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MARKETING MANAGEMENT

PROJECT REPORT
ON

INDIAN AVIATION INDUSTRY


Submitted By: Group B2
Akash P R (21062)
B Manu (21072)
Jakkampudi Moulithya (21082)
Nisarga T Darya (21092)
Sudarshana Sharma K S (21112)

Session 2021 – 2023

Submitted To:

Dr.S. Saibaba

Shri Dharmasthala Manjunatheshwara


Institute for Management Development
No. 1, Chamundi Hill Rd, Siddhartha Layout, Mysuru, Karnataka 570011

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ABSTRACT

One of the most commonly debated and research field in the business world is Motivation.
What people do at their work place, what made them do that, what they want from their
job, what are their expectations from the job and from the employer are some of the few
questions that every employer and researcher want to know in today’s competitive world. I
got this opportunity to work as an intern on the topic Motivation with special reference to
job satisfaction at Air India Limited, Mumbai.
During my research, I found various motivation instruments used by the Personnel/HR
department to motivate their employees. The present study investigates the extent to
which the motivational factors affect the employees and the relationship between
Motivation and Job satisfaction. The respondents were the employees working in
Personnel/HR department of the Air India Limited, Western Region, Mumbai. The result has
clearly delineated that the company has been successful in motivating and satisfying
majority of the employees of Air India. The study also finds relative importance of different
factors that contributes to job satisfaction. The various factors used for the motivation by
the company were included in the questionnaire and then the employees were asked to
rate their views on those questions. Various factors that can lead to job satisfaction, and
very well related to motivation, were also asked to rate in the questionnaire and further
hypothesis were generated and tested to check whether these factors are correlated with
job satisfaction or not.
The study has provided the researcher a deep insight into the phenomenon of motivation
which would help a long way in my career as well as to other management students for
thoroughly understanding the things that are required to be done in an organisation to keep
the employees motivated

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ACKNOWLEDGEMENT

We are grateful to our institute for giving us this opportunity to work on and gain some
knowledge on the “INDIAN AVIATION INDUSTRY” and we have indeed gained new experience
and knowledge on the same.

We would like to express our sincere thanks and gratitude to our respected Director, Dr N.R.
Parasuraman sir, and our professor and guide Dr.S. Saibaba for their constant help in the
preparation of the report and their endless support while we faced any difficulties.
We would also like to convey our gratitude to other faculty members and our batch mates for
their teachings, inputs, and encouragement and for making us understand our courses
efficiently and holistically.

Last but not the least, our sincere gratitude towards our parents for their kind cooperation
and encouragement which helped us in the completion of this project.

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SI.NO TITLES Page. No
ABSTRACT ii
ACKNOWLEDGEMENT iii
1 INDUSTRY OVERVIEW 1
1.1 Introduction 1
1.2 History 2
1.3 Current Trends of Aviation 2
1.4 Porter’s Five Forces Model 3
COMPANY ANALYSIS
VISTARA
2.1 Introduction 6
2 2.2 Vision
2.3 Current Position 8
2.4 Financials 9
2.5 Fleet & Market Share 9
2.6 STP Of Vistara 9
2.7 Swot Analysis 10
AIR INDIA 11
3.1 History 11
3 3.2 Overview of Air India
3.3 SBU’s 12
3.4 Vision, Mission & Objective 12
3.5 Swot Analysis 13
SPICEJET 13
4.1 History
4 4.2 Overview of SpiceJet
4.3 Vision & Mission 15
4.4 Strategic Business Unit 15
4.5 SWOT Analysis 16
KINGFISHER AIRLINES 16
5.1 Introduction 17
5 5.2 Vision
5.3 History & Market Share 19
5.4 Administrations 19
5.5 Down Fall of KF 20
5.6 SWOT Analysis 21
INDIGO 22
6.1 History 23
6 6.2 Vision & Mission 23
6.3 Strategic Business Unit 23
6.4 SWOT Analysis 24

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INDUSTRY OVERVIEW

INTRODUCTION:
India is the world's fastest expanding aviation market (IATA). The project
UDAN (region connectivity plan) of the Indian government is helping to expand the country's
civil aviation and aviation infrastructure. Where Bengaluru & Mumbai has a 65 percent share
in this economic sector scientific 124.
One entity oversees more than 129 airports in the country. These include 11 international
ones, 94 Indian airports, and 28 municipal enclaves. Seventy percent of a country's passenger
flow is handled by Delhi and Mumbai. Civil aviation in India is seeing rapid expansion.
As of 2020, India is anticipated to be the third-largest air travel market. It is expected to
surpass the United States by 2030.
An age of progress for Aviation has begun with the advent of low-cost carriers and airports,
investment from different countries into domestic carriers, improved IT advancements and
increasing importance of regional connection, with a market value of about 16 billion dollars,
India's civil aviation sector is ranked ninth worldwide.
When all stakeholders come together with a common goal in mind, International Air
Transport Association (IATA). Director General and CEO Tony Tyler believes that Indian
aviation has a great potential.
Between 2000 and 2015, India's civil aviation sector grew at an average yearly pace of 16.3
percent, in 2016, 131 million people flew through the airport. Untapped potential in
aviation remains despite this progress. India's top four airlines by market share are IndiGo,
SpiceJet, and GoAir. More than 80 cities in India are connected by these airlines, which are
joined by several foreign carriers that provide international services.
There is a civil aviation department that answers to Ministry of Civil Aviation and oversees
civil aviation (DGCA).
As part of the National Civil Aviation Policy 2016, there are several targets for safety and
operations. The Regional Connection Scheme (UDAN) will provide aviation connectivity to
roughly 400 tier-2 cities in India at a cost of 500 million rupees (US$7,000) per airstrip

