give the decision on wrong direction.

Here in the context of airlines of airlines we can divide this

environment mainly in three parts that will cover whole vision. They

are:

i. Marketing Mix: Where we included a product-the service,

price, promotion and physical distribution.

ii. Resources: Money, Matter and Human Resources.

iii. Company System & Procures.

i. MARKETING MIX:

a. Product:

It is a bundle of utilities of consisting of various product features and accompanying

service. In context to airlines, product is services provided from ticketing-selling of

ticket to the researching of destiny in safety, easily and satisfying flights. That should

be as a cluster of a psychological satisfaction. Gorge Fisk, marketing system. So in

service or product it has to be requirement to give satisfaction. In other word,

consumer oriented which can give consumers total satisfaction of using the airlines.

As asking with the customer, they said “ Marketing is the managerial process by

which products are watched with markets and through which the consumer are

enable to use or enjoy the product”. – Still and Goveni, fundaments of modern

marketing, 1980.

So, we can say,

It is important component of marketing mix without is there no significant of

business.

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Satisfaction of component needs.

Consumer satisfaction is our first motive because without it no business

activities.

Weapons of success.

b. Physical Distribution:

Business firm produces the services, fixed price and that services that reach in right

time in right only satisfy the customer. The service, which is provided in point of

consumption, is very important like if passenger wants to fly Pokhara tomorrow but there

will be no flight in Yeti means it is losing the customer of Pokhara. That is not only the

reason, why the customer uses the service it is use for its service like for sure and certain

flights. The services are handling by the staff easy and sure and certain flight. Its all

depends how to staffs of the company reacts with the customer and how it handles the

problems of the customers. As well as, the security of passenger himself and their

luggage/cargo. These all are the physical distribution of services, which are the main

cause that affect the airlines business directly. So this company takes refresh classes and

its result time to time to all departments staffs so that it will help to make its staff level

higher and can give the customer the higher satisfying services.

“Physical distribution is a term employed in manufacturing and commerce to

describe the broad range of activities concerned with efficient movement of finished

products from the end of production lives to the consumer.” – Natural Cuncil of Physical

Distribution Management, Chicago.

So, it is important that to think about various the customers’ services which are given to

satisfy as per customer’s demand from the very first step of booking to the end of outlet

the customer from the arrival or destiny airport.

“Promotion includes adverting, personal selling and other selling tools”. – Stanton, W.J

AP. CIT.

“Promotion is the elements in an organization marketing mix that services to inform

persuade and remind the market of the organization and/or its product.”

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- Stanton &Walker.

It is a tool of informing, persuading, influencing and reminding the customer and other

agents about the services and facilities given by airlines for the consumer. It is very

important for every business to use this tool for the continuous activities of business.

Since, from where it gets more energy and information about its company and which

helps on reducing physical separation, demand stimulation, economic depression along

with the competition behavior. Therefore, Yeti Airlines are very much interested in sales

calling which helps the company in the market and which helps to remove unnecessary

and misunderstanding things between. It also helps as advertising. Since on sales call

process it also provides the booklet, which printed by Yeti Airlines and where every

details of outdated new about the Airlines.

Airline use one consumer promotion method sale i.e. force promotion competition

among the agents and stockiest which works as motivation. The main objective of using

this method is:

1.Flow of Information about the airlines and its activities that help to remind about Yeti

Airlines whenever customer travel.

2. It involves the functions like – advertisement, sales – representative and sale

promotion publicity public relation.

3. It helps on maintaining continuous of the old customer and attracts the possible

business.

4. It helps to understanding, reminding influence all bodies of sales and Marketing.

All over it is the very special way to request.

c. Pricing:

In Airlines business, the pricing policies are playing by the AOAN - from where

they will printed out the list of every sector. This is the organization of the airlines,

where all airlines compromising for the price, policies and the facilities. But there will be

the effecting factor pricing the commission, which are very sensitive in the today’s

airlines competitive world.

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So we abort, the external price is determine by civil and internal pricing policies are

determines here by airlines. Yeti Airlines also determine its own chapter price and

commission policies – efficiency. But it takes cost and demand oriented pricing method

among the four method of pricing.

Cost oriented pricing method

Demand oriented pricing method

Cost and demand pricing method

Market oriented pricing method

There are various elements that effect while determining prices of every sector as for

charter or schedule flight and they are as follows:

Cost: Its shows the cost of operational cost, it include the fuel consumption,

allowance to the crew, and the serving cost of the food which is given in the in-

flight service.

Objective: The main objective is the goal of the company toward the success.

Organization factors: Other indirect cost like, administration, sales, maintenance

etc.

Business effect: The competitors.

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ii) RESOURCE:

Resources include the Money, Matter and man which means that the Finance the most

important factor without which we cannot think of the business. The matter means the

aircraft without which the airlines are not airlines. The main power of the organization

without there is no possible to think of running the organization.

iii) SYSTEM & PROCEDURES:

It is the main factors how the Resources are utilization and management to

achieve the goal of organization. Likewise we can see the various system, on Yeti

Airlines we can find the proprietorship where every authority is distribute form it to the

managers of each department and to lower levels. The orientation and training classes,

the sales calls, the advertising looks and others.

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CHAPTER III

3.SUMMARY & RECOMMENDATION

3.1 SUMMARY AN D CONCLUSION

Yeti Airlines will completed its two years of its journey to establishment of

childhood on business cycle. Since, Yeti Airlines originated from two years ago as one

of the fastest growing airlines n business world of Nepal. But much water and flowed

under the bridge for looming at the others competitors.

Marketing environment is the very sensitive and effective for the marketer’s

decision. The Marketing programmed and its policies should decided looking according

to nation and its situation. The successful marketers always take path of market but

combining the both external and internal environments equally. Like the Yeti is taking

good path on market with its marketing and sales programs which is one step forward

than the other airlines as looming to others. In the account of micro, macro is non-

controllable, which involves like, population, economy, culture and society, technology,

geographical, rules and regulations of the nation. Even thought some experience and

qualified marketers make the effective market programmed by controlling the

uncontrollable factor to some limited extends,, which are, been proving.

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3.2 RECOMMENDATION:

1. The Yeti Airlines should develop monitoring system on Marketing Environment and

its system.

2. Price should be competitive with other Airlines for the development of the

organization.

3. The company should give a priority for the local consumer, not only for the foreigners,

and business trips.

4. Promotion strategy should be build up for national point of view to create the proper

consumers.

5. The organization should build up proper human resources in the marketing department

of the organization.

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