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THE 3C REPORT
OF
MBA AVIATION 2015
ANKIT KUMAR
SUBMITTED TO
DR ARVIND KUMAR JAIN
MARKETING MANAGEMENT
INTRODUCTION
This Report depicts the 3C’s (Company, Competitor & Customer) of the
Aircraft Manufacturing Company BOEING. In this Report we have
highlighted the overview of the 3C’S i.e.
THE COMPANY:
An overview of the BOEING as a company and its productionaspects
since its inception hasbeen explained.
THE COMPETITOR:
The primary competitorof BOEING, is the AIRBUS but here with we also
have encountered that in India due to the high increasing rate of Low
Cost Carriers the airlines also have started investing in BOMBARDIER, a
turbo prop aircrafts owned by Spice jet, Air India, Jet airways, etc.
In India aviationindustry in the present scenario this company is the
emerging threat to BOEING, so the second company as a competitor to
BOEING is the BOMBARDIER.
THE CUSTOMER:
In terms of customer over here what we see is the total number of
aircrafts the company has deliveredworldwide fetching the customer
interest over the worldwide arena. We have focused the market share
world wide as well as in India aviationmarket
THE COMPANY
The Boeing Company is an American multinational corporation that designs,
manufactures, and sells airplanes, rotorcraft, rockets and satellites. It also
provides leasing and product support services. Boeing is among the largest
global aircraft manufacturers. The Boeing Company's corporate headquarters
are located in Chicago and the company is led by President and CEO Dennis
Muhlenberg.
In March 1910, William E. Boeing bought Heath's shipyard in Seattle on the
Duwamish River, which later became his first airplane factory. Boeing was
incorporated in Seattle by William Boeing, on July 15, 1916, as "Pacific Aero
Products Co". Boeing was later incorporated in Delaware, the original Certificate
of Incorporation was filed with the Secretary of State of Delaware on July 19,
1934
Boeing Commercial Airplanes, a business unit of The Boeing Company, is
committed to being the leader in commercial aviation by offering airplanes and
services that deliver superior design, efficiency and value to customers around
the world. There are more than 10,000 Boeing commercial jetliners in service,
flying passengers and freight more efficiently than competing models in the
market. A record 5,500 Boeing airplanes are currently on order. Boeing
Commercial Airplanes, headquartered in Seattle, Washington, employs more
than 83,000 people worldwide.
THE CUSTOMERS
On the customer approach in this sector we focus the number of aircrafts sold to
its airline operators in the entire world & therefore the following database
provides the information about Airbus customers around the world with their
order deliveries.
BOEING
Air India has been a Boeing Commercial Airplanes customer since 1960, when it
acquired its first 707 jetliner. Indian Airlines inducted the 737 Classic in the
1970s; the Next-Generation 737 is the workhorse today with airlines such as Jet
Airways, Air India Express and Spice jet and India’s largest express cargo
operator Blue Dart uses the Boeing 757 Freighter.
In 2006, Air India signed a contract for 68 Boeing jets. Since September 2012, Air
India has been receiving its all-new, fuel-efficient 787 Dreamliner’s, which offer
20 percent more fuel savings than today’s similarly sized airplanes.
The Dreamliner has helped Air India launch new routes to international
destinations. Twenty-one 787s are now with Air India, serving to expand
international routes and fuel-efficient operations.
Jet Airways, a Boeing customer since the 1990s, operates 737s and 777s on its
domestic and international routes. Additionally, the Indian Ministry of Defence
operates four 737-200s and three 737 Boeing Business Jets.
Boeing is committed to offering efficient commercial airplanes and services that
deliver superior design and passenger comfort to meet emerging customer
needs in India
THE COMPETITOR
The primary competitor of BOEING is the AIRBUS, initially Boeing was the
dominant in the aviation market around the world since the inception of Airbus
in 1974, Airbus becoming the upcoming brand in the airline industry developing
aircrafts at the same sophistication the Boeing.
Therefore Boeing’s biggest competitor Airbus at par has taken over a wide
market share in terms of the Commercial Aircrafts.