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HISTORY:
In 1932, Tata Air Services launched India's first commercial airline India and then Airmail
services within India were established as a result of a contract with Imperial Airways, From
Karachi to Mumbai, the first flight took place in October of 1932.
Taking off from Allahabad on 1911 February-18, the first commercial civil aviation flight in
India covered a distance of 9.7 km to reach Naini (6.2 miles). His airline was later called Air
India.
The Act of Air corporation was passed by the Parliament of India in year 1953 March.
As of 1994, India has abolished all restrictions on the formation of airlines and allowed
scheduled private flights to enter the country. As a result of this liberalisation, new airlines
such as Jet Airways and ModiLuft were created. Thus, India's aviation industry was set up for
success in the years to come as a result of this.

Indian aviation began to take off in the early 2000s.Numerous budget carriers like Air India
and Jet Airways fought for passengers with full-service carriers with flights at a low cost.

As early as the 5th century AD, Chinese people utilised kites to carry messages, lift people
up and measure distances, as well as gauge and test winds. In the third century B.C., hot air
balloons drove away their enemies. More advanced research by Da Vinci revealed that an
object's resistance to air was the same as its opposition to a body in motion.

CURRENT TRENDS of Aviation:

Travel agencies, bank partners, and insurance firms are all part of the aviation industry's
network of aircraft manufacturers and airline corporations.

The following trends are emerging in the aviation industry −


• The utilisation of cutting-edge automation and technology that is continually
evolving facilitates aeronautical operations.
• Planes that use less gasoline will be available shortly, as well as other technologies
that will help airlines and airports better manage their operations
• There has been a rise in client expectations
• In order to remain competitive, airlines and airports must stay informed of industry
developments and maintain customer loyalty.
• Upgrading aeroplanes is challenging due to the high expense of obtaining them.
• Payoffs might be positive or negative depending on the future timeline.
It's no secret that airlines nowadays are focused on both aircraft maintenance and improving
the customer experience (the soft product).
These methods include enhancing the airline's organizational structure and operational
model, as well as changing work behaviours.
Other airlines in the aviation sector cannot keep up with these carriers' rapid growth.

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"Especially at full-service restaurants, customers' expectations might be problematic.
Most regional airlines choose to lease aircraft and support systems to international carriers.
Aviation Sector Factors:
Civil aviation is driven by several variables, including the following:
LCCs (low-cost carriers) and airports of the future
Regional connection is emphasized.
• Investment in domestic airlines by foreign direct investors
• Information technology (IT) interventions of the highest calibre.

PORTER’S FIVE FORCES MODEL:


The aircraft business offers consumers with a one-of-a-kind experience. It carries human
beings that neither business or related business can match in terms of convenience and
effectiveness. Pilots are proud of how nicely they treat their people on the journey. Meals,
refreshments, amusement, and a nice staff are all easily accessible. Even though other
industries offer transportation, they’re all outclassed by the Flying sector when it comes to
range. In the aviation business, there is a lot of ground to cover. It's true that certain
businesses are able to fly their planes all over the world, while others are confined to a
specific geographic location

In strategic management, the five-forces model is one way to cope with the first basic
challenge. Each of these five forces contributes to the creation of industrial competitiveness
as shown in this model. Each of these forces must be researched in order to analyse the
aviation business.

BUYERS' NEGOTIATION POWER


In the aircraft, there are two types of buyers. There are individual flyers to begin with. In
order to travel, they purchase airline tickets for a variety of reasons, including personal as
well as professional. These people are very diverse as a result. As a direct customer of the
airline, or through a second group of customers such as travel agencies or websites; This
buyer acts as a middleman between air carriers, acting as a middleman between air carriers.
When it comes to flight options, they work with a variety of airlines. This industry has many
customers compared to the number of businesses.

When it comes to planning their vacations, many individuals base their decisions on where
they're going and how much it'll cost at the time of departure. Despite the fact that there is
a high level of firm loyalty, it is not enough to support significant switching costs. As a result,
the ordinary consumer has many questions. While on vacation, he or she must be informed
of the services provided. Air travel carries dangers, and consumers should be made aware of
them before they go. The service provided is unique. As a result, each airline concentrates
on its own specific market segmentation strategy. Others place a larger value on luxury

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amenities and services than others, with certain airlines prioritising cost. As a whole, buyers'
negotiating power in this industry is extremely constrained.
BARGAINING POWER OF SUPPLIERS
An evaluation of supplier bargaining strength will follow. Major players in this situation
are aircraft manufacturers. Boeing and Airbus are the world's two largest aircraft
manufacturers. As a result, the inputs in this business are highly standardised. It appears
that facilities are the sole thing that distinguishes airline companies from each other. Most
of the planes are similar. Several manufacturers are continuously striving to make their
products eco-friendlier by altering their designs.
There is no way for airlines to switch suppliers rapidly. Vendor contracts are
commonplace for most organisations, and they are usually long-term. If a company doesn't
sell its jets, it's more likely to receive a long-term loan and better credit conditions. Plane
manufacturing is tough to enter due to the large capital required. It costs roughly $200
million to manufacture a single plane because of the amount of money and expertise
necessary. There are just a few providers in the aviation industry as a result of this situation
Consequently, their prosperity is based on the success of the airline businesses. These
factors influence the supplier's bargaining power.

