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Introduction
The success of an organization depends on management’s capacity to recognize and respond to potential factors that might impact performance. The routine has helped the management at Air Deccan spot chances for increased profits. By conducting an extensive internal and external assessment of its operations, addressing the controllable variables, and revising its strategies, India’s low-cost airline Air Deccan can succeed in the market. According to a SWOT analysis of Air Deccan, the company should make the most of its expanding customer base, review its flight schedules, and use debt financing to buy more airplanes to succeed in the aviation sector.
SWOT Analysis
Strengths
The primary advantage of Air Deccan over competing businesses in the air travel industry is its price leadership. Since it began operating in May 2003, Air Deccan has provided affordable flight prices to middle-class tourists. For instance, the company charges Rs490, 10% less than the going rate for an economy flight from Mumbai to Delhi (Chandrasekhar & Sridharan, 2007). Additionally, Air Deccan offers price reductions so that customers can reserve seats for comparatively fewer money weeks before the official schedule is published (Chandrasekhar & Sridharan, 2007). The company’s primary source of competitive advantage, which allows it to draw in a wider customer base, is its pricing strategy.
Weaknesses
Internal problems that Air Deccan has to keep it from performing at its best. The company’s management is the central area of vulnerability because it struggles with deciding what actions to take to maintain its position in the market. For instance, Captain Gorur, the CEO of Air Deccan, wants to lease more aircraft and lower prices for customers, but he is unsure if these plans will be profitable (Chandrasekhar & Sridharan, 2007). Additionally, the CEO has not yet decided what steps the establishment should take to capitalize on its core competency. The inability of the administration to make such important decisions could limit Air Deccan’s ability to operate at its full potential…
