PPRuNe Forums - View Single Post - Indigo orders 180 A320 Largest Jet order in History of Aviation
Old 18th Jan 2011, 06:06
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Leemankin
 
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Think About It!!

I believe that INDIGO is planning to dominate the LCC sector of the INDIAN Aviation market, the growth potential is there, so why not be the first one to dominate the market with HUGE ASSETS (180 planes) thereby increasing capacity. Though KIngfisher has done this, try to dominate the Indian skies in M&A (Kingfisher & Deccan), the expansion was not as successful as they plan it to be. INDIGO's plan to dominate the skies is tried and tested by AirASIA which now flies more and more airplanes all over Asia dominating LCC sector in the South East Asia, and still is growing it's capacity. So, Indigo in esense is just copying the model of AirASIA. However, increasing capacity doesn't mean increasing margin/profit. Also LCC in India can be dominated by one carrier (say INDIGO), but I also believe they have plans to tap Regional as well as International sectors. With this in mind, I just hope they have the MUSCLE to compete with MAJOR CARRIERS in the REGION, coz fishing in the pond is very much different from fishing in the ocean (I just hope their nets wouldn't break when they catch a whale)...just my 10cents worth..

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