Airbus makes the freedom of flight possible, having evolved during the past 40
years. Airbus is the world’s leading manufacturer of commercial jetliners and
military airlifters, with a 40-plus year track record of innovation, technological
firsts and industry milestones.
The A300 became the world’s first twin-engine wide body jet with its
commercial service entry during 1974. It was followed in the early 1980s by
Airbus’ shorter-fuselage A310 derivative, then later that decade by the
company’s single-aisle A320 – which has developed into one of the most
successful aircraft families in history with the A318, A319, A320 and A321.
The 1990s saw Airbus introduce its long-range A330/A340 Family, and a new era
of airline travel started in 2007 when the 600-plus-seat A380 began commercial
operation. Responding to market requirements, Airbus launched its A350 XWB
twin-engine jetliner in the 2000s. The highly efficient aircraft entered
commercial service in 2015, bringing together the very latest in aerodynamics,
design and advanced technologies.
To maintain its competitive edge, Airbus continues to invest in improvements
across its market-leading, modern product line – including development of the
A320neo (new engine option) version, the A330neo variant and more. The
company’s international production network also has been significantly
expanded over the years, highlighted by its single-aisle final assembly line in
Tianjin, China, along with the Airbus U.S. Manufacturing Facility for A320 Family
jetliners – which commenced aircraft assembly operations in 2015.
THE COMPETITOR
The Indian aviation market, had changed over the years and Bombardier’s Q400
aircraft, CRJ and the new C-series aircraft had got tremendous potential in the
region. Q400 can fly safely in tough terrains like mountains even on one engine
and Pratt&Whitney 150 engine is the reason.
Despite consensus that India needs to upgrade its Tier II and III airport
infrastructure and that the Indian airline industry need to pressure the
government to open up more markets that essentially look beyond the narrow
body jets currently deployed
Over the next 20 years, Bombardier forecasts over 4,740 deliveries in Asia-Pacific
(including Greater China and India), with specifically 1,340 business jet deliveries
in India. The demand, driven by economic growth, globalization and the increase
in the number of billionaires in those markets, is expected to rise even further.
With the industry’s most comprehensive product portfolio and a commitment to
leadership in customer satisfaction, Bombardier continues to grow its leadership
position in the business aviation industry. From light jets to large, ultra long-
range aircraft, Bombardier offers a solution to all customers, whatever their
requirements may be.
Currently, about 275 Bombardier Dash 8/Q-Series turboprops, CRJ regional jets
and CSeries airliners are in service with, or on firm order from, over 35
customers and operators in the Asia-Pacific region, excluding China. These
aircraft are all optimized for the markets they are designed to serve, and
Bombardier Commercial Aircraft’s regional sales and marketing team is
positioned both in Singapore and Mumbai to provide industry-leading solutions
to current and prospective customers. The long-term outlook for India and the
Asia-Pacific region shows upward market trends will prevail. Bombardier’s
Commercial Aircraft Market Forecast covering aircraft from 20 to 149 seats
predicts that the Asia- Pacific region, excluding China, will represent
approximately 16 per cent - or 2,020 units - of the global market from 2013 to
2032.
Over the past 10 years, real GDP growth in India averaged almost 8%, making it
one of the fastest growing economies within the G-20. This strong economic
growth led to a rapid rise in the number of business aircraft operating in India.
But within India, commercial aviation does an inadequate job of connecting
second and third-tier cities, creating a great opportunity for business aviation to
save time and increase business traveler’s productivity through point-to- point
travel. Bombardier is planning to expand its services in the gaping market of the
North East , Central India and North of Delhi. However, high fees, taxes and
bureaucracy, are weighing down India’s business aviation growth potential in the
near term. While executives and entrepreneurs increasingly see corporate
aviation as a valuable business tool, India’s civil aviation ministry has yet to fully
recognize the positive impact that business aviation can have on the Indian
economy.
A decade ago, flying was seen as something you did only if you had money. Now,
the Indian government has realized the importance of connecting cities. In such
a scenario, turboprop aircraft, particularly, will have an important role
Bombardier has two customers in India- Air India which has four CRJ-700 aircraft
and Spice Jet, which flies 15 Q400 NextGen turboprop aircraft.
