Airline industry
Mr. Mallya needs a reality check
Mr. Mallya has said in an interview, “…. there is a limit to how much we can take off our clothes?” I am sure he is implying that he cannot bear the losses that his airline is incurring. First, I don’t think we asked Vijay Mallya to buy another airline, announce purchase of planes worth billions, buy stake in a aircraft manufacturing company, a cricket team and F1 team. So I don’t think Vijay Mallya should be complaining about his clothes. On the other hand, I think he wants to keep his clothes on by taking our (customer’s) clothes off. He has entered into an illegal cartel arrangement with Jet Airways so that he can fleece the customers. He has also taken advantage of delayed payments to Oil companies and airport authority which is like taking off the clothes of the tax payers indirectly. Inspite of taking the advantage of delayed oil payments and reduced ATF prices, he is still not reducing prices and at the same time he is firing his employees slowly and steadily.
Vijay Mallya – King of Unaffordable Goodtimes
Within a week of Jet and Kingfisher airline illegal alliance and firing drama, Jet and Kingfisher airlines get government’s help in geting better credit terms for purchase of fuel, more time to pay for their current outstanding with respect to fuel outstanding and also in the ATF prices which will now be revised every fortnight. Now let us look at what is wrong with this picture.
Jet-Kingfisher fiasco: What they said?
During the recent Jet-Kingfisher drama involving the illegal alliance, sacking of 1900 employees and then hiring them back, big time industrialists and ministers made statements. These statements were illogical and contradictory. Since our media is afraid to point out the discrepancies because of their vested interest, I would like point out the inconsistencies as I don’t want them to think that we are stupid. Lets analyze what each of them said.
Is Praful Patel working for Jet and Kingfisher?
Actions of our aviation minister suggests that he is working for Jet and Kingfisher. Lets look at the evidence.
Vijay Mallya needs to learn from SpiceJet and Paramount?
Lets consider the actions two small airlines Paramount and SpiceJet to see if there are any moral, ethical and management lessons that Vijay Mallya can learn from them.
Kingfisher Jet alliance – Prima facie a cartel
Thank God, some of the media people have woken up and are calling the Kingfisher Jet alliance a cartel. ET has stated in its editorial that the alliance “may be” anti-consumer. Why may be? Prima Facie, it is. Any agreement, whatever the terms, between the two will be anti-competitive and anti-consumer. This is against the MRTP Act. Whenever, two major competitors sit down on a table to work together to save money, that is, make more profits, you don’t have to be a rocket scientist to figure out that it is going to be against the law and the consumer is going to get screwed (to put it mildly).
Jet and Kingfisher form a cartel but call it pathbreaking alliance
Jet and Kingfisher with a combined market share of nearly 60% have announced operational alliance to save costs. Their argument is that they are losing Rs. 20 crores everyday.
Think before you fly Singapore Airlines
I had earlier posted a blog about the way Singapore Airlines had treated my mother-in-law. I had mentioned in the blog the effort we had to make to find a wheel chair for my not-too-well Mother-in-law who was travelling to Australia. I had also mentioned how she was left alone by SA employee in a wheel chair at the Melbourne airport while my brother-in-law went to get the car.
Go Air is repositioning. Is it a good idea?
Go Air is changing its positioning from a no frills (low cost) airline to something in between a no frills and full service airline. I think even Jet Light is also taking this positioning. Now is this a good idea? The term that is being used by both is “value” carriers.
The case of the missing wheelchair
Yesterday, I went to leave my mother-in-law at the airport as she was going to visit her son in Australia. My mother-in-law is 72 and has not been keeping well. As such, we decided that she should travel by business class on Singapore Airlines (even though appox 25% more expensive) than Thai because we were told that they are the best in the business as far as service is concerned.






