GENERAL MANAGEMENT PROJECT REPORT

ON

AN ANALYTICAL STUDY ON MERGERS AND ACQUISTIONS

BETWEEN TATA GROUP AND AIR INDIA

Submitted in partial fulfillment for the award of the degree of

Master of Management Studies (MMS)

(under University of Mumbai)

Submitted By

PRAJWAL PUNDALIK SURYAJI

(Roll No.83)

Under The Guidance of

Prof. KETAN RABHADIA

Batch - 2020-22

Vishnu Waman Charitable Trust

VIVA INSTITUTE OF MANAGEMENT AND RESEARCH

(Affiliated to the University of Mumbai & Approved by AICTE & DTE)

 CERTIFICATE

This is to certify that the project titled “An Analytical Study on mergers and acquisitions between
tata group and air india” is successfully completed by Mr. Prajwal Pundalik Suryaji during the IV
Semester, in partial fulfillment of the Master's Degree in Management Studies recognized by the
University of Mumbai for the academic year 2021-2022. This project work is original and not
submitted earlier for the award of any degree / diploma or associateship of any other University /
Institution.

Date: (Signature of Director)

Dr. Hiresh Luhar
Director
VIVA Institute of Management &Research
 Guide’s Certificate

This is to certify that the Dissertation entitled “An Analytical Study on mergers and acquisitions
between tata group and air india” is a bonafide record of independent research work done by Mr.
Prajwal Pundalik Suryaji (Roll. No. 83 ) under my supervision during Academic year 2021-2022,
submitted to the University of Mumbai in partial fulfillment for the award of the Degree of MASTER
OF MANAGEMENT STUDIES IN FINANCE.

Date:- Prof. KETAN RABHADIA

Signature of Guide
 DECLARATION

I hereby declare that this project Report submitted by me to the “An Analytical
Study on mergers and acquisitions between tata group and air india” is a bonafide work undertaken
by me and it is not submitted to any other University or Institution for the award of any degree diploma
/ certificate or published any time before.

Prajwal Pundalik Suryaji

Roll No:-83 Signature of the student

 EVALUATION OF DISSERTATION
Name:- PRAJWAL PUNDALIK SURYAJI

Roll Number:- 83

Code of the Project:- General Management

Title of the Dissertation:- An Analytical Study on mergers and acquisitions between tata group and
air india

Project Report Max Marks Marks

Allotted

Choice of Project 05

Definition of objectives of the study, scope of the study 10

Methodology including literature review, primary data and secondary data search, 10
questionnaire design

Fieldwork 10

Analysis of the data, report writing, language 10

Recommendations, suggestions, bibliography 10

Applicability of the study 05

Total (A) 60

Viva Voce Exam

Ability to discuss the key challenge taken up, objective and scope of the study 10

Ability to discuss the report, methodology and literature 10

Ability to discuss data analysis, interpretation of results and recommendations 15

Overall communication and language 05

Total (B) 40

Total (A + B) 100

Name and Address of the Evaluators

Signature of the Evaluator with Date

Signature of the Head of the Institution with Seal

 ACKNOWLEDGEMENT

Firstly, I would like to thank, VIVA Institute of Management & Research for giving me such
great opportunity to gain some knowledge and to do my research project during the period.

It is my proud privilege to release the feelings of my gratitude to several people who helped me
directly or indirectly to conduct this research project work. It would not have been possible
without their kind support and help. I would like to extend my sincere thanks ti all of them.

I also take this opportunity to express a deep sense of gratitude to Director Dr. Hiresh Luhar,
for his cordial support, valuable information and guidance, which helped me in completing this
task through various stages.

I am extremely thankful to my guide Prof. Ketan Rabhadia for his coordination and
cooperation and for giving necessary advices, kind guidance and encouragement.

I would like to express my gratitude towards my parents for their kind cooperation and
encouragement which helped me in the completion of this project.

My thanks and appreciations also go to my classmates and friends in developing the project and
to the people who have willingly help me out with their abilities. I will be always indebted to
them.