THE INDIAN AVIATION MARKET COMPETITON
THE AVIATION CUSTOMER MARKET SHARE IN INDIA
BOEING
AIRBUS
(COMPETITOR 1)
BOMBARDIER
(COMPETITOR 2)
Executive Summary
In this report we have discussed the present Indian aviation scenario of its high
competitive market. The main focus is on the 3C’s i.e. The Company, The
Competitor, and The Customer. The Indian aviation market has been on the
inclination of boom since its inception since 1940s therefore Boeing being the
initial customer to the Indian aviation market and dominated over a period of
decade, its position was affected with the new competitor in the aviation
market special in India i.e. Airbus.
Therefore from 1940s up till mid 1990s there was a duopoly market that was
dominated by Boeing and Airbus. As from the early 2000 the inception of low
cost carrier in Indian market created a huge demand by the airlines in lieu of
acquiring new aircrafts or leased aircrafts.
By 2010 more of the aircrafts serviceable in Indian aviation market were either
leased or pre used purchased. Therefore in terms of regional connectivity the
LCC’s wanted cheap aircrafts with cost efficient operations and fuel efficient
engines therefore this gave arise to new competitor i.e.; The Bombardier in the
Indian aviation market. In short the inclusion of LCC in Indian aviation market
created a huge pool of demand by the customers with limited options from the
limited manufacturers.
This report gives you a brief idea about the serviceable Indian registered aircrafts
flying over the Indian airspace with an overwhelmed demand by the Indian
aviation market. And specifically highlighting the Company, Competitor &
Customer equibalance in the present aviation market in India.
The Customer
In India the first airline, which started its operations, is AIR INDIA on 29th
July
1946. As the traffic started growing the new airline i.e. JET AIRWAYS came into
existence on 5th
May 1993. As the competition increases the new airline i.e.
SPICE JET exists into the market as a Low Cost Carrier on 18th
May 2005 to
attract more and more passengers of middle as well as lower middle class. Spice
Jet started with a good revenue earning which led the new LCC’s to come into
existence like GO AIR which started their operations in Nov 2005 than INDIGO
which started its operations on 8th
April 2006 after that AIR COSTA commenced
operations on 15th
Oct 2013 than AIR ASIA started operations on 12th
June 2014
after that AIR VISTARA started operations on 9th
Jan 2015 than at last but not the
least TRUE JET commenced its operations on 12th
July 2015. This shows the rapid
growth in Indian aviation market.
The following table gives the information about the possible Customers in the
Indian Aviation Market with their registration of India by the Directorate General
of Civil Aviation according to Aircraft Act of 1934.
Sr. No. Customer Operations
Commenced
Registration
1 AIR INDIA 29 July 1946 INDIA
2 JET AIRWAYS 5 May 1993 INDIA
3 SPICE JET 18 May 2005 INDIA
4 GO AIR Nov 2005 INDIA
5 INDIGO 8 April 2006 INDIA
6 AIR COSTA 15 Oct 2013 INDIA
7 AIR ASIA 12June 2014 INDIA
8 AIR VISTARA 9 Jan 2015 INDIA
9 TRUE JET 12 July 2015 INDIA
THE CUSTOMER & THE COMPANY
The following table shows the present customers that are using the aircrafts
of the company’s like Boeing, Airbus & Bombardier.
Over a period of time in Indian Aviation Market new players emerged with
new aspects to earn revenue in the Indian Market, but each company
predetermined its Company of Manufacturer from whom the wanted their
aircraft delivery
The following table shows the information about the airline companies in
India with the fleet of aircrafts they own from the Different aircraft
Manufacturing Company.
