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Low-cost carriers (LCCs) in Asia and Australasia have experienced persistently high failure rates and uneven profitability following airline deregulation. Despite these challenges, the low-cost model remains central to tourism development, fare accessibility, and competitive pressure on full-service carriers (FSCs). This mixed methods study examined whether FSCs in Asia and Australasia can feasibly convert their supply chain structures toward LCC efficiency. Using a requirements analysis framework, the study identified functional, structural, and resource gaps between the two airline models and evaluated the capacity of FSCs to close these gaps. A convergent parallel mixed methods design was employed. Quantitative analysis was based on 45 airline annual reports, comprising 23 LCCs and 22 FSCs. Independent samples t tests, Cohen’s d, two-way ANOVA, and hierarchical regression were used to examine inter model differences and the impact of operational efficiency ratios on operating margin. Qualitative analysis drew on 62 peer reviewed studies and industry reports to identify leadership, organisational, and structural mechanisms influencing conversion feasibility. The quantitative findings showed that LCCs consistently achieved lower cost per available seat kilometre, payroll-to-revenue ratios, and fuel intensity, while maintaining higher load factors and year-on-year passenger growth. FSCs’ profitability was more sensitive to cost-related variables, with higher unit costs and labour intensity exerting a stronger negative effect on operating margin. Qualitative findings indicated that many FSCs possess the leadership capacity, organisational learning systems, and resource base required to narrow efficiency gaps through fleet simplification, digital integration, and workforce restructuring. The study concludes that supply chain conversion is feasible under specific conditions. Successful convergence depends on disciplined cost reform, leadership agility, organisational learning, and alignment between operational design and strategic intent. By translating efficiency elasticities into actionable managerial and policy levers, this study contributes an applied, evidence-based conversion blueprint for airline conversion, with implications for profitability, tourism competitiveness, and economic resilience in Asia and Australasia