3. HISTORY
FOUNDED 15 OCTOBER 1932; 90 Years
ago(as TATA Airlines)
Founder J.R.D . TATA
Parent company Air India Limited ( Tata group)
Head quarters Airlines House , Delhi
Key people N.Chandrasekaran ( chairman)
campbell Wilson(CEO &MD)
Revenue Rs.26,430.50 crores
Profit Rs. -8,556.36 crores
Total assets Rs.52,352.18 crores
4. JOURNEY MAP
■ Air India Net profit rises to Rs 333(1992)
■ Air India is the oldest , most staffed international fleet. The
aircraft is 14 years old . The total number of staff per air craft is
750(2000)
■ Air India ends fiscal year with a loss of Rs . 448crore (2008)
■ Accumulated loss Rs. 7000 crores , Working capital loan Rs
.16000 crores, total debt Rs. 79000 crore (2010)
5. CASE ON AIR INDIA
■ According to government sources , Air India has a debt of
about Rs. 58,000 crores at this time , and it can be said
that Air India is running at huge loss . According to an
estimate , Air India is incurring a loss of 20-25 crores per
day. Therefore the loss of Air India in amonth is about 750
crores
9. STRENGTHS
■ AIR INDIA has been the largest carrier.
■ Updated fleet and competent repairs and maintenance
expertise.
■ Advanced information technology systems .
■ It has a good reputation in both international and domestic
markets .
■ Old age good will.
■ Has a good financial backing up from the government.
10. weakness
■ Huge employee turnover of around 31,000 , aircraft
employee ratio of 210 is highest in the industry.
■ NACIL is not price competitive according to industry
standards.
■ The lack of clarity on the strategic direction largely dilutes
its capabilities and confuses its brand within markets .
■ Low profitabaility and utilization of capacity.
■ The airline’s high –cost structure & the compulsions of being
a public sector unit are the reasons & it had been making
11. Opportunity
■ India airline industry is growing faster and will continue
to grow as the GDP increases.
■ World wide deregulations make the skies more accessible
; the route agreement is easier to be achieved .
■ The number of foreign vistors and investors to india is
increasing rapidly .
■ Complementary industry like tourism will increase
demand for air line service .
12. Threats
■ AIR INDIA faces imminent aggressive competition from
world leading airlines and price was triggered by
domestic players .
■ The Indian Railways Ministry has dramatically improved
speed & services in their medium / long distant routes ,
attracting passengers away from air service , with prices
almost at par with the low cost carriers.