S.NO CUSTOMER COMPANY NO OF AIRCRAFT
(IN SERVICE)
1 SPICEJET BOEING
BOMBARDIER Q400
20
14
2 INDIGO AIRBUS 107
3 AIR INDIA BOEING
AIRBUS
68
41
4 JET AIRWAYS BOEING
AIRBUS
BOMBARDIER ATR
86
12
18
5 TRUE JET BOMBARDIER ATR 3
6 AIR COSTA EMBRAER 5
7 GOAIR AIRBUS 19
8 AIR ASIA INDIA AIRBUS 6
9 AIR VISTARA AIRBUS 9
TOTAL SERVICEABLE AIRBUS AIRCRAFTS: 194
TOTAL SERVICEABLE BOEING AIRCRAFTS: 174
TOTAL SERVICEABLE BOMBARDIER AIRCRAFTS: 35
SPICEJET
In March 2014, Spice jet signed a US$4.4 billion deal with Boeing for the
procurement of 42 737-8 MAX Aircraft. In 2015, Spice Jet was in talks with both
Boeing and Airbus for a possible order of more than 100 single aisle aircraft,
either Airbus A320neo or the Boeing 737MAX. The Deliveries starting from 2017
for Boeing 737 MAX 8 in total of 42 aircrafts.
INDIGO
The Airbus A320neo family aircraft ordered in 2011 were to be delivered starting
2015.However, due to a delay in the production and delivery of these aircraft,
Indigo dry-leased a total of 22 used aircraft to cope up with the demand. The
first A320neo aircraft was delivered to Indigo on 11 March 2016. Indigo orders
Airbus A320neo in total of 427 aircrafts.
AIR INDIA
On 11 January 2006, Air India announced an order for 68 jets – 8 Boeing 777-
200LR, 15 Boeing 777-300ER, 18 Boeing 737-800 and 27Boeing 787-8
Dreamliner’s. The eighteen Boeing 737s ordered were later transferred to Air
India Express. Air India has taken the delivery of 20 Boeing 787–8s as of
December 2015 and the remaining are expected to be delivered by 2016-
2017.Air India orders Boeing and Airbus in total of 26 aircrafts in 2017.
JET AIRWAYS
Jet Airways ordered 10 Boeing 787 Dreamliner aircraft on 29 December 2006 to
operate on long-haul routes. It placed a further order for 75 Boeing 737 MAX
aircraft on 23 April 2013 as part of modernization of its fleet of 737s.Now with
the new orders Jet Airways ordered 12 Airbus A330-300, 75 Boeing 737 MAX 8
and 10 Boeing 787-9 with deliveries starting in 2017-2018.
The following table provides the information of the future confirm orders of the
Airlines registered in India.
S.NO CUSTOMER COMPANY NO OF
AIRCRAFT
ORDER
COMMENCEMENT
1 SPICEJET BOEING 42 2017
2 INDIGO AIRBUS 427 2016
3 AIR INDIA BOEING
AIRBUS
9
17
2017
4 JET AIRWAYS BOEING
AIRBUS
85
12
2017
2018
5 TRUE JET ATR 2 MID 2016
6 AIR COSTA EMBRAER 55 2016-2019
7 GOAIR AIRBUS 72 2016
8 AIR ASIA INDIA AIRBUS 1 -
9 AIR VISTARA AIRBUS 11 2017-2018
CONCLUSION
With the growing Indian Aviation Market we see an increasing graph in demand
as well as in supply of Aircrafts. Therefore the facts mentioned in the report
suggest that Boeings serviceable aircrafts registered with all Indian Airlines is
174, Boeing being the initial company faces a huge impact of competition from
the Airbus whose serviceable aircrafts in India are 194.
Over here we see a clash of interest in the Indian Aviation Market, therefore
AIRBUS has managed to attract more and more customers in the Indian Aviation
Market. The major drawbacks faced by Boeing in boosting its market share in
India was the failure of the New Boeing-787 which led to cancel orders from the
largest airline in India that is Air India. Even the recession strike in the United
States of America led to a cancel of orders to Boeing from different airlines of
the world as well as India.
Airbus has evidently been successful in attracting the Indian customers,
therefore creating a huge competitive impact on the Boeing Company.
When we see the future order aspects in terms of aircraft orders we see that
Indigo Airlines has already placed a record-breaking order of 427 AIRBUS A320-
Neo this clearly states that the market growth rate in terms of sales for AIRBUS is
on a very high path.
Therefore Boeing needs to expand in Indian market with a strong reviving
strategy.