THREAT OF NEW ENTRANTS


In the list of five factors, there is a mention of the threat posed by a new rival. A low risk
atmosphere exists for the aviation sector as a result. The danger level, however, is raised by
the following two factors: It is important to note that the switching costs are quite minimal.
Two: No proprietary products or services are at stake.

Despite these two flaws, this industry is quite secure. Existing businesses enjoy a
significant cost advantage over new ones. If you don't have a client base, you'll have to
invest a lot of money. For example, established firms can and do react to new rivals by
reducing prices or going out of business as they see fit.

Despite the low switching costs, many consumers choose to remain with well-known and
trusted companies. There is no need to pay for their services. Most people are reluctant to
spend their money on unreliable companies since travelling is expensive. In addition, most
customers are comfortable doing business with long-standing companies. If you want to
work in this field, you need to be familiar with planes and flying. It might take up to a year to
obtain a licence. Federal Aviation Administration and Department of Transportation
continue to monitor them after they have taken place. Considering the time and money
necessary to establish a business, most people will not enter the aviation industry.

THREAT OF SUBSTITUTES
Following consideration of entry risks, it's critical to assess the risk of replacements. This
firm has a modest substitute risk. If you're flying, there are options to consider. Customers
can utilise other means of transportation to get to their destination, whether it's in a car or
on the rails. There are costs to switching.

It's true that certain forms of transportation are more expensive than air travel. Time is the
most expensive resource. Via far the most efficient form of transportation is by air. Cost,
convenience, and service are all advantages of flying over other means of transportation.

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It's possible that consumers will choose an alternative method when they don't have to go
large distances, it is alarming.

RIVALRY AMONG EXISTING PLAYERS


Last but not least, there is competition among the current players. In the airline business,
there is a lot of competition for a variety of different reasons. The industry has reached a
point of no return. The business cycle looks to be coming to an end. As a result, there is no
evidence of under- or overcapitalization on the market. There are a lot of fixed costs in this
firm. They are typically tied into long-term debt arrangements to be solvent. As a result of
the complexity of the planes or things involved, the competition is much more intense.

As a way, the competition is reduced. When it comes to luxury, JetBlue is recognised for it,
while Southwest is famed for its cheaper cost. Due to each company having its own slice and
switching costs being low, no company can have a substantial market share.
Competition between companies and supplier power are the strongest drivers in this
market. As a result of the fierce competition among existing players, any firm with
inadequate funds will be forced out. As a result of the high cost of aircraft production,
suppliers have a great deal of sway. Even a slight adjustment in credit conditions from
suppliers might result in a big loss for the company. While the other armies appear to be a
little more threatening, it's hard to tell. As a result, the risk of entering the market is
reduced. As a result of low switching costs, buyers have a weak force, but substitutes have a
weak force owing to their high prices.

Since most individuals have to fly in, this industry is quite lucrative. In the long term, this
is not a feasible company model. In addition to having more planes and a larger choice of
routes, profitable airlines are in a better position to serve their customers.

Some factors have shifted recently. Environmentally friendly planes are already being
produced by several aviation firms, signalling a shift in suppliers' bargaining power. They'd
stand out, posing a threat to suppliers. Booking flights using websites such as Expedia has
also changed in recent years. In addition to attracting new customers, the airline booking
process has been streamlined as a result of this favourable change. By decreasing the power
of alternatives, this industry has also benefitted from rising gas costs. If driving is more
expensive than flying, individuals will opt to fly to their destination in an effort to save
money.

To cope with competition effectively, firms should examine the Five Forces Model and
prioritise it. Therefore, present firms don't have as much to worry about when it comes to
their business plans for the other elements of the model.

Finally, while investigating a sector, we need to consider the dominant economic factors.
There is a part in our research dedicated to variables that have a significant influence on the
aviation industry.

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COMPANY ANALYSIS
VISTARA

INTRODUCTION:
As part of a collaborative venture, Tata owns 51 percent of the company, while Singapore
Airlines owns 49 percent. (TATA SIA Airlines limited.)
As part of a collaboration, Tata and Singapore Airlines chose to collaborate in 2013 to
develop an exceptional flight journey. the corporation has wanted to go back into the
aviation market for a long time. At one point or another in history, Singapore and the Tata
airlines group have both tried to penetrate India's aviation market Another tie-up request
was made in October 2013, following a relaxation of the Foreign Investment Regulations in
2012. "Vistara holding companies, TATA SIA Airlines Limited, was founded on 5 November
2013.
An important objective of Vistara being, revolutionizing air travelling in India by offering
domestic passengers a smooth, personalised in flight experience that up holds Tata's
legendary service excellence and hospitality with Singapore Airlines (SIA legendary)'s
hospitality. Vistara is the Sanskrit word for infinite expanse. Vistara gets its name from its
"limitless" sky. Flyers associate smooth and happy flights with the wide, blue sky seen
through an airplane's windows.

