Air India expansion - rise of a new global carrier?

[SQ8]

Air India places order for 190 737 max and 30 787

Air India order could be as large as 500 jets

This is really interesting news because while the domestic market is definitely growing and warrants servicing. The existing airlines are still capable of providing that capacity. The massive fleet overhaul which seems to be focused on regional jets but includes the capability of tackling the important middle eastern destinations along with those in the far east and Europe seems interesting.

Just another example of why privatization is the way to go and TATA has established standards (even though JLR quality sucks) that would allow Air India to offer service better than most contemporary airlines. It may not end up in the top ten just yet but it has a chance of hugely improving its service if the same effort is applied to staff training.

That being said, this will definitely take some drain on IAF personnel numbers because as with any opportunity in airlines it is the trained pilots from the air force that like to get in first even though India now had a large number of aviation schools(also a good time to invest in those if one has funds)

 

[SoulSpokesman]

@SQ8

Oscar sb,

Aviation is a tough business and far too many airlines go down. Not sure that it is a great decision on part of the Tatas to (re)enter it. There is a need to replace the now defunct Jet Airways for sure. A bigger Tata aviation business (Vistara + Air India) may well make sense in the domestic sector. But not sure about its global prospects.

Regards

 

[Trango Towers]

Run it into the ground.
Sell it at a fraction with back handers.
Get new aircraft and revamp.

PIA next

 

[SQ8]

@SQ8

Oscar sb,

Aviation is a tough business and far too many airlines go down. Not sure that it is a great decision on part of the Tatas to (re)enter it. There is a need to replace the now defunct Jet Airways for sure. A bigger Tata aviation business (Vistara + Air India) may well make sense in the domestic sector. But not sure about its global prospects.

Regards

It all depends on service - there is enough of a market in India but also to serve Nepal, Bangladesh, far east and so on.

The key aspect is service - all leading airlines differentiated with that. Jets are just one aspect.

 

[Deltadart]

Placing a large order for the planes is one thing, and offering the world class service consistently , and dreaming of beating the top global carrier is nothing but a wet dream.

South Asian airlines lack the culture to excel in the cut throat international airline business.

 

[Imran Khan]

most important question is will AI stop losses ?

 

[K_Bin_W]

Placing a large order for the planes is one thing, and offering the world class service consistently , and dreaming of beating the top global carrier is nothing but a wet dream.

South Asian airlines lack the culture to excel in the cut throat airline business.

Correct, Not too long ago PIA was rated 2nd best, But now, It still is but from the bottom...

 

[JohnyD]

why the heck 737 max..

 

[Magnificent-Eight]

why the heck 737 max..

The 737-Max is still a reliable platform based on a time-tested 50 year old airframe. The problem with it occured due to built-in software designed to mimick the flight charecteristics of older models of the 737. Likely done to reduce crew training costs for prospective buyers and make it a more competitive choice for airlines. This issue has now been sorted out by Boeing which makes the newest iteration still one of the best choices in this category.

 

[Turingsage]

TATA's are no fools. They are capable of taking ANY other airline on, I have no doubts they will make a success of this baby which has FINALLY landed with where it ALWAYS belonged.
TATA have waited a generation to take back what was ALWAYS meant to be in the hands of TATA.
IF he floats this on the exchange I will certainly invest about $20k.

 

[Horse_Rider]

Air India places order for 190 737 max and 30 787

Air India order could be as large as 500 jets

This is really interesting news because while the domestic market is definitely growing and warrants servicing. The existing airlines are still capable of providing that capacity. The massive fleet overhaul which seems to be focused on regional jets but includes the capability of tackling the important middle eastern destinations along with those in the far east and Europe seems interesting.

Just another example of why privatization is the way to go and TATA has established standards (even though JLR quality sucks) that would allow Air India to offer service better than most contemporary airlines. It may not end up in the top ten just yet but it has a chance of hugely improving its service if the same effort is applied to staff training.

That being said, this will definitely take some drain on IAF personnel numbers because as with any opportunity in airlines it is the trained pilots from the air force that like to get in first even though India now had a large number of aviation schools(also a good time to invest in those if one has funds)

This is a logical step for Indian airlines. There is over 20 million Indians overseas that travel annually, some multiple times. There is a 1.2 billion potential consumer base inside India. Close to 50+ million Indians travel 3-4 times a year overseas per a survey I saw a few years ago (that number might've doubled). And there is a growing Western business population that is now linked to India through business, research and medical necessities. So all in all, there is a potential 1.5 billion customer Indian airlines could work with.

Why NOT make one of the largest global airlines when you have this kind of a customer base and preferential relationships with the West? It's inevitable!