'Survival will be a challenge for low-cost airlines' Wednesday, September 21 2005 16:03 Hrs (IST) - World Time -
Bangalore:
US-based management guru, Dr Kevin Freiberg today (Sept 21, 2005) cautioned that the new entrants into the low-cost airline carrier market segment in India could hope to survive the stiff competition in the aviation industry only if they consistently delivered 'value' to their target customers and reviewed the services offered periodically.
Speaking at the 'Leadership Summit' here, the author of the bestseller 'Nuts-The Secret of the South-West Airlines' said that despite the boom in low-cost airline carriers in India, the biggest challenge before all of them would lie in ensuring that they survived competition.
"These carriers needed to ensure that they over and over again redefined the 'value' they were offering their target customers. These airlines needed to constantly update themselves on the pulse of their target customers and ensure that the airlines was service oriented to cater to their specific needs", he said.
The airlines that could execute the promised value services alone could be assured of a long staying power, Kevin who has traced the success of the low-cost airline carrier, The South-West Airline in his book 'Nuts,' said.
Tracing out the factors that created a dent in the aviation business in US, he said, the management-union conflict had taken a heavy toll. However, it was the September 11 attack that inflicted a strong blow on the aviation industry back home.
The South-West Airlines policy of resolving the management-union deadlock contributed in a major way in ensuring that it was still flying high.