VISION
Joint venture aims to reinvent air travel in India by combining Tata and SIA's service
excellence and famous hospitality.

Current position
Delhi - Mumbai flights commenced on January 9, 2015 with Vistara. During a very short
period of time, Vistara's network and service offerings have developed significantly, they
travel to 40 destinations with over 200 flights each day."

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Ever since Vistara commenced operations, the airline has carried more than 20 million
passengers throughout the world!

Company financials
Particulars FY16 FY20

Long term Liabilities Rs 173.4 Crore INR Rs 6809.02 Crore INR


Short term Liabilities Rs 206.99 Crore INR Rs 2261.59 Crore INR
overall liabilities Rs 380.4 Crore INR Rs 9070.62 Crore INR
Income from operations Rs 691.37 Crore INR Rs 4738.45 Crore INR
expenses Rs 1115.46 Crore INR Rs 6664.45 Crore INR
Total profits -Rs 400.9 Crore INR -Rs1813.38 Crore INR

Fleet
Aircraft In services

Airbus A320-200 7

Airbus A320neo 29

Airbus A321neo 3

Boeing 737-800 6

Boeing 787-9 2

Total 47

Market share
Vistara’s share in airlines market throughout India in calendar year 2020 based on number
of passengers travelled.

Indian market share

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STP of Vistara
Segment – people who are looking for flights to travel.
Target group – Executives, corporates and families with middle- and higher-income level.
Positioning - Tata's Vistara delivers an excellent In-Flight Experience at a reasonable cost.

SWOT Analysis of Vistara


Strength Weakness
➢ With TATA sons and Singapore ➢ There is still a limited level of brand
Airlines as the backbone, the awareness for Vistara despite its
company has a powerful lineage. launch in 2015.
➢ In the aviation sector, it's on the ➢ It is difficult to obtain market share
rise with good frequency. due to intense rivalry in the sector
➢ New routes are being added to the
schedule, such as Mumbai-Amritsar
and Delhi-Leh.
➢ When it comes to in-flight
experiences, Vistara excels.
➢ CV, the frequent flyer programme, is
available to customers (Club Vistara)
➢ Excellent advertising and branding
exercise have boosted their profile
in the Indian airline business.

Opportunities Threats
➢ The Indian aviation industry is
➢ It is possible for Vistara to extremely price sensitive.
penetrate into the ➢ New brands like Vistara might be
international market by affected by external variables like as
offering flights to nearby taxation in the aviation industry.
hubs like Singapore and
other south Asian nations
➢ The in-flight experience at
Vistara might be improved to
increase the company's
marketing appeal.

Vistara has flown more than 20 million happy customers since its inception.

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AIR INDIA

HISTORY:
Air India is an Indian transporter carrier that is worked via Air India Limited, an Indian
experience organization. The carrier is essential for a team to serve different nearby
terminals with global air terminals. Indian Airlines House in New Delhi fills in as the
organization's central command.
Air India is operating an Airbus and Boeing aircraft marine power that serves 102 battles
across India and around the world. Delhi, near urban regions across India, is the carrier's
center. As big international carriers, Air India accounts for 18.6% of the market. Over 60
complaints were filed by Air India worldwide, passing through four continental countries.
The carrier was redirected from the alliance to individuals on 11 July 2014.
In 1932, Tata Airlines operated its maiden single engine from the Karachi Dreg Airfield to the
Juhu Aerodrome in Mumbai. Then Tata headed to the Chennai Airfield on the front line. It
became an openly restricted organization & was renewed as Air India after the Second
World War. It became Asia's principal carrier to include a flying aircraft into its naval force
on February, 21st 1960, when it debuted with its 1st Boeing 707, dubbed Gauri Shankar. Air
India was privatized between 2000 and 2001 following amalgamation with Indian Airlines in
2006. Problems existed. Problems existed.
Additionally, Air India gives the surrounding and Asian murmuring methods for its fans
Aliana Air and Air India Express. The Maharajah is the mascot of Air India. It has a flying
swan inside on the Konark wheel.
Air India will be fighting in 102 fighting with 57 protests and 45 protests spanning five
countries worldwide by 31 nations by December 2019. Its main component is in the New
Delhi- (Indira Gandhi International Airport) at Mumbai (Chhatrapati Sivaji Maharaj
International Airport).

