Pest analysis of airindia

Airport pestle analysis

Unit profits are low, but overall profits are achieved. Attractiveness in this context refers to the overall industry profitability. Bringing in talent from private sector: Air-India has to focus on its long term marketing position as well as it has keep in mind that they may be adopt the capital investments from the private sectors. At times, oil producing nations at the behest of OPEC manipulate oil production target in order to keep the prices of crude to suit their profit intentions. Air concessions are given to school students, old people etc. In a country like India, there are people from varied income groups. So he expects change of seats can be possible.

The prudent policy should be to take insurance and other types of hedging instruments to mitigate the losses occurring because of the terrorist attacks. Slow nature of aircraft sales, because the high value order placed by the industry can take several years to be delivered.

airline industry pestel analysis pdf

A Jain would be satisfied with the service only if he is served jain food and it should be kept in mind that the customers next to him are also jain or at least vegetarian. Air Sahara has introduced a service through the internet, wherein the unoccupied seats are auctioned one week prior to the departure.

The implication for Air Debt is that it can boost sales of its product in short run but also expose Air Debt to medium term forex and currency depreciation risks.

Air-India is already running in losses, the customer may demand more.

pestel analysis low cost airlines

So this will be a threat for Air-India from the upcoming and new domestic air lines Threats from the competitors: Threats from the competitors for Air-India is very high The competitive rivalry within the air line industry is very intense, as many major air lines are operating the flights to the same destinations, all over the world.

APEX Fares: In this scheme, people are given very cheap rates only if tickets are booked atleast before the specified time period. Once the change was placed, then an internal checking has to be done 4.

Expert knowledge of the organization and its external surrounding is also important in pestle analysis. As an industry, profitability is low and yet individual companies, by applying unique business models, have been able to make a return in excess of the industry average.

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Aviation industry