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Introduction Background of the project

Rational for taking the project
Objective of the study
Scope of the study
Methodology
Expected outcome
Project Schedule

Introduction Background of the project

Headquartered in Gurgaon, Spicejet is a Indian low cost airline, 4th largest in country
by number of passengers carried. Established as air taxi provider ModiLuft in 1994, the
company was acquired by Indian entrepreneur Ajay Singh in 2004 and re-christened as
SpiceJet. Now the airline operates 306 flights to 41 destinations (35- Domestic, 6International). It is successful in operating as low cost airplane in India and overcame
fluctuations in the market share by making some structural changes.
Rationale:
Airline industry has very strict entry and exit barriers. Once Spice jet

SpiceJet was co-created by Mr. Ajay Singh in 2005. It had 800 crores in the bank
back then. Ajay Singh walked away from the company in 2010. In 2015, Ajay was back as a
promoter when SpiceJet was in deep losses and a cash of less than 5 crores in bank.

2013-14 was traumatic for SpiceJet as its market share fell to around 10% in December
2014 and it made loss of Rs 1003 crore.