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OVERVIEW OF COMPANY REVENUE AND WORTH:
Increase in revenue of Rs. 26.430.59 crores (US$3.7 billion) (2019)
Working income: Rs. 3,763.50 crore (US$530 million) decreased (2019)
Profit: Rs. 8,556.36 crore (US$1.2 billion) decreased (2019)
Increase in total assets: Rs. 52,352.18 crore (US$7.3 billion) (2019)
Decrease in out equity: Rs. -29,466.36 crore (US$−4.1 billion) (2019)
9,993 Workers till 2019

Air India SBU’s:


• Air India Transport Services Limited
• Air India Engineering Services Limited
• Airline Allied Services Limited
• Vayudoot Limited

Air India’s Mission:


To be in the topmost five aircraft companies in Asia pacific region.

Air India Objective:


Accomplish income, cost, benefit and administration objective, in view of benchmark
boundaries.

Air India Vision:


Taking all the necessary actions to have more income and diminish cost.
Give the Customers utilizing the aircraft IBE for traveller benefits an encounter to
appreciate.
Give a top-notch Frequent Flyer framework with thorough interface with other long-
standing customer frameworks of Global Alliances accomplice aircrafts.
Convenient and precise income assurance per flight take-off because of inspire of e-ticket
coupons and speedier interline settlement.

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SWOT Analysis: AIR India

Strength:
• Solid sponsorship by Indian Government
• Possesses armada to look more modern
• Data frameworks are well organised and developed
• Known for its exceptional and superior grade "Maharaja" publicizing
• Available in 54 countries and 61 within India

Weakness:
• Work issue and governmental regulations is a reason for stress
• Monetary emergencies prompting instalment issues of workers
• Benefit is minimum and utilizing it is a challenge
• Being in a public area unit is one of the reasons for making a misfortune

Opportunities:
• Committed arrangement of clients
• Can use on fresh out of the box new armada
• Development of courses and worldwide objections
• Settling global problems of labour force can exceptionally help picture and tasks
• Quantity of new customers with high income rate in India is expanding quickly
• Reciprocal domains like travelling industry will build interest for carrier administrations
• Clients are getting richer, expectation of quality is higher than cost

Threats:
• Rising work costs
• Rising fuel costs
• Appearances quick moving toward intense competition from world driving transporters
and worth conflicts set off by local players
• Losing market in industry because of different aircrafts

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SPICEJET

HISTORY:
• SpiceJet Ltd, formerly known as Genius Leasing Finance and Investment Company
Ltd, is India's leading low-cost flyer, offering superior customer value at the lowest
rates. SpiceJet Ltd established domestic aviation operations in 1993 under a
technological alliance with Deutsche Lufthansa AG.
• In June 1994, the rebranded to ModiLuft Ltd and signed a management collaboration
with Lufthansa to conduct all of their flight operations.
• In 1996, after increased conflict between Lufthansa and the corporate, the company
discontinued its aviation activities.
• On March 27, 2006, the company announced the launch of their first co-branded
credit card, in collaboration with SBI and MasterCard International.
• SpiceJet Hotels was established on August 17, 2006, with the goal of giving
customers with specific online Web hotel booking services.
• In May 2007, the firm formed a partnership with Tata AIG General Insurance to cover
the airline's domestic passengers' travel-related hazards.
• SpiceJet won the World Travel Market Award in 2009.
• In October 2010, SpiceJet was got greens signal by the AAI to fly oversees & the
initial fleet was from Rajiv Gandhi international airport to Nepal, followed by fleet
CIA to Srilanka.
• SpiceJet got blown in initial of 2012, when crude oil costs were said to have
increased by up to 90%. The invested money on gasoline were significantly well over
half of the number, resulting in a loss again for airline.
• In October 2018, the Group took ownership of its first Boeing 737 MAX aircraft,
marking a significant step forward in the recovery. With these new aircraft, the
company will be able to add more routes while minimizing fuel and engineering
expenditures, as well as emission. The Boeing 737 MAX jet will reduce overall noise
pollution and greenhouse gas emissions. For the first time in India, passengers will
have access to a multitude of premium seats as well as broadband Access on board.

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OVERVIEW OF THE COMPANY
SpiceJet has 118 planes in its fleet.
An increase of Rs 13,205 crore (Billion us dollars1.9 billion) in revenue (2020)
Operating income was negative 392 crore (Billion us dollars55 million) (2020)
Total assets increased by Rs 12,955 crore (Billion us dollars1.8 billion) (2020)
Total equity is negative 2,180 crores (US$310 million) (2020)
The firm employs 11675 employees (2020)

MISSION
To become India's preferred airline with the highest consumer value through honest and
ethical conduct of the business.

VISSION
SpiceJet Limited aims to just provide 100% customer satisfaction while still raising the price
of its stakeholders. Respect for human values, individual dignity, and devotion to honest,
ethical, and professional conduct all are aspects of this.

