Indian Aviation: Price Wars & More
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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Analysts felt that most of the private carriers ran into problems because of the government regulations and high costs of operation. All the carriers hired planes at international prices and their maintenance was also undertaken by global companies at international rates. The only 'Indian advantage' was the availability cheap labor...
Initially, advertisements by the new players were limited to the print and electronic media. However, with the entry of new players in the 1990s, competition began to intensify. IA also expanded its domestic network and started foraying into international market...
Exhibit I: Classification of Air-Travel Routes
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