Monday, April 29, 2013

What made Tata group return to aviation?


A good partner and untapped potential in the low-cost sector made the Tata group re-enter the aviation space, although the industry remains tough, and the competition cut-throat, according to a company official.
"If you look at the low-cost carrier space, it is huge and it has not been adequately tapped. So, the opportunity is there," Tata group brand custodian and spokesperson Mukund Rajan said, when asked what made the group change its stand on re-entering the sector.
There are many people from many cities wanting to travel but are not receiving the services, and that offers immense potential, he said.
The Tata group, which pioneered civil aviation in India, is making a comeback to the sector with Malaysian low-cost carrier AirAsia and Telestra Tradeplace of Arun Bhatia in a 49:30:21 joint venture AirAsia India, a no-frills airline.
29/04/13 PTI/NDTV.com