AirAsia's mantra of "Now Everyone Can Fly" is a powerful creed that touches everyone's heart and longing to go above the clouds. Everyone here of course means the average person and below. The middle-income. The backpacker. The one that could afford full fare commercial airline - but will "lose" several months of saving. Now Everyone Can Fly is a short sentence that truly touches Asian hearts. Well, at least we know in Asia, we have the biggest population of middle and low income folks. And on average, the supremacy of a foreign country such as Australian Dollar, Canadian Dollar, Euro - will always cast a shadow on an average Asian's disposable income.
The truly elusive question and litmus test is: which country can I travel to that allows my 1 unit of currency to equal 5 times of theirs? Or 3 times. Or just 2 times. None. But an Australian can be wondering (happily) the amount of food costs in say Thailand with the equivalent of a lunch in Australia that typically costs 9 AUD (270 Baht). An average Thai meal costs 50 Baht. Or 100 Baht at a equivalent Subway sandwich bar. Wow.. amazing my currency gives me 3 meals here in Asia.
So which average Thai person can "savour" the "money power" if they may have it? Let's try. Let's transport him to Indonesia. Average meals cost 20 000 Rupiah (75 Baht). That's same or more than average. Let's go to Vietnam. Supposed to also cheaper since their GDP and GNP is lower. Nope. A bowl of pho noodles costs 40 Baht. Try India. Try Laos (prices are in DOLLARS!). None. Try Zimbabwe. You won't want to visit there for a holiday would you? So Australians, you are lucky b-tards!
So the average Asian will still be average. There's no tripling of the power of your savings when travelling. Alas, this is the truth.
But one thing perhaps if you can notice how AirAsia could let you fly for the cost of a bus fare to the next pronvince, wouldn't it mean it is potential investment you can put your savings into and hoping it will triple like what the Australians magically hold in their bank savings account?
I guess if now everyone can fly, then now everyone can invest. In AirAsia.
It is definitely a no brainer to buy an airticket that costs the same bus fare from Phuket to Bangkok. And thus it is a no-brainer too to invest in the stocks of AirAsia.
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