Mumbai:ata Sons and Singapore Airlines' business plan to launch a full service airline in the country, which was submitted to Foreign Investment Promotion Board for approval last month, might need to review its strategy and model, says a Centre for Asia Pacific Aviation (CAPA) report released on Tuesday.
The report said the Indian domestic market was a low fare market with very little price differentiation between full service carriers and low cost airlines.
Pointing to the fare wars that were bleeding the full service airlines as they competed with budget carriers despite a higher unit cost of at least 50 per cent, the CAPA report said: "Domestic industry viability cannot be restored until full service carriers restructure."
Read news in Full 01/10/13 Manisha Singhal/Business Today
Sunday, 6 October 2013
Tata-Singapore Airlines might need to review business model: CAPA
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