CONTENTS
Sr.No Topic
1 Introduction
2 Executive Summary
3 The Indian Aviation Market
4 The Company- Boeing
5 The Customers- Airlines In India
6 The Competitors- Airbus & Bombardier
7 The Customer & The Company Relation
8 Conclusion

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THE 3C REPORT GROUP 1

  • 1. THE 3C REPORT OF MBA AVIATION 2015 ANKIT KUMAR SUBMITTED TO DR ARVIND KUMAR JAIN MARKETING MANAGEMENT
  • 2. INTRODUCTION This Report depicts the 3C’s (Company, Competitor & Customer) of the Aircraft Manufacturing Company BOEING. In this Report we have highlighted the overview of the 3C’S i.e. THE COMPANY: An overview of the BOEING as a company and its productionaspects since its inception hasbeen explained. THE COMPETITOR: The primary competitorof BOEING, is the AIRBUS but here with we also have encountered that in India due to the high increasing rate of Low Cost Carriers the airlines also have started investing in BOMBARDIER, a turbo prop aircrafts owned by Spice jet, Air India, Jet airways, etc. In India aviationindustry in the present scenario this company is the emerging threat to BOEING, so the second company as a competitor to BOEING is the BOMBARDIER. THE CUSTOMER: In terms of customer over here what we see is the total number of aircrafts the company has deliveredworldwide fetching the customer interest over the worldwide arena. We have focused the market share world wide as well as in India aviationmarket
  • 3. THE COMPANY The Boeing Company is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, rockets and satellites. It also provides leasing and product support services. Boeing is among the largest global aircraft manufacturers. The Boeing Company's corporate headquarters are located in Chicago and the company is led by President and CEO Dennis Muhlenberg. In March 1910, William E. Boeing bought Heath's shipyard in Seattle on the Duwamish River, which later became his first airplane factory. Boeing was incorporated in Seattle by William Boeing, on July 15, 1916, as "Pacific Aero Products Co". Boeing was later incorporated in Delaware, the original Certificate of Incorporation was filed with the Secretary of State of Delaware on July 19, 1934 Boeing Commercial Airplanes, a business unit of The Boeing Company, is committed to being the leader in commercial aviation by offering airplanes and services that deliver superior design, efficiency and value to customers around the world. There are more than 10,000 Boeing commercial jetliners in service, flying passengers and freight more efficiently than competing models in the market. A record 5,500 Boeing airplanes are currently on order. Boeing Commercial Airplanes, headquartered in Seattle, Washington, employs more than 83,000 people worldwide.
  • 4. THE CUSTOMERS On the customer approach in this sector we focus the number of aircrafts sold to its airline operators in the entire world & therefore the following database provides the information about Airbus customers around the world with their order deliveries. BOEING Air India has been a Boeing Commercial Airplanes customer since 1960, when it acquired its first 707 jetliner. Indian Airlines inducted the 737 Classic in the 1970s; the Next-Generation 737 is the workhorse today with airlines such as Jet Airways, Air India Express and Spice jet and India’s largest express cargo operator Blue Dart uses the Boeing 757 Freighter. In 2006, Air India signed a contract for 68 Boeing jets. Since September 2012, Air India has been receiving its all-new, fuel-efficient 787 Dreamliner’s, which offer 20 percent more fuel savings than today’s similarly sized airplanes. The Dreamliner has helped Air India launch new routes to international destinations. Twenty-one 787s are now with Air India, serving to expand international routes and fuel-efficient operations. Jet Airways, a Boeing customer since the 1990s, operates 737s and 777s on its domestic and international routes. Additionally, the Indian Ministry of Defence operates four 737-200s and three 737 Boeing Business Jets. Boeing is committed to offering efficient commercial airplanes and services that deliver superior design and passenger comfort to meet emerging customer needs in India