STRATEGIC BUSINESS UNIT


The organization aims to achieve everyone's dream of flying. The number of people
travelling in India is expanding in sync with the nation's economic and business
development. Indians are travelling heavily for occupation and entertainment than ever
before, also every individual like to retain hour and bucks. SpiceJet's aim is to alter that by
providing flying reachable to all.
The power to fly ought to be open to everyone. SpiceJet's dynamic pricing structure allows it
to provide costs that are inexpensive and significantly less expensive than those issued by
most airlines. SpiceJet resembles today's traveler in that this is both functional and
beautiful, with interiors, trendy graphics, and vibrant colors. SpiceJetters will think to them,
"This is the clever, worldwide way to travel; I've taken the smart option."
SpiceJet is set on making you feel happy at the end of your travel and to getting you to your
location on time. Effects of Digital SpiceJet's latest fleet are equipped with cutting-edge
technology and infrastructure to maximize efficiency levels.
Novitiate, a world-renowned low-cost reservation and revenue management solution, has
joined with the organization. E-ticketing, e-booking, and tele-booking all are available
online. The performance of performance the emphasis is on performance from across
range, from the aircraft to the crew and ground staff. Every SpiceJet employee is educated
to be funny, courteous, efficient, and knowledgeable, ensuring that you feel welcomed and
cared for throughout all occasions.

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Due to the obvious good players and well-trained cabin crews, every flight will be
comfortable. The business's philosophy is modest yet effective. After undergoing advanced
training, experienced pilots, engineers, and maintenance personnel are hand-picked for
their technical strength and knowledge. As an outcome, you can be guaranteed that no
reductions to this vital feature of modern aviation will be made.

SWOT ANALYSIS OF SPICEJET


STRENGTH:

• The ability to take to the air — SpiceJet's management team consists of seasoned
professionals and senior executives that have vast experience managing and running
low-cost airlines all over the world. By spent untold man-hours in the business, the
upper pyramid employees are dedicated to bring the advantage of the world class
facility in the sky to clients in India. The airlines offer a calm, economical, and delightful
travel. The company spends a significant crunch of money on aircraft safety and
maintenance by highly skilled personnel. The pilots, maintenance personnel, and
engineers undergo extensive coaching and are chosen wisely for their domain
experience and understanding. As a result, passengers will be able to sleep while
travelling.
• Effective Tariff - the airline may offer reasonable fares that are comparable to those
offered by competing airlines. SpiceJet most closely resembles the modern traveler,
with its contemporary interiors, lively colors, and modern graphics.
• Good reachability — SpiceJet flies to around 55 different destinations. As a result, the
traveler can easily fly to these locations.
• Strong market presence — SpiceJet has a strong market presence due to its effective
advertising approach. It has a high brand value as a result of this.
• A subscriber website - SpiceJet has a consumer website where you can book flights.
Customers can also use this way to book tickets and check in.
• Tourism collaboration — SpiceJet has teamed up with Trip factory to sell vacation
packages through the platform. Their revenue will rise as a result of this.
• The Rs. 99 fare - For the first 99 days, the fare was Rs. 99 to attract passengers. For
the first few days, this brought a large number of passengers to the airline, increasing
their visibility.

WEAKNESS:

• Strong rivalry — SpiceJet confronts fierce competition from other airlines, resulting in
a small market share. Limited destinations — In comparison to other airline services,
the airline serves a small number of destinations. Passengers who travel to
destinations other than those specified on the SpiceJet website will be restricted.
• Bad judgments - SpiceJet offered 50 percent discounts in 2014, when the airline was
experiencing a lot of competition. As a result, many domestic flights around the
country have been cancelled, causing significant disruption to passengers.

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• Frequent offers — Providing passengers with frequent discounts isn’t good way for
SpiceJet to acquire customer. This will have a negative influence on their revenue
creation, resulting in significant corporate losses.
• Exorbitant Fleet and fuel costs — Every other competitor, Also SpiceJet, are subjected
to the the high-priced culture plagues the Flying business. This is going to account for
the majority of their earnings, resulting in minimal revenue generation.
• Earnings drop – The Flying has suffered a large failure of Rs. 38 crores in recent
months, In the previous year, the business had a profit of around Rs. 175.2 crore.

OPPORTUNITIES:
Jan 2019 Sept 2019 Growth
Spice jet 13.3% 14.7% 10.5%

• Spice jet market share after jet airways shutdown


• Lower fares, which means more passengers — Because SpiceJet is known for its low
fares, it attracts a lot of middle-class travelers who want to travel by plane.
• New routes and destinations - SpiceJet can expand its operations by adding more
routes and destinations.
• Spice Jet intends to extend its company into the cargo sector.

In percentage FY 2017-2018 FY 2018-2019


Revenue from Cargo Business 3.4 3.4
• The company's name is SpiceXpress, and it specializes in door-to-door delivery. As a
result, the company is establishing a nationwide network.
• Spice Jet is also concentrating on the drone market. Waiting for permission to deliver
medicine and food, etc.
• Forming international alliances - Forming foreign partnerships can help a company's
visibility and brand image.
• Renewed attention in tourism, there is a huge opportunity considering SpiceJet has
partnered with the tourist sector. The tourist sector in India is growing, which is good
for businesses.
• Tax haven on plane leasing — In its Central Budget, National party waved off a 5-year
tariff holiday on airplane renting.

THREATS:
Before covid Month of January 2021
Passenger load factor 90% 78.9%
• International business flights are severely impacted, accounting for 9.1% of the
market.
• Due to a lack of competitive edge, a large company enters the market and takes over.
• Issues with cash flow
• Following the crashes in Ethiopia and Indonesia, the Boeing 737 Max was banned, and
flights of the same model were halted.

