Location via proxy:   [ UP ]  
[Report a bug]   [Manage cookies]                
Scribd Logo
Upload

Welcome to Scribd!

  • 83 views

    Space Matrix - Air India + Air Asia Internal Environment

    Uploaded by

    Subham Patra
    Air India and Air Asia had explored new international routes to expand their market share to 17.5% of the online travel space. However, COVID-19 significantly impacted their operations, forcing Air Asia to sell 10% of its shares. While Air Asia was still generating strong cash flows pre-COVID, Air India continued to lose money. If Air India and Air Asia partnered with Vistra, Tata would have a large financial strength and domestic distribution network to potentially overtake Indigo as the top airline in India, helped by Tata's trusted brand.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd

    Space Matrix - Air India + Air Asia Internal Environment

    Uploaded by

    Subham Patra
    83 views3 pages
    Air India and Air Asia had explored new international routes to expand their market share to 17.5% of the online travel space. However, COVID-19 significantly impacted their operations, forcing Air Asia to sell 10% of its shares. While Air Asia was still generating strong cash flows pre-COVID, Air India continued to lose money. If Air India and Air Asia partnered with Vistra, Tata would have a large financial strength and domestic distribution network to potentially overtake Indigo as the top airline in India, helped by Tata's trusted brand.

    Original Title

    Space Matrix

    Copyright

    © © All Rights Reserved

    Available Formats

    PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Air India and Air Asia had explored new international routes to expand their market share to 17.5% of the online travel space. However, COVID-19 significantly impacted their operations, forcing Air Asia to sell 10% of its shares. While Air Asia was still generating strong cash flows pre-COVID, Air India continued to lose money. If Air India and Air Asia partnered with Vistra, Tata would have a large financial strength and domestic distribution network to potentially overtake Indigo as the top airline in India, helped by Tata's trusted brand.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    83 views3 pages

    Space Matrix - Air India + Air Asia Internal Environment

    Uploaded by

    Subham Patra
    Air India and Air Asia had explored new international routes to expand their market share to 17.5% of the online travel space. However, COVID-19 significantly impacted their operations, forcing Air Asia to sell 10% of its shares. While Air Asia was still generating strong cash flows pre-COVID, Air India continued to lose money. If Air India and Air Asia partnered with Vistra, Tata would have a large financial strength and domestic distribution network to potentially overtake Indigo as the top airline in India, helped by Tata's trusted brand.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    You are on page 1of 3

    Space matrix – Air India + Air Asia

    Internal environment:
    Financial strength:
    • Return on investment- Air india & air asia had explored new
    routes for their ong haul flights. They fly exclusively to Japan,
    northern china, south korea, south arabia & austrelia.
    • Leverage – launched UPI in 2018, which aim to democratize
    financial services in india by building digital bank that offers
    consumer e-wallet service and lending.
    • Liquidity- covid 19 had given major impact to air india and air
    asia operation. They have take action to sell 10% of the
    company’s share to other congealment.
    • Cash flow - air asia continue to generate strong cash flow,
    reflect by the operating strong cash flow before covid 19 occurs
    and at the same time air india continue to losse money on
    operating the business.
    • Ease of exist of market – Cost-efficiency, low complexity and
    profitable are always cornerstones of building a strong business.
    Besides restructure airasia operation had its maintain in the
    airline industry.
    • Risk involved in business-to diversify his business such as hotel,
    telecommunication ,and financial had reduced its risks.

    Competitive position:

    • Market share – as a all in one travel and lifestyle marketplace.


    Air india and air asia had estimate 17.5% market share of the
    online travel space.
    • Service quality- have been rated by skytrak for 3 stars.
    • Product life cycle- is in growth phase in position, products and
    services can be taken up by the customer base very quickly and
    achive rapid growth.
    • Customer loyalty- award winning loyalty programme which
    allow members to redeem flight to over 150 destination.
    • Competitors capacity utilization- air travel the most simple
    ,convenient and inexpensive form of transportation in the world.
    • Technology- all in one travel and lifestyle marketplace.new
    enhanced homepage ux/ui on web & mobile.

    External environment
    Environment stability

    • Technological changes- wide digital reach via


    airasia.com,mobile app and social media. Achievement over 560
    million annual unique visitor and over 40 million mobile app
    download
    • Price range of competing product- competitors from other lcc
    airlines such as indigo , jet airways and tiger airways etc
    • Demand variability- growth planning in market, logistic, digital
    bank and insurance, and life style and entertainment

    Industry position:

    • Growth potential- opportunity to expand their services by


    adding new route.
    • Resource utilization- lower than budgeted fuel price giving
    some cushion.
    • Financial stability- stringent cost control internally, hiring freeze
    for the airline business. No extending expiring aircraft.
    Discussing with lessors on reduction. Negotiating fees
    maintenance service providers.
    • Profit potential- domestic campaign of which resulted in.

    Another scenario – Air india +Air asia + vistra


    If that happen in future in someday then tata able take on indigo
    for top position because of large financial strength and strong
    distribution network in domestic which it helps to in air travel
    space. TATA is also brand which helps to create trust in people
    minds which will benefit TATA in business.

    You might also like