  • 5. THE COMPETITOR The primary competitor of BOEING is the AIRBUS, initially Boeing was the dominant in the aviation market around the world since the inception of Airbus in 1974, Airbus becoming the upcoming brand in the airline industry developing aircrafts at the same sophistication the Boeing. Therefore Boeing’s biggest competitor Airbus at par has taken over a wide market share in terms of the Commercial Aircrafts. Airbus makes the freedom of flight possible, having evolved during the past 40 years. Airbus is the world’s leading manufacturer of commercial jetliners and military airlifters, with a 40-plus year track record of innovation, technological firsts and industry milestones. The A300 became the world’s first twin-engine wide body jet with its commercial service entry during 1974. It was followed in the early 1980s by Airbus’ shorter-fuselage A310 derivative, then later that decade by the company’s single-aisle A320 – which has developed into one of the most successful aircraft families in history with the A318, A319, A320 and A321. The 1990s saw Airbus introduce its long-range A330/A340 Family, and a new era of airline travel started in 2007 when the 600-plus-seat A380 began commercial operation. Responding to market requirements, Airbus launched its A350 XWB twin-engine jetliner in the 2000s. The highly efficient aircraft entered commercial service in 2015, bringing together the very latest in aerodynamics, design and advanced technologies. To maintain its competitive edge, Airbus continues to invest in improvements across its market-leading, modern product line – including development of the A320neo (new engine option) version, the A330neo variant and more. The company’s international production network also has been significantly expanded over the years, highlighted by its single-aisle final assembly line in Tianjin, China, along with the Airbus U.S. Manufacturing Facility for A320 Family jetliners – which commenced aircraft assembly operations in 2015.
  • 6. THE COMPETITOR The Indian aviation market, had changed over the years and Bombardier’s Q400 aircraft, CRJ and the new C-series aircraft had got tremendous potential in the region. Q400 can fly safely in tough terrains like mountains even on one engine and Pratt&Whitney 150 engine is the reason. Despite consensus that India needs to upgrade its Tier II and III airport infrastructure and that the Indian airline industry need to pressure the government to open up more markets that essentially look beyond the narrow body jets currently deployed Over the next 20 years, Bombardier forecasts over 4,740 deliveries in Asia-Pacific (including Greater China and India), with specifically 1,340 business jet deliveries in India. The demand, driven by economic growth, globalization and the increase in the number of billionaires in those markets, is expected to rise even further. With the industry’s most comprehensive product portfolio and a commitment to leadership in customer satisfaction, Bombardier continues to grow its leadership position in the business aviation industry. From light jets to large, ultra long- range aircraft, Bombardier offers a solution to all customers, whatever their requirements may be. Currently, about 275 Bombardier Dash 8/Q-Series turboprops, CRJ regional jets and CSeries airliners are in service with, or on firm order from, over 35 customers and operators in the Asia-Pacific region, excluding China. These aircraft are all optimized for the markets they are designed to serve, and Bombardier Commercial Aircraft’s regional sales and marketing team is positioned both in Singapore and Mumbai to provide industry-leading solutions to current and prospective customers. The long-term outlook for India and the Asia-Pacific region shows upward market trends will prevail. Bombardier’s Commercial Aircraft Market Forecast covering aircraft from 20 to 149 seats predicts that the Asia- Pacific region, excluding China, will represent approximately 16 per cent - or 2,020 units - of the global market from 2013 to 2032.
  • 7. Over the past 10 years, real GDP growth in India averaged almost 8%, making it one of the fastest growing economies within the G-20. This strong economic growth led to a rapid rise in the number of business aircraft operating in India. But within India, commercial aviation does an inadequate job of connecting second and third-tier cities, creating a great opportunity for business aviation to save time and increase business traveler’s productivity through point-to- point travel. Bombardier is planning to expand its services in the gaping market of the North East , Central India and North of Delhi. However, high fees, taxes and bureaucracy, are weighing down India’s business aviation growth potential in the near term. While executives and entrepreneurs increasingly see corporate aviation as a valuable business tool, India’s civil aviation ministry has yet to fully recognize the positive impact that business aviation can have on the Indian economy. A decade ago, flying was seen as something you did only if you had money. Now, the Indian government has realized the importance of connecting cities. In such a scenario, turboprop aircraft, particularly, will have an important role Bombardier has two customers in India- Air India which has four CRJ-700 aircraft and Spice Jet, which flies 15 Q400 NextGen turboprop aircraft.
