Air Arabia is the largest low-cost carrier in the Middle East, starting operations in 2003. It has strengths in offering cheap fares and serving many destinations on comfortable flights. However, it is limited by not positioning itself in the higher-paying market. Opportunities exist in expanding operations, creating hubs, and connecting more locations, but it faces threats from competitive rival airlines. Its success is attributed to choosing a single aircraft type, boosting efficiency through technology, preparing for fuel price changes, and expanding service to exotic markets.