Swot analysis Strength: Highest load efficiency Flies destinations to remote areas(hinterland) A lean and mean approach to staffing

ffing Leader in LCC segment First to target middle class

Weakness: Focus exclusively on southern areas Bad image due to numerous breakdowns and near misses Very limited advertising Already reached the threshold of cost efficiency. Opportunity: Extensive network to exploit the booming air cargo business Plenty of scope for expansion of operations Can strengthen its position in chartered flight segment Threats: New entrants like GOAIR, SPICEJET, INDIGO, ETC. High Risk Perception Lack of government support Lack of brand awareness Need for investment post IPO

BLUE OCEAN STRATEGY Cost leaders as compared to other rivals. Differentiation as they cater to remote areas which are not serviced by their rivals

STP SEGMENTATION: DEMOGRAPHIC-MIDDLE CLASS PEOPLE-WHO DOES FLY? WHO CAN FLY? GEOGRAPHIC- MOSTLY SOUTHERN MARKETS. TARGETING: RISING MIDDLE CLASS- LCC MARKET POSITIONING: PEOPLES AIRLINES COST LEADERSHIP, NICHE MARKETING AND GROWTH MARKETING STRATEGY.

BUSINESS MODEL Offering low fares to stimulate demand Selecting routes to stimulate demand Reduce cost by: 1. Reducing cost of operations, outsource non-core business processes 2. Provide no frills service 3. High aircraft utilization 4. Increase ancillary revenue.

PESTLE Political: liberalization policy allowance of FDI in aviation industry 2 yrs 3 months to get clearances Economic: Rs 35 lakhs given by Mr S.N Ladhani IPO issue TDICI venture capitalist Social: Targeting rising middleclass Leisure tourists Social equality by having no business class sections in aircrafts. Technological: Use of simple online website- web based reservation system.