  • 8. THE INDIAN AVIATION MARKET COMPETITON THE AVIATION CUSTOMER MARKET SHARE IN INDIA BOEING AIRBUS (COMPETITOR 1) BOMBARDIER (COMPETITOR 2)
  • 9. Executive Summary In this report we have discussed the present Indian aviation scenario of its high competitive market. The main focus is on the 3C’s i.e. The Company, The Competitor, and The Customer. The Indian aviation market has been on the inclination of boom since its inception since 1940s therefore Boeing being the initial customer to the Indian aviation market and dominated over a period of decade, its position was affected with the new competitor in the aviation market special in India i.e. Airbus. Therefore from 1940s up till mid 1990s there was a duopoly market that was dominated by Boeing and Airbus. As from the early 2000 the inception of low cost carrier in Indian market created a huge demand by the airlines in lieu of acquiring new aircrafts or leased aircrafts. By 2010 more of the aircrafts serviceable in Indian aviation market were either leased or pre used purchased. Therefore in terms of regional connectivity the LCC’s wanted cheap aircrafts with cost efficient operations and fuel efficient engines therefore this gave arise to new competitor i.e.; The Bombardier in the Indian aviation market. In short the inclusion of LCC in Indian aviation market created a huge pool of demand by the customers with limited options from the limited manufacturers. This report gives you a brief idea about the serviceable Indian registered aircrafts flying over the Indian airspace with an overwhelmed demand by the Indian aviation market. And specifically highlighting the Company, Competitor & Customer equibalance in the present aviation market in India.
  • 10. The Customer In India the first airline, which started its operations, is AIR INDIA on 29th July 1946. As the traffic started growing the new airline i.e. JET AIRWAYS came into existence on 5th May 1993. As the competition increases the new airline i.e. SPICE JET exists into the market as a Low Cost Carrier on 18th May 2005 to attract more and more passengers of middle as well as lower middle class. Spice Jet started with a good revenue earning which led the new LCC’s to come into existence like GO AIR which started their operations in Nov 2005 than INDIGO which started its operations on 8th April 2006 after that AIR COSTA commenced operations on 15th Oct 2013 than AIR ASIA started operations on 12th June 2014 after that AIR VISTARA started operations on 9th Jan 2015 than at last but not the least TRUE JET commenced its operations on 12th July 2015. This shows the rapid growth in Indian aviation market. The following table gives the information about the possible Customers in the Indian Aviation Market with their registration of India by the Directorate General of Civil Aviation according to Aircraft Act of 1934. Sr. No. Customer Operations Commenced Registration 1 AIR INDIA 29 July 1946 INDIA 2 JET AIRWAYS 5 May 1993 INDIA 3 SPICE JET 18 May 2005 INDIA 4 GO AIR Nov 2005 INDIA 5 INDIGO 8 April 2006 INDIA 6 AIR COSTA 15 Oct 2013 INDIA 7 AIR ASIA 12June 2014 INDIA 8 AIR VISTARA 9 Jan 2015 INDIA 9 TRUE JET 12 July 2015 INDIA
  • 11. THE CUSTOMER & THE COMPANY The following table shows the present customers that are using the aircrafts of the company’s like Boeing, Airbus & Bombardier. Over a period of time in Indian Aviation Market new players emerged with new aspects to earn revenue in the Indian Market, but each company predetermined its Company of Manufacturer from whom the wanted their aircraft delivery The following table shows the information about the airline companies in India with the fleet of aircrafts they own from the Different aircraft Manufacturing Company. S.NO CUSTOMER COMPANY NO OF AIRCRAFT (IN SERVICE) 1 SPICEJET BOEING BOMBARDIER Q400 20 14 2 INDIGO AIRBUS 107 3 AIR INDIA BOEING AIRBUS 68 41 4 JET AIRWAYS BOEING AIRBUS BOMBARDIER ATR 86 12 18 5 TRUE JET BOMBARDIER ATR 3 6 AIR COSTA EMBRAER 5 7 GOAIR AIRBUS 19 8 AIR ASIA INDIA AIRBUS 6 9 AIR VISTARA AIRBUS 9 TOTAL SERVICEABLE AIRBUS AIRCRAFTS: 194 TOTAL SERVICEABLE BOEING AIRCRAFTS: 174 TOTAL SERVICEABLE BOMBARDIER AIRCRAFTS: 35
