The Survival of Malaysian Airlines: A Case Study Abstract This is a case study on Malaysian Airlines’ pseudo-perennial financial distress triggered by the tragic twin losses of MH370 flight in the Indian Ocean and flight MH17 over Ukraine in 2014. It follows the path of a national airline company in Southeast Asia; the obstacles faced, the tragedies encountered, the numerous strategies devised and redevised, yielding vital insights into the functioning of state-owned airline corporations outside the US and Europe. This case study contributes to the literature by reviewing the difficulties faced by such state-owned airlines and why airline companies, especially those from developing countries, are trapped in vicious cycles of inefficiency and losses. They must, however, persevere to continue to serve the region's economic and political interests. The advantages of running airline companies do not go to shareholders directly but rather to the larger community they represent. The major shareholder ends up being the state at enormous costs to taxpayers since the airline company requires public funds continually with zero to little payback.
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