what is a strategy ?

“Strategy is a large scale future oriented plans for

interacting with the competitive environment to
achieve company objectives.”
 EXPANSION

COOPERATION

STRATEGIC ALLIANCE
 The airline was established in 1995
Kingfisher Airlines Limited, based in
Bangalore, India is India's largest Airline
group.
Kingfisher operates more than 400
Dr. Vijay Mallya flights a day and has a network of 77
destinations, with regional and long-
Implementation of strategy
haul international services.

Fleet of 66 aircrafts

India’s only five star airline

India's No. 1 Airline in customer
satisfaction“

MARKET CAP 474.3M

EBITDA 3.5B
 Mr. Naresh Goyal

Jet Airways is an airline based in Mumbai, India.

The airline was established in 1993 and is the second largest airline in
India after Air India.
Jet Airways operates to 43 domestic and 23 international destinations
worldwide.
Its primary base is Mumbai's Chhatrapati Shivaji International Airport.
 STRATEGIC ALLIANCE
Jet Airways & Kingfisher Airways working together
 enable a stabilization of the Indian aviation industry in the larger public interest for
SCOPE OF ALLIANCE the benefit of the customer during the current downturn of the world economies.
rationalize and reduce costs and provide improved standards of service
and a wider choice of air travel options to consumers with immediate
enhancement of shareholder value.
effect.

co-branding opportunities and have formed a core committee of senior management

offer the best possible fares for the benefit of the consumers. However, personnel from both companies who will drive the various identified initiatives
there will not be any mutual equity investments between the two forward with immediate effect under the overall direction of Mr. Naresh Goyal and
companies. Dr. Vijay Mallya.
 Implementation of strategy opted

Code-sharing on both domestic and international flights.

Interline/Special Prorate agreements to leverage the joint network
deploying 189 aircraft offering 927 domestic and 82 International flights
daily.
Joint fuel management to reduce fuel expenses.
Common ground handling of the highest quality.
Cross selling of flight inventories using the common Global
Distribution system platform.
Joint Network rationalization and synergies.
Cross utilization of crew on similar aircraft types and commonality of
training as also of the technical resources In the current environment
of high costs and declining growth this alliance has potential for
substantial savings resulting in a benefit to the consumer.
Updated 17 sept 2010
 WHY STRATEGIC ALLIANCE?

Downturn in world economy

The rapid increases in and the volatility in the crude oil prices

aviation turbine fuel

decline in air travel both on international and domestic segments of the air
travel market.
Results
Was the decision good or right?
THANK YOU