  • 12. SPICEJET In March 2014, Spice jet signed a US$4.4 billion deal with Boeing for the procurement of 42 737-8 MAX Aircraft. In 2015, Spice Jet was in talks with both Boeing and Airbus for a possible order of more than 100 single aisle aircraft, either Airbus A320neo or the Boeing 737MAX. The Deliveries starting from 2017 for Boeing 737 MAX 8 in total of 42 aircrafts. INDIGO The Airbus A320neo family aircraft ordered in 2011 were to be delivered starting 2015.However, due to a delay in the production and delivery of these aircraft, Indigo dry-leased a total of 22 used aircraft to cope up with the demand. The first A320neo aircraft was delivered to Indigo on 11 March 2016. Indigo orders Airbus A320neo in total of 427 aircrafts. AIR INDIA On 11 January 2006, Air India announced an order for 68 jets – 8 Boeing 777- 200LR, 15 Boeing 777-300ER, 18 Boeing 737-800 and 27Boeing 787-8 Dreamliner’s. The eighteen Boeing 737s ordered were later transferred to Air India Express. Air India has taken the delivery of 20 Boeing 787–8s as of December 2015 and the remaining are expected to be delivered by 2016- 2017.Air India orders Boeing and Airbus in total of 26 aircrafts in 2017. JET AIRWAYS Jet Airways ordered 10 Boeing 787 Dreamliner aircraft on 29 December 2006 to operate on long-haul routes. It placed a further order for 75 Boeing 737 MAX aircraft on 23 April 2013 as part of modernization of its fleet of 737s.Now with the new orders Jet Airways ordered 12 Airbus A330-300, 75 Boeing 737 MAX 8 and 10 Boeing 787-9 with deliveries starting in 2017-2018.
  • 13. The following table provides the information of the future confirm orders of the Airlines registered in India. S.NO CUSTOMER COMPANY NO OF AIRCRAFT ORDER COMMENCEMENT 1 SPICEJET BOEING 42 2017 2 INDIGO AIRBUS 427 2016 3 AIR INDIA BOEING AIRBUS 9 17 2017 4 JET AIRWAYS BOEING AIRBUS 85 12 2017 2018 5 TRUE JET ATR 2 MID 2016 6 AIR COSTA EMBRAER 55 2016-2019 7 GOAIR AIRBUS 72 2016 8 AIR ASIA INDIA AIRBUS 1 - 9 AIR VISTARA AIRBUS 11 2017-2018
  • 14. CONCLUSION With the growing Indian Aviation Market we see an increasing graph in demand as well as in supply of Aircrafts. Therefore the facts mentioned in the report suggest that Boeings serviceable aircrafts registered with all Indian Airlines is 174, Boeing being the initial company faces a huge impact of competition from the Airbus whose serviceable aircrafts in India are 194. Over here we see a clash of interest in the Indian Aviation Market, therefore AIRBUS has managed to attract more and more customers in the Indian Aviation Market. The major drawbacks faced by Boeing in boosting its market share in India was the failure of the New Boeing-787 which led to cancel orders from the largest airline in India that is Air India. Even the recession strike in the United States of America led to a cancel of orders to Boeing from different airlines of the world as well as India. Airbus has evidently been successful in attracting the Indian customers, therefore creating a huge competitive impact on the Boeing Company. When we see the future order aspects in terms of aircraft orders we see that Indigo Airlines has already placed a record-breaking order of 427 AIRBUS A320- Neo this clearly states that the market growth rate in terms of sales for AIRBUS is on a very high path. Therefore Boeing needs to expand in Indian market with a strong reviving strategy.
  • 15. CONTENTS Sr.No Topic 1 Introduction 2 Executive Summary 3 The Indian Aviation Market 4 The Company- Boeing 5 The Customers- Airlines In India 6 The Competitors- Airbus & Bombardier 7 The Customer & The Company Relation 8 Conclusion