Page | 15
KINGFISHER AIRLINES

INTRODUCTION:
With approximately 400 flights per day, Kingfisher Airlines, based at Bengaluru International
Airport in Bangalore, India, is one of the world's leading airline.
Kingfisher Airlines Ltd. is India's largest contract avionics company.Their main responsibility i
n India is to manage traveller carriers as well as individual helicopter and plane contracts. Th
eir specialized Air Deccan, India is low-cost airlines.

Kingfisher Airlines began its journeyMay 9, 2005, procedure with an agile of 4 Airbus A320 ai
rcraft. Emirates came in third with a ten.3% traffic share and the third_most notable aeropla
ne development.
Stream, which had the2ndmost notable aeroplane development, is third on the list of travell
er development with a score of 3. with a 9% portion of the general industry.
kingfisher, which began nation to international operations in 2008 and ranked 46th.
The aeroplane used to work on eight global sites, including the majority of India's first urban
neighbourhoods.Hong Kong,london,Dubai,Colombo,Dhaka,Kathmandu, and Singapore are a
mong the destinations served by Kingfisher Airlines.

"I dressed to be almost my image diplomat, which is simply the way it's continued to create"
- Vijay Malaya.
"My own way of life got interwoven with brand character then without truly arranging it tha
t way I clothed to be nearly my image diplomat of which is merely the way it's continued to
create" - Vijay Malaya.

The construction of a Kingfisher carrier brand image was motivated by this philosophy. Two
of the company's subsidiaries are (Vitae India Spirits &Northway Aviation). Preparing for acq
uisition & financing of an airplane.
Vijay Malaya's pleasant attitude recognized the lifestyle option a lord and focused only on id
ea that eversky explorer would expect their journey to be similar to that of a King inside the
Kingfisher Airlines.
The first target was raised to the top luxury class a year after carrier was discovered. The car
rier couldn't keep up with the changing times and concepts of its models, let alone anticipat
e arbitrary growth.

Page | 16
KINGFISHER’S VISION:

"The Kingfisher Airlines family will reliably convey a protected, esteem based, and agreeable
travel insight to all or any or any our visitors."

HISTORY:
On June 15, 1995, Kingfisher Airlines Ltd merged with Deccan Aviation to form a private limi
ted company. GR Gobinath, K J Samuel, and Vishnu Singh Rawal were instrumental in the co
mpany's development.The company opened a suitable start line at Jakkur in September 199
7 and despatched their first helicopter.In June 1998, Hyderabad served as the midway point,
and they began seaward flight activities in December 1998.
The business unveiled the essential fixed_wing aeroplane in June 2001, followed by the seco
nd fixed_wing aeroplane in November.The first Air Deccan flights from Bangalore to Hubli &
from Bangalore to Mangalore began in August 2003.
The KF corporation became a public limited company in January 2005.
On May 9, 2005, Kingfisher Airlines began itservice with four Airbus A320_200s, which skies
between Delhi and Mumbai on a routine basis.

Since 2006, the carrier has maintained a 5_star rating and is wellknown among business clas
s travellers. It also collaborated with Durdershan TV India Limited to provide customized live
inflight entertainment. By interfacing Bengaluru with London, the carrier started its global
procedure on third September 2008. In year 2008, the company achieved the standing for
being the only 5 stars flying in India and came to be known for delivering superb flight
administrations to its explorers and maintained with its situation for ensuing 3years.
On 3rdSeptember, 2008, the carrier began its global procedure by routing to
Bengaluru and London.
The company gained the status of being India's sole 5_star airline in year2008, and became
known for providing oustanding flight administrations to its guests, which it maintained for t
he future 3 years.
In 2009, Kingfisher achieved numerous awards around the world, including being one ofonly
seven airline industry to receive a 5-star rating from Skytrax.
Finally, with a 26.7% share of the flight market, it became the most demanded carrier in the
world's 2nd most populous country. Kingfisher Airlines operated roughly 250 flights every da
y.Kingfisher Airlines received the best avionics offer among all Indian airlines in May 2009, af
ter transporting more than one milion passengers.

Market share
1%
17%
27%

13%

18% 12%
2%3% 7%

Page | 17
Air India Indigo Spice Jet Jet lite Go Air Paramount Jet Airwaya Kingfisher Others
ADMINISTRATIONS:
Kingfisher carriers offered three types of movement to their passengers at the time:
Kingfisher First: a business class administration centred on individuals who would manage th
e cost of premium administration.
Kingfisher’s Class: A Premium Economy administration for popular and upper-class people.
Kingfisher’s Red: A low passage essential class administration centred on labour individuals w
ho were popular and upwardly portable.
In year2011, it was named the top Indian airplanes of the year for the second time. In any ca
se, it disclosed a Rs.1,000/- cr deficit for three consecutive years.

DOWNFALL OF KINGFISHER AIRLINES


Continuous Change in Focus:
Kingfisher aircrafts acquired Air Deccan (low cost airlines)
airlines for development. According to the world_wide carrier, any carrier must have a mini
mum of 5 years of homegrown involvement with their particular region in order to apply for
a worldwide permit for
beeinginternationalairline. Kingfisher obtained the Air Deccan for the worldwide course per
mit, but they never attempted to coordinate these 2 organizations to improve their benefits
.
Securing for Expansion:
Initiallywithout balancing 1stout the domestic market to understand the fundamentals of th
e carrier's operation, Kingfisher sacked into international flights, where competition is huge i
n comparison to domestic aviation routes.

