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T HE INDI AN A Viation INDUSTRY

:Presented ByAkash Aggarwal

Abishek

Faraz Shahid Shivam Rawat

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H istorical R eview

1920: Beginning of the aviation sectorin India.

1929: JRD Tata, recipient of the ICAO

Edward Warner Award in 1986,launches the first private airline inIndia

1948: Air India International Limited,formed as joint venture with theGovernment of India holding 49%equity.

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N ATIONALIZATION O F AIRLINES

1953: Parliament enacts the AirCorporation Act, 1953 creatingtwo independent airlines;

Air India International Ltd theinternational carrier.

Indian Airlines Ltd a largely domesticcarrier;

Private airlines not allowed to function inthe domestic sector.

Registered foreign international airlinespermitted to enter India.

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I DIA L BERALIZES H RE ONOMY 1991: Liberalization of the

aviation sector.

The Air Corporation Act, 1953repealed paving the way for theopening up of the domestic sectorand the disinvestment of the twopublic sector airlines.

New privately owned domesticairlines start functioning.

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THE MAJORPLAYERS

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AIR INDIA

S ta te o w n e dd o m e stic A irlin e

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INDIANAIRLINES

,A irlin e s Lim ite d o n 7 D e ce m b e r,2 0 0 5 th e a irlin e w a s re b ra n d e d

a s Indianor

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INDIAN

AIRLINES In February 2007, the Government

of India approved plans to merge

Indian Airlines with Air India. Indian Airlines carries a total of over

7.5 million passengers annually.

Indian Airlines is presently fullyowned by the Government ofIndia and has total staff strengthof around 18562 employees

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INDIAN AIRLINESNETWORK

http://en.wikipedia.org/wiki/Image:KingfisherAirlinesLogo.gif

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KINGFISHER AIRLINES

ervices started in May 05

http://en.wikipedia.org/wiki/Image:KingfisherAirlinesLogo.gifhttp://en.wikipedia.org/wiki/Image:KingfisherAirlinesLogo.gif

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KINGFISHER AIRLINES

nitially operates only onomestic routes .

http://en.wikipedia.org/wiki/Image:KingfisherAirlinesLogo.gifhttp://en.wikipedia.org/wiki/Image:KingfisherAirlinesLogo.gif

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KINGFISHER AIRLINES

wned by United Beverages Groupnder the leadership of Vijay

http://en.wikipedia.org/wiki/Image:KingfisherAirlinesLogo.gifhttp://en.wikipedia.org/wiki/Image:KingfisherAirlinesLogo.gif

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KINGFISHER AIRLINES

,arring such an amendment first internationallights planned to start in 2010

http://en.wikipedia.org/wiki/Image:KingfisherAirlinesLogo.gif

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:OLIGOPOLY RULE THE INDIANAViation INDUSTRY

There is Restriction on the Entry due to

the Heavy Traffic on the Limitednumber Airports in India.

11 international 94 civil and

47 civil enclaves at defence airfields.

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ONLY A FEW PLAYERS

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INTERDEPENDENCE OFFIRMS

In India Aviation Firms areInterdependent a- -Airports areshared.

-Flights were clubbed inRecession.

-Have to compete with other

modes of Transport. -

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CARTEL IN INDIAN AVIATION

The code-sharing agreementbetween Jet Airways and Kingfisher,the countrys largest private

carriersThe Competition Commission of

India, has begun an investigation

into the agreement to check ifthere is a possible cartel- likebehaviour.

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