Why did you choose this organization/brand/categoryBrand: SpiceJet

The reason we have chosen SpicJet is that we want to highlight its turnaround story after the carrier
suffered financial crisis. The airline industry is hugely competitive in which contant price wars between
different carriers have kept the margins very low. Volatile cost of aviation fuel was also a huge problem
in the past. Airlines like kingfisher had to close operations after debt had surmounted to unfeasible
levels. Spicejet due to above external factors in addition to internal problems like lean operations,
inefficient routes and bad revenue management systems, had to cease operations in 2014. Planes were
returned, flights were cancelled for a long period and the company defaulted of fuel payments and
other liabilities. Its share price had fallen drastically and it was looking towards closure just like
kingfisher.
However after this near death experience , SpiceJet has since registered a turnaround. As of July 2017
the shares of SpiceJet are around Rs 125 and Bloomberg declared it as the worlds best aviation stock
with a 124% gain. It has increased its market capitalization by a staggering 11 Percent and has come the
third largest airline in India by number of passengers carried.
The choice to pick SpiceJet hence was made to analyze the staggering rebound the company went
through. The mammoth level of such resurgence has no precedent in the Indian aviation industry and
hence its analysis can yield some useful insights about how to strategize in the time of difficult financial
for the company.
What do you hope to learn from studying this organization/ brand category?
I think you can write on this in a better way jitesh