Submitted To:-

Ms. Anshu Singh

Submitted By:-

Ram pal

Manpreet Singh

Sahil Garg

Jaspinder Singh

Gautam Dhanda

One of the fastest growing markets in the world.

The Airport Authority of India (AAI) manages a total of 127 airports in the country,

which include 13 international airports, 7 custom airports, 80 domestic airports and 28 civil enclaves .

On December 1912 when the first domestic air route between Karachi and Delhi became operational.

The Directorate General of Civil Aviation(DGCA) controlled every aspect of aviation.

Introduction:-

Indian Airlines Fleet

Aircraft In Service

Passengers

Notes

 

J Y Total  

Airbus A319

2 14 106 120

5 dry leased

 

19 8 114 122  

3 0 144 144  

Airbus A320-200 28 20 126 146 5 dry leased  

Airbus A321-200 20 20 152 172  

Total 72

HistoryHistory

19111911first commercial flight airmails from allahabad to nani (10 first commercial flight airmails from allahabad to nani (10 km)km)

19321932 The aviation department of tata sons ltd . Established The aviation department of tata sons ltd . Established

19381938 Tata airlines (successor to aviation sivision of tata son )Tata airlines (successor to aviation sivision of tata son )

1946 Tata Air Lines converted into a public Company and1946 Tata Air Lines converted into a public Company and renamed Air India Limitedrenamed Air India Limited

19481948 Air India International incorporatedAir India International incorporated

1953 Nationalization of Aircraft Industry:-1953 Nationalization of Aircraft Industry:- Air India ,Indian Airlines, Deccan Airways, Air India ,Indian Airlines, Deccan Airways,

Airways India, Bharat airways, Himalayan Aviation, Kalinga Airways India, Bharat airways, Himalayan Aviation, Kalinga Airlines, Indian National Airways and Air Services of IndiaAirlines, Indian National Airways and Air Services of India

Classification Of Indian Aviation Sector

Scheduled air transport service:-

Domestic airlines International airlines Non-scheduled air transport service.

Air cargo service.

Players in Aviation Industry

The players in aviation industry can be categorized in three groups:

Public players : Indian Airlines Now Air-India

Private players : Jet Airways, Kingfisher Airlines, Spice Jet, Air Deccan

Start up players : Omega Air, Magic Air, Premier Star Air & MDLR Airlines.

Kingfisher

Dr. Vijay Mallya is the Chairman and CEO of Kingfisher Airlines.

launched its airline services in May 2005.

The first carrier in the country to offer live in-flight entertainment.

Kingfisher Airlines Ltd & Dish TV have joined hands to provide live in-flight entertainment on Kingfisher aircraft .

100 percent E ticket airline100 percent E ticket airline

PROBLEMS FACED :-

Kingfisher Airlines to sell property to fly out of debt crisis:-

The board of Kingfisher Airlines (KFA) has decided to consider a proposal to cut debt by more than half by selling property, converting loans from its parent company into equity, and changing the terms under which it leases aircraft.

RecessionIn 2008, due to the prevalent economic downturn, the civil aviation industry faced the worst period in its history.

Founded in 1993, Chairman - Mr.Naresh GoyalFounded in 1993, Chairman - Mr.Naresh GoyalHQ:- in MumbaiHQ:- in Mumbai

Largest domestic airline - 31%Largest domestic airline - 31%

Primary base -Primary base - Mumbai's Chaatrapathi Mumbai's Chaatrapathi ShivajiAirportShivajiAirport

Secondary hubsSecondary hubs - Bangalore, Brussels, Chennai, - Bangalore, Brussels, Chennai, Delhi,Delhi,Hyderabad, Kolkata and Pune.Hyderabad, Kolkata and Pune.April,2007 - Acquired Air Sahara – JetLiteApril,2007 - Acquired Air Sahara – JetLite

Now Jet Lite integrated into Jet AirwaysNow Jet Lite integrated into Jet Airways

It earns yearly revenue of Rs 2502.89 and total It earns yearly revenue of Rs 2502.89 and total income of approx income of approx `̀ 117868.8 Million 117868.8 Million

Some salient issues :--

Employees were FIRED with no PRIOR NOTICE

The entire force of unconfirmed staff was being laid off on a 30-day compensation package

  Company took action only against lower staffs.