Financial Slowdown:
Another external factor that may have contributed to Kingfisher's demise is a financial lull in
2008. Kingfisher launched its global route from Bangaloreinternationalairport to Londoninte
rnationalairports in 2008, and the same year's global downturn impacted the entire world,
which, in turn, impacted flight occupancy in global routes. As a result of the downturn, plane
fuel costs increased, and airport terminal landing fees in global routes became more expens
ive.
Ignorance on the part of the administration:
Mr. Vijay Mallya created serious impediments in everyday tasks; Kingfisher was given to Sid
darth Mallya (Vijay Mallya's son) as a birthday present; Siddarth Mallya is unable to manage
the carriers' business since he is preoccupied with his own.The organisation did not consider
appointing Mr. Gopinath (the original architect of Air Deccan) the CEO of Kingfisher Carrier t
o turn the firm around, due to a lack of adequate skill and experience in the aircraft industry
, as well as the absence of a board of directors.

Page | 18
High Operational Cost:
The carrier industry's operational expenses are quite high when compared to any other indu
stry; businesses must obtain permits for courses, pay parking fees, invest in aeroplane maint
enance, and employee pay rates are extremely high.

SWOT ANALYSIS OF KINGFISHER


1. STRENGTHS 2. WEAKNESSES

➢ Strong brand worth and fame inside the ➢ Kingfisher’s Red (still to hinder Even)
personalities of purchaser ➢ (An uncommon of 950crs just to lube promotin
➢ UB bunch to the grounds that the parent g cos until the end of the month)
organisation. ➢ Huge ticket evaluating (KF First and Class)
➢ First Indian carrier to possess a substitution ➢ Tough contest from Indian additionally as
armada of planes global player
➢ Quality assistance and development
➢ very 80 objections
➢ however, 100 individuals (representatives)
per airplane

3. OPPORTUNITIES 4. THREATS

➢ If prepared to urge for a few of years, then, ➢ Falling interest


at that time can have an enormous chunk of ➢ Overcapacity inside the fuselage
the pie ➢ Aviation Turbine fuel costs
➢ Untapped International Market ➢ Economic lull
➢ Untapped load market ➢ Infrastructure maintenance
➢ Expanding the travel industry business

Page | 19
INDIGO AIRLINES

This Photo by Unknown Author is licensed under CC BY-SA

HISTORY:
Interglobal’s Rahul Bhatia, and Rakesh Gangwal founded IndiGo in 2006. InterGlobe became IndiGo's
51 percent owner. A hundred Airbus A320 aircraft carriers were ordered by IndiGo in June 2005,
with a debut date of mid-2006.

Almost a year after placing an order, IndiGo flew for the first time on July 28, 2006. On August 4,
2006, it began operating between New Delhi and Imphal via Guwahati. A total of nine new planes
have been added to the airline's fleet since the end of 2006.

A 17 percent passenger market share overtook Air India in December 2010 to become India's second
largest airline behind Kingfisher Airlines and Jet Airways.

In 2011, IndiGo placed a $ 15 billion purchase for 188 Airbus A320 aircraft. In January 2011, after five
years of existence, the airline was able to launch international flights. In December 2011, the DGCA
voiced concern that a rapid rise may threaten passenger safety.

Only six years after the airline commenced operations, IndiGo celebrated its 50th flight in February
2012. After Air India, IndiGo became India's most profitable airline, surpassing it. To celebrate its six-
year anniversary, IndiGo overtook Jet Airways as India's largest airline by virtue of market share on
August 17, 2012.

MISSION
IndiGo is a very quality conscious airline and passenger safety is paramount to our company’s
guidelines and values.

VISION
indigo's vision is to provide an open and inclusive space for discussion ,reflection and action
regarding the contemporary interpretation an application of traditionally inspired Indigenous design.

Page | 20
STRATEGIC BUSINESS UNIT
Single type of flight
A-232 and A-320 are the main components of all Indigo planes. There are three types of planes
operated by Spice Jet, Air India, and Jet Airlines. With the same workforce from pilots to flight
attendants to ground crews training, there was more flexibility in hiring and upgrading costs.

single class
Only the inexpensive class is available on Indigo so there is no loss of time, money, or manpower.
airport lounges are expensive to operate.

Low average fleet age


Ten years ago, Indigo was founded. Protection costs for tiny planes are cheap. All of Indigo's aircraft
will be rented for five years in order to keep the fleet smaller. This allows them to pass the D-check
after 12 years of operation.

SWOT ANALYSIS
STRENGTHS
• strong brand value

• market share leadership

• cost management

WEAKNESS
• There are not many product Choice

• There are not many routes

• International absence

THREATS
• high fuel expenses

• The non-constant FDI guidelines

• exit limitations

OPPORTUNITY

• goods service

• charted-Flight provision

• growing flight frequency

• global marketplace.

Page | 21

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