The airline formerly operated a hub at Frankfurt which was terminated on account of high costs. However, another international hub is being planned at the Dubai International Airport. Air India was once the largest operator in the Indian subcontinent with a market share of over 60%. Indifferent financial performance and service, labor trouble pushed it to fourth place in India, behind low cost carriers like Indigo, Spice Jet, and its full service rival Jet Airways. Between September 2007 and May 2011, Air India 's domestic market share declined from 19.2% to 14%, primarily because of stiff competition from private Indian carriers.
The first national and international airline of Pakistan is Pakistan International Airline (PIA), has got the certification of ISO 9000. It has been declared at 31st march 2007 by the top management that PIA is suffering 28.6 billion PKR losses and at 31st December 2008 losses has been almost cross 78.3 billion PKR. PIA goes through loss, higher management has given the reason that the Pakistani currency doesn‘t have much value in world‘s marketplace and the cost
It is constantly better than its competitors in profitability (Chan 2000, 460). On the other hand, ATA Airlines filed for Chapter 11 bankruptcy protection in 2004 for the first time and faced bankruptcy for the second time in 2008 after being bought by Southwest Airlines (O'Malley 2008, 30). This essay is discussing about two airlines of how to manage
INTRODUCTION: Indian aviation industry is one of the fastest growing airline industry in the world. The history of Indian aviation industry started in December 1912 with its first domestic air route between Karachi and Delhi. It was opened by the Indian air service in collaboration with the UK based imperial airways as an extension of London-Karachi flight of the imperial airways. Tata sons ltd, the first Indian airline, started a regular airmail service between Karachi and madras three years later without any backing from the Indian government. During the period of independence, 9 air transport companies were carrying both air cargo and passengers in the Indian territory.
Since then Jet Airways has gone on to become the second largest airline in the country today with a passenger market share of 18.9%. With 116 aircrafts in service and 85 in order, it operates over 300 flights daily to 68 destinations which includes 48 domestic and 20 international destinations. With its various services like Jet Konnect, Jet Privilege, Jet Escapes, Jet Mobile, Jet Viva, Jet Lite etc, it has created a niche for itself in the industry. It optimizes its revenue through network rationalization, inventory optimization and margin maximization. Jet Airways is continuously losing out on its market share and it also needs improvement in its in-flight services.
2) High Airport Charges: Indian airports are the most expensive in the world. 3) Underserved Market: By 2020, India will be the 3rd largest aviation market. IATA has estimated that the current aviation market of 150 million passengers would increase to 450 million passengers by 2020. 4) Economic Slowdown: India & the rest of the world are emerging from economic slowdown. 5) Competition between Carriers and Overcapacity: The Indian domestic aviation is already experiencing intense competition.
Hong Kong has the geographic advantage to enter the Asia market. 4.2 Threats Despite Cathay Pacific is one of the foremost players in the airlines industry in Asia-Pacific, there are still powerful competitors such as Singapore Airlines, Qatar, and Emirates Airlines. And the fee of fuel is its most significant ratio of the fixed expenses for these. According to data from the financial report of 2015, the fuel cost of Cathay and Dragonair was about HK$ 16,619 million, declined by 11.6%, in contradiction of the 2014’s. However, it was due to the dramatical slump from 2014 (Cathay Pacific Annual Report, 2015).
(www.tigerair.com) Tiger airline independent in 2003 and began ticket sales in 2004. It was floated on the Singapore Stock Exchange under the Tiger Airways Holding banner in 2010. It has its head office in the Honey Building in Changi, Singapore. Tiger airline is a leading Singapore-based no frills airline that affordable travel options and a seamless customer experience. It won the CAPA Lower-cost Airline of the Year Award for 2006 and 2010
It is Pakistan 's largest airline with more than 30 airplanes. PIA is going through a procedure of privatization to shift management from government to the private sector. Pia faces competition with international as well as national airlines, but right now it is passing through severe crises because of poor management, lack of planning, corruption, political interference and other external and internal factors. It is unable to cope up with its expenses and facing huge amount of loses. It needs good leadership, highly qualified staff and advancement in technology to overcome the hurdle and survival.
I/ Introduction Malaysia Airline is the national airline company of Malaysia, it was founded in 1947. Malaysia airline was originally opened in 1937 to create an air service between Penang and Singapore by different companies. Malaysia in an important company and it exploits 120 planes. In 2011, Malaysia airline had a turnover of more 13 billion us dollars and it transported more than 13 million of passengers. In Asia, it was one of the more safe air companies, clearly demonstrated by the five stars gave by Skytrax in 2011.