November 2008, Jet decided on a 20% cut in the salaries of its pilots, engineers, and some other staffs.

Oct 16, 2008, Jet announced that it would lay off nearly 1,100 of its staffs to streamline operation.

Air India

Air India is state-owned, and administered as part of the National Aviation Company of India Limited

It was created in 2007 to facilitate Air India's merger with Indian Airlines.

Air India is the 16th largest airline in Asia,

serving 25 destinations worldwide, and, with its affiliated carriers, serves over 100 cities.

Around 2006-07, the airlines began showing signs of financial distress.

The combined losses for Air India and Indian ‘ Airlines in 2006-07 was R.s 771 crores.

After the merger of the airlines, this went up to Rs 7200 crores by March 2009.

Under debt of Rs.8000 Crore

Number of AI cabin crew on strike rises to 269 due to no pay on time .

Financial Crisis

Low-price domestic airline which offers feasible flying alternatives for millions.

It was facilitated by the Air Passengers Association of India (APAI) as the “Best Low-Fare Carrier in India for the year 2007”.

Has 120 daily departures and a fleet of 19 Airbus A320. The airline covers 17 destinations namely, Agartala, Bangalore, Bhubaneshwar, Ahmedabad, Delhi, Chennai, Guwahati, Hyderabad, Goa, Imphal, Kolkata, Mumbai, Vadodara, etc.

Indigo

analysis of indigo airlines :-

Strength 1. Strong backing Promoters

2. Only LCC to make consistent profits Weakness 1.Not on too many routes

Opportunity 1. Opening up of International Skies

2. Largest Market share among LCCs in Indian Market3. Middle Class taking to the skies

Threats 1. Plenty of new LCCs to compete with others.

2. Rising Labour costs3. Rising Fuel Costs

SWOT Analysis:-

1. Growing tourism: Due to growth in tourism, there has been an increase in number of the international and domestic passengers.

2. Rising income levels: Due to the rise in income levels, the disposable income is also higher.

Strengths: 

Under penetrated Market   Untapped Air Cargo Market  Infrastructural constraints Low profitability and utilization of capacity.

Weaknesses:

Opportunities:-

Expecting investments: investment of about US $30 billion will be made

Expected Market Size. India airline industry is growing faster and will

continue to grow as the GDP increases. Worldwide deregulations make the skies more

accessible.

Complementary industry like tourism will increase

demand for airline service. Customers are getting wealthier Best time for introducing LCC’sThreats :-

Shortage of trained Pilots.  Shortage of Airports.  High prices. The Indian Railway Ministry is attracting passengers away from air service, with prices almost at par with the low cost carriers.

CURRENT SITUATION OF INDIAN AIRLINES INDUSTRY

Sharp US economic down turn tightening credit crunch

Passengers and especially business class reduce considerably

Aviation in Asia still attracting passengers mainly China, and India

Fuel bill to reach US147$, up 14%

India, Budget airlines forced to step the accelerator

Phenomenon hurting the global economy- Slowdown

Skyrocketing fuel prices .

IN SEARCH OF PERFECT WORLD TO FLY :-

Future of Indian Aviation Industry:-US$120 billion of investment by 2020.

close the gap between the demand for aviationservices and the ability of our aviation system to meet that demand.

Maintaining safety, security and the environment.

India must develop a roadmap for infrastructure development beyond 2010.

Passenger traffic is estimated to grow at a CAGR of over 15% in the coming few years.

The Ministry of Civil Aviation would handle around 280 million passengers by 2020.