Turbulence Ahead
profitability
India-specific
Set in India; the figures and context are India’s.What this case is about
Your client is SpiceJet, an airline facing a decline in profitability compared to Indigo in the domestic market. Profitability has been falling due to both revenue decreases and rising costs, with issues noted across niche routes supported by a newly purchased fleet. Analyze the problem and recommend solutions to improve profitability.
Objective
Identify the key drivers behind SpiceJet's profitability decline compared to Indigo and recommend actionable strategies to restore profitability.
Skills this case tests
Structuring the problem
Working the numbers
Judgement and recommendation