Airline Industry Review

Airline business insights

IAE Wins China Eastern order 50

International Aero Engines has won the campaign to power the 50 Airbus A320 family aircraft that China Eastern Airlines has on order. China Eastern at present operates an A320 fleet powered by a mix of IAE V2500 and CFMI CFM56 engines. The new order is a boost for IAE which has suffered an uncertainity over…
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Link: COMAC forecasts a demand of 4,700 new aircraft for China in next 20 yrs

China’s state owned aircraft manufacturer, COMAC has forecast a demand of 4,700 new aircraft in China for the next 20 yrs. The company expects that it will be able to claim up to 30% of this market. Read more at CAAC news ( in Chinese ).

The Secret to Happy Customers

Keeping your customers happy is hard to do. This is even harder in an industry like ours. Customers blame the airlines for delayed flights, cancelled flights, packed up flights or even when you put them up at a hotel on your expense. But from the customer’s perspective, this is really fair.  You made a promise…
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Tulipomania

Originally posted by 37Signals in their Philosophy/ Manifesto. Worth taking a lesson for the airline industry. In the late 1500s, tulips were introduced to Holland. The flower was considered so rare that wealthy aristocrats and merchants tripped over themselves to buy them. Speculation ensued and the flower became wildly overvalued. In 1637 the tulip trade…
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Air France – KLM orders both A350 and 787

Air France and KLM today announced their plan to purchase both Airbus A350 and Boeing 787 aircraft for its future fleet expansion and renewal. The deal, approved yesterday by Air France KLM Board of Directors, is yet to be finalized by the manufacturers. The order will consist of 50 firm orders and 60 options. KLM…
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How to Save Air India

To an outsider, it may seem as if the once proud Indian national carrier – Air India – is on the brink of bankruptcy. And there now is a real issue about the airline’s future. Will Air India go bankrupt? What made it to fall to this situation? And how could it be saved from this…
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Do airlines dislike Russian planes?

No, they don’t. They dislike failure. A flight is a high-risk mission that has no room for epic failure. Russian planes that work will sell like hot cakes. The past legacy is what is still driving slow sales for the Superjet and the MS-21. An airline often relies on the experience of other airlines to…
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The U.S’ role in Air India’s 2005 Boeing order

Criticism of loss-making Air India’s large Boeing order in 2005 came to light this week with a report by the Indian Auditor General. And now Aviation Week is reporting about a U.S Diplomatic cable leaked by Wikileaks that reveals some new information about the U.S government’s role in the order. Well worth a read. Personally, in…
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How to motivate your employees

Motivating their employees is an issue that many airlines face. It has now become common to see walk-outs by staff at many airlines. Among all of this, there are also airlines whose staff are totally dedicated to making their airlines a success. What is the secret that those airlines have learnt that others haven’t? Better pay?…
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SriLankan Airlines Network-wide Changes from Winter 2011/2

SriLankan Airlines has loaded a number of changes to its medium haul network from Winter 2011 season onwards. The following changes have been confirmed by the airline. All changes are with effect from the week of 23 December 2011. Chennai Flights to be increased from 15 to 27 weekly. UL125 CMB 0030 – 0150 MAA…
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