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The vision can be set as To become a World Class Airline enterprise and be ranked

among the Top 10 Airlines by 2015..

The Missioncould be , To operate in All businesses related to Air Transportation and

establish operations across the world. By addressing participating in all the related

businesses , the asset utilization could go up and the fixed cost of operation per

Passenger KM could be brought down substantially.

They could set an objective to become cash positive within a year and book break even

in two years and a profitable Airline in 5 years.- Suggestion

Comparative analysis

Characteristics Japanese airlines Air India

Air craftsused Boeing 747 Airbus 300, 310, 320 Boeing747

Serving The airline and four of its

subsidiaries cater to different

customer segments from

Leisure to cost conscious

travelers

Basically known as a low cost

air liner who recently havestarted premium class sectionsin the same airlines for leisureand high end customers

No of routes served 165 370Free baggage allowance 12 First Class 40Kgs.

Executive Class 35 Kgs.

Economy Class (Y,B,M & H)20 Kgs.Economy Class(K,Q,V,W,G,L,U,S,T,X, N &E) 15 Kgs.

Subsidaries J-Air ( premium class serving injapan)JAL Express (servicing injapan)

Japan Air Commuter (feederservices)Japan Transocean Air (domesticservices)

Air India Express ( low costmiddle east)Air India Regional (low-costindia)

Air India Cargo (freightcarrying)Aryan Cargo Express (freightcarrying)Indian Airlines (serving indiaand neighbouring countries)Pawan Hans (helicopterservices)

No of destination served 92 90

Extra services Complementary branded

wines and water

Snacks or beverages only forlong haul flights to Europe

Economy Class: Upto 60 mins.:Pre-plated Snacks withTea/CoffeePeanut packets withtetrapack Juice OR Biscuitswith Tea / Coffee for both

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classes

61 mins to 90 mins : Hot Mealfor premium class

Peanut packets with tetrapackJuice OR Biscuits with Tea /

Coffee for economy class

Above 90 mins.

Hot Meal for both classes

Different types of meals:-Religious meals, baby meals,medical and dietary meals,special meal requests

Limitations:-

Weakness of japanese airlines:-

1. After filing for bankruptcy it had to cut its employee strength by one third of its total

employees

2. Brand awareness and lesser than major global airlines

3. It has a complex business structure making it a bit difficult to quickly adapt to changes

Weakmess of air india

Losing market share.

Poor financial position

Sub optimal Load factors. Very low cargo load factor

Lower level of productivity across the organisation. Low Employee productivity.

Large number of nonperforming assets.

High overheads

Less aggressive approach to development of the business compared to the private carriers.

Slow response to market developments

Employee attrition replaced at high cost

Consumer behavior towards Air India:-

1) Direct flights to global destinations rather than customers boarding another flight to

reach the final destination:- Would reduce 40% air traffic as well as increases

consumers convenience to reach final destinations. Passengers have to transit via

other hubs would be reduced making customers happy.

2) cheaper than any other airline:- advance purchase fares for 14, 30 and 60 days before

the travel date but none closer to the day of travel. We have recently introduced

special fares that can be booked three days before the travel date. The fares have been

introduced to fill flights with light loads and will help us compete with other low-cost

airlines. So consumers are benefited by low cost airfares.3) Poor staff performance as dealing with the air travelers.

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Consumer behavior towards Japanese airlines:-

1) Roomy seats which makes seating comfortable but too many seats in business class isa let down

2) Impressive staff as they were well aware about the Japanese culture3) Value for money flights

4) Excellent food5) Entertainment was up to date for people knowing Japanese but those who dont know

well very less options available for them.

ANOVA determines if themean values are

significantly different andTukey-Kramer

Tukey-Kramer minimumAirlines Minimum Significant

significant difference testsDifference

which airlines aresignificantly different from

the restQuality of In-Flight Air India Air India isServices Jet Airways Significantly

Kingfisher different from JetSpice Jet Airways andIndigo Kingfisher and theyGo Air are better

On-time performance of Air India Air India isscheduled flights Jet Airways Significantly

Kingfisher different from JetSpice Jet Airways andIndigo Kingfisher and theyGo Air

are better

Information about Air India Air India iscancelled/delayed Jet Airways Significantlyflights well in advance Kingfisher different fromto customers Spice Jet Kingfisher and

Indigo SpiceJet and they areGo Air Better

The frequent flyer Air India Air India isincentives offered by Jet Airways Significantlythe airline is good Kingfisher different from

Spice Jet Kingfisher whoseIndigo flyer incentives are

Go Air

perceived to beBetter

The airline staff possess Air India Air India isgood knowledge to Jet Airways Significantlyanswer customers Kingfisher different from Jetqueries Spice Jet Airways and

Indigo Kingfisher and theyGo Air are better

The airline staff always Air India Air India isgives personal attention Jet Airways significantlyto customers Kingfisher different from Jet

Spice Jet Airways andIndigo Kingfisher and theyGo Air are better

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