AIRLINE INDUSTRY
PESTE Analysis



                    By:- Amit Sura
                     Anubhuti Anup
                  Arunabha Bagchi
                 Basuki Nath Dubey
                     Gaurav Talwar
                        Piyush Das
                        Ranabir Pal
Agenda
 Overview of the industry
 Overview of the company
 PESTE analysis
Overview of the industry
   Air transport services for travelling passengers
    and/or freight

   Large and growing industry

   Scheduled airlines carried 1.5 billion passengers
    last year

   In the past decade, air travel has grown by 7% per
    year

   Recognized with an air operating certificate or
    license issued by a governmental aviation body
Overview of the company
   Kingfisher Airlines began its operations on 9 May
    2005

   On December 19th, 2007 Air Deccan and
    Kingfisher Airlines decided to merge.

   Kingfisher Airlines is one of the only seven airlines
    awarded 5-star rating by Skytrax

   Kingfisher operates more than 375 daily flights to
    71 destinations, with regional and long-haul
    international services.
PESTE Analysis
      Political and Legal factor

             Industry                         Company
       Open sky policy             Tension with neighboring
                                           countries
       Terrorism fear                       Effect of 9/11
         Airport slot


   Factor        Direction                      Time          Level of
                              Probability                     impact
 Political              +ve        very       long term       very high
and                                high
   Legal
PESTE Analysis
     Economical factor
            Industry                              Company

Increase in demand as world            Contribution to the Indian
economy grows                          economy
Rising cost of fuel                    Investment in the
                                       sector of aviation
High operation costs due to low        Growth of the middle income
demand                                 group family affects the aviation
                                       sector
  Factor        Direction                         Time          Level of
                                 Probability                    impact
 Economic             slightly       high         short             high
                       -ve                        term
PESTE Analysis
    Social factor
             Industry                            Company

     Ageing population                  Employment opportunities

     Fashion in holidays                Varied income groups

     Changing family structure           Job market
        (western society)


 Factor       Direction                        Time        Level of
                           Probability                     impact
Social           +ve             high         long term    very high
PESTE Analysis
   Technological factor

             Industry                          Company

        Video conferencing        Satellite based navigation
                                  system
             Internet                   Online ticket booking
  Growth of e-commerce and
e-
          ticketing

    Factor        Direction                    Time            Level of
                              Probability                      impact
Technologic         -ve         high          long term        very high
al
PESTE Analysis
     Environmental factor

                Industry                     Company

           Climate change                 Tourism saturation

           Global warming                 Dependency on weather

      Carbon Dioxide emission



  Factor        Direction                  Time         Level of
                            Probability                 impact
Environment       -ve           high      long term      high
al
THANK YOU

Airline industry PESTE Analysis

  • 1.
    AIRLINE INDUSTRY PESTE Analysis By:- Amit Sura Anubhuti Anup Arunabha Bagchi Basuki Nath Dubey Gaurav Talwar Piyush Das Ranabir Pal
  • 2.
    Agenda  Overview ofthe industry  Overview of the company  PESTE analysis
  • 3.
    Overview of theindustry  Air transport services for travelling passengers and/or freight  Large and growing industry  Scheduled airlines carried 1.5 billion passengers last year  In the past decade, air travel has grown by 7% per year  Recognized with an air operating certificate or license issued by a governmental aviation body
  • 4.
    Overview of thecompany  Kingfisher Airlines began its operations on 9 May 2005  On December 19th, 2007 Air Deccan and Kingfisher Airlines decided to merge.  Kingfisher Airlines is one of the only seven airlines awarded 5-star rating by Skytrax  Kingfisher operates more than 375 daily flights to 71 destinations, with regional and long-haul international services.
  • 5.
    PESTE Analysis  Political and Legal factor Industry Company Open sky policy Tension with neighboring countries Terrorism fear Effect of 9/11 Airport slot Factor Direction Time Level of Probability impact Political +ve very long term very high and high Legal
  • 6.
    PESTE Analysis  Economical factor Industry Company Increase in demand as world Contribution to the Indian economy grows economy Rising cost of fuel Investment in the sector of aviation High operation costs due to low Growth of the middle income demand group family affects the aviation sector Factor Direction Time Level of Probability impact Economic slightly high short high -ve term
  • 7.
    PESTE Analysis  Social factor Industry Company Ageing population Employment opportunities Fashion in holidays Varied income groups Changing family structure Job market (western society) Factor Direction Time Level of Probability impact Social +ve high long term very high
  • 8.
    PESTE Analysis  Technological factor Industry Company Video conferencing Satellite based navigation system Internet Online ticket booking Growth of e-commerce and e- ticketing Factor Direction Time Level of Probability impact Technologic -ve high long term very high al
  • 9.
    PESTE Analysis  Environmental factor Industry Company Climate change Tourism saturation Global warming Dependency on weather Carbon Dioxide emission Factor Direction Time Level of Probability impact Environment -ve high long term high al
  • 10.