Business Case Studies, Industry Analysis Case Study, Low Cost Carriers in India: A Smooth Ride?

print page
Tell A Friend
Bookmark
 

Case Categories

Share |

Industry Analysis Case Study

IBS CDC IBS CDC IBS CDC IBS CDC RSS Feed
Case Title:

Low Cost Carriers in India: A Smooth Ride?

Publication Year : 2006

Authors: Ms. Sunipa Sen

Industry: Transportation

Region:India

Case Code: INA0114B

Teaching Note: Available

Structured Assignment: Not Available

Buy This Case Study
OR





Abstract:
The aviation sector in India is booming with a growth of 24% in 2004 - 2005. Much of this growth is attributed to the Open Sky policy of the Government and the advent of Low Cost Carriers (LCCs) which led to a drastic drop in air fares. Air Deccan was the first LCC in the country followed by Kingfisher Airlines and Spicejet. This spurt in growth of LCCs is affecting the market shares of the mainstream carriers such as Jet Airways, Sahara Airlines and Indian. These airlines too have entered the fight by introducing discounted fares and customer loyalty programs to retain their customers.

Given the vast population of the country, there is great potential for the LCCs and the market is yet to see a number of new entrants. High fuel costs, lack of adequate infrastructure and trained personnel have been the challenges faced by the LCCs. Experts opine that conditions in the India are not favorable to the growth of the LCCs and hence could be a major hindrance to their success.

Pedagogical Objectives:

  • To discuss the effect of LCC on airlines industry
  • To understand the benefits and limitations of LCC in India.

Keywords : Business Model; Low Cost Business Model; Budget Carriers; Domestic Aviation Industry; Growth Strategies Case Study; Indian Airlines; Air India; Air Deccan; Air Sahara; Spicejet; Kingfisher Airlines; Jet Airways; LCC Business Model; Aviation Infrastructure; GoAir; IndiGO

Recently Bought Case Studies

    Recently Bought Case Studies
advertisement

    Executive Interviews

  • David ConklinDavid Conklin

    David Conklin, is a professor at the Richard Ivey School of Business
    Speaks on Government and Business
  • Lord Meghnad DesaiLord Meghnad Desai

    Lord Meghnad Desai, is an Indian-born British economist and Labor politician
    Speaks on Government and Business
  • Vijay GovindarajanVijay Govindarajan

    Vijay Govindarajan, is widely regarded as one of the world’s leading experts on strategy and innovation
    Speaks on Reverse Innovation
  • View All Executive Interviews»






Contact us: IBS Case Development Centre (IBSCDC), IFHE Campus, Donthanapally, Sankarapally Road, Hyderabad-501 504, Andhra Pradesh, INDIA.
Mob: +91- 9640901313, Phone: +91 - 08417 - 236672, Fax : + 91 - 08417 - 236674
E-mail: casehelpdesk@ibsindia.org

©2003-2010 IBS Case Development Centre. All rights reserved. | Careers | Privacy Policy | Terms of Use | Disclosure | Site Map xml sitemap