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Swot Analysis Of Spicejet

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The aviation industry is a highly competitive industry because of which it is difficult to earn high returns in this sector. Below are the major reasons for the high competition in the low-cost carrier airlines: • Very little scope for differentiation between competitors’ products and services;
• Aviation is a mature industry with very little growth. The only way to grow is by stealing away customers from competitors; • Suppliers of aircrafts are the same, i.e., Boeing and Airbus. Hence supplier’s bargaining power is high; • Switching cost of customers is high for low cost carriers, i.e., there is no brand loyalty. Closest competitor of Indigo is SpiceJet followed by GoAir [Exhibit 3]. Below is brief description about each of them:

SpiceJet is a low-cost airline based in New Delhi, India. Spice Jet’s mission is to become India’s preferred low cost airline, delivering the lowest air fares with the highest consumer value, to price sensitive consumers. Its vision is to ensure that flying is no longer confined to business travelers, but is affordable for everyone and thus the tagline ‘flying for everyone’ Spice Jet airways began its operations in May 2005.
SpiceJet has chosen a single aircraft type fleet which allows for greater efficiency in maintenance, and supports the low-cost structure. It has a fleet of 6 Boeing 737-800 in single class configuration with 189 seats. SpiceJet 's new generation fleet of aircraft is backed by cutting edge technology and

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