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Subject category: Marketing
Authors: A Mukund; D Sirisha
Published by: IBS Center for Management Research
Published in: 2002

Abstract

The case examines the marketing strategies adopted by players in the commercial aviation industry in India in 2002. It provides details about the industry''s evolution from a single-player monopolistic regime to its intensely competitive multi-player days in 2002. The marketing strategies adopted by the players, in terms of price-reduction, innovative customer service efforts and other promotional activities have been explored in detail. The case also debates the sustainability of the above strategies in the light of the fact that these were being seen essentially as short-run exercises by industry observers. The case is structured to enable students to: (1) understand the changing environment of the Indian aviation industry and the evolution of the three major players - Indian Airlines, Jet Airways and Air Sahara; (2) understand the rationale behind price reduction being used as a strategic tool for deriving competitive advantage; (3) discuss the innovative promotional schemes being adopted by Jet Airways and Sahara that enabled them to capture a significant market share from Indian Airlines; (4) evaluate the importance of customer service as a tool for differentiation in the aviation industry and examine how the players involved are utilising the same to gain competitive advantage; and (5) debate the need and viability of the strategies being adopted in the industry in the long run and discuss the options available for players in terms of brand building and promotion. The case is aimed at MBA/PGDBA students, and is intended to be a part of the marketing curriculum.
Location:
Other setting(s):
2002

About

Abstract

The case examines the marketing strategies adopted by players in the commercial aviation industry in India in 2002. It provides details about the industry''s evolution from a single-player monopolistic regime to its intensely competitive multi-player days in 2002. The marketing strategies adopted by the players, in terms of price-reduction, innovative customer service efforts and other promotional activities have been explored in detail. The case also debates the sustainability of the above strategies in the light of the fact that these were being seen essentially as short-run exercises by industry observers. The case is structured to enable students to: (1) understand the changing environment of the Indian aviation industry and the evolution of the three major players - Indian Airlines, Jet Airways and Air Sahara; (2) understand the rationale behind price reduction being used as a strategic tool for deriving competitive advantage; (3) discuss the innovative promotional schemes being adopted by Jet Airways and Sahara that enabled them to capture a significant market share from Indian Airlines; (4) evaluate the importance of customer service as a tool for differentiation in the aviation industry and examine how the players involved are utilising the same to gain competitive advantage; and (5) debate the need and viability of the strategies being adopted in the industry in the long run and discuss the options available for players in terms of brand building and promotion. The case is aimed at MBA/PGDBA students, and is intended to be a part of the marketing curriculum.

Settings

Location:
Other setting(s):
2002

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