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INDUSTRY
ARE YOU
READY TO
OVERVIEW
VISION
INDIGO
JET AIRWAYS
SPICEJET
AIR INDIA
GO AIR
OTHERS
INVESTMENT
OPPURTUNITIES
Joint venture between TASL and Boeing to establish a
centre of excellence for manufacturing aero
structures.
Boeing plans to assemble one of its two helicopters
namely, Chinook in India, thus becoming yet another
global company to invest in India encouraged by the
Make in India campaign.
Airbus plans to open aircraft MRO facility in India and
to source products worth US$ 2 billion cumulatively
over the next five years.
300 business jets, 300 small aircraftand 250
helicopters are expected to be added to the current
fleet in the next five years.
GOVERNMENT INITIATIVES
Fostering of PPP models
AAI to revive and operationalize around 50 airports in India.
Proposition to raise FDI limit in domestic airlines from 49%to
over 50%. Reforms such as tax incentives for airlines, incentives
for travellers to fly to small towns at affordable rates.
The DGCA has given its approval to Air Indias MRO unit.
committee comprising bankers, aviation experts and technocrats
to help turn around and privatize the national airline, Air India.
The Government of India approved a proposal to set up a second
airport in NCR.
The Government to finalize the new aviation policy and revised
international flying norms for domestic carriers soon. May
remove the 5/20 norms for domestic airlines in this new policy.
FOREIGN INVESTORS
Airbus (France)
Boeing International Corporation (USA)
Air Asia (Malaysia)
Rolls Royce (UK)
Frankfurt Airport Services Worldwide (Germany)
Honeywell Aerospace (USA)
Malaysia Airports Holdings Berhad (Malaysia)
GE Aviation (USA)
Airports Company South Africa Global (South Africa)
Alcoa Fastening Systems Aerospace (USA)
Etihad airways (Abu Dhabi)
Singapore airlines (vistara airlines)
Total energy
Pricing
strategy
Pricing Strategy
The most commonly pricing model used in airline
industry is dynamic pricing model.
The components of pricing strategy are :
Pricing
strategy
Segmented
pricing
Service
time
Time of
purchas
e
Peak
user
pricing
Changin
g
conditio
ns
Limitations
Low profit
margins
Increasing
consumer
expectations
Cost
reduction &
improved
operational
efficiency
Shifting
airline
landscape
Recommendations
Get to
know your
customers
better
Digitalizati
on
Cut the
fat, not
the
muscle
Partner
strategical
ly
Strategic Alliances
Some examples of strategic alliances : Etihad Airways and Jet Airways
Tata and Malaysian Airlines (Vistara Airlines)
Star Alliance Members
Skyward Alliance
Pro-jet
ADVANTAGES
DISADVANTA
GES
Extende
d
network
Higher
prices
Cost
reductio
ns
Lesser
frequenc
y
ROAD AHEAD..
Indias aviation industry is largely untapped with huge
growth opportunities, considering that air transport is still
expensive for majority of the countrys population, of
which nearly 40 per cent is the upwardly mobile middle
class.The industry stakeholders should engage and
collaborate with policy makers to implement efficient and
rational decisions that would boost Indias civil aviation
industry. With the right policies and relentless focus on
quality, cost and passenger interest, India would be well
placed to achieve its vision of becoming the third-largest
aviation market by 2020 and the largest by 2030.
THE END