Date:- Signature of the Student

Prajwal Pundalik Suryaji

 TABLE OF CONTENT

Sr. NO TITLE PAGE NO

1 INTRODUCTION 1

2 LITERATURE REVIEW 9

3 PROCESS DESCRIPTION 13

4 PROJECT PROFILE 17

5 FINDINGS 40

6 CONLUSION 41

7 BIBLIOGRAPHY 43

8 APPENDIX 44
 LIST OF TABLES

Table No TITLE OF TABLES Page No

1 AGE 24

2 GENDER 25

3 OCCUPATION 26

4 THE TYPE OF FOOD PREFERRED BY CONSUMERS 27

5 THE TYPE OF FAST FOOD PREFERRED BY CONSUMERS 28

6 BRANDS 29

7 USING VARIETIES OF AIRLINES 30

8 USING OTHER PRODUCTS OF TATA 31

9 THE CONSUMERS PERCEPTION TOWARDS TATA PRODUCTS 32

10 FACTORS AFFECTING SELECTION OF READY TO FLY 33

11 CONSUMERS BUY TICKETS 34

12 AIR INDIA AS COMFORTABLE PRODUCT 35

13 FACTORS INFLUENCING CONSUMERS TO PURCHASE TICKET 36

14 PERIOD OF CONSUMPTION 37

15 CONSUMERS VIEW REGARDING PRICE 38

16 LEVEL OF SATISFACTION 39
 LIST OF FIGURES

Figure No TITLE OF FIGURES Page No

1 AGE 24

2 GENDER 25

3 OCCUPATION 26

4 THE TYPE OF FOOD PREFERRED BY CONSUMERS 27

5 THE TYPE OF FAST FOOD PREFERRED BY CONSUMERS 28

6 BRANDS 29

7 USING VARIETIES OF AIRLINES 30

8 USING OTHER PRODUCTS OF TATA 31

9 THE CONSUMERS PERCEPTION TOWARDS TATA PRODUCTS 32

10 FACTORS AFFECTING SELECTION OF READY TO EAT FOODS 33

11 CONSUMERS BUY TICKETS 34

12 AIR INDIA AS COMFORTABLE PRODUCT 35

13 FACTORS INFLUENCING CONSUMERS TO PURCHASE 36

TICKETS
14 PERIOD OF CONSUMPTION 37

15 CONSUMERS VIEW REGARDING PRICE 38

16 LEVEL OF SATISFACTION 39
 INTRODUCTION

Indian Airlines was a division of Air India Limited. It was based in Delhi and focused primarily on domestic
routes, along with several international services to neighbouring countries in Asia. It was a division of Air
India Limited after merger of eight pre-Independence domestic airlines.
On 10 December 2005, the airline was rebranded as Indian for advertising purposes as a part of a program to
revamp its image in preparation for an initial public offering (IPO).[2] The airline operated closely with Air
India, India's national overseas carrier. Alliance Air was a fully owned subsidiary of Indian. [3]
In 2007, the Government of India announced that Indian Airlines would be merged into Air India Limited as
its wholly owned subsidiary . As part of the merger process, a new company called the National Aviation
Company of India Limited (now called Air India Limited) was established, into which both Air India (along
with Air India Express) and Indian (along with Alliance Air) would be merged. Once the merger was
completed, the airline – called Air India – would continue to be headquartered in Mumbai and would have a
fleet of over 130 aircraft. The merger was completed on 26 February 2011. [4]

INDUSTRY PROFILE

The term ‘aviation’ is most commonly used to describe mechanical air transportation, which is carried out
using an aircraft. The two main types of aircraft are aeroplanes and helicopters, but most modern definitions
of the word ‘aviation’ extend beyond this to include the use of unmanned aircraft, such as drones.With this in
mind, the aviation industry can be described as all industry that surrounds these activities.The terms ‘aviation
industry’ and ‘airline industry’ are sometimes thought of as being interchangeable, but they do actually
describe different things. An airline is a business offering air transportation services for people or cargo, with
the airline industry being the collective term used to describe these companies.However, the airline
industry forms just one part of the wider aviation industry. In addition to airlines, the aviation industry also
includes aircraft manufacturers, researchers, air safety specialists, businesses involved with military aviation
and, increasingly, companies that design, produce and/or make use of drones.

Why is the Aviation Industry Important?

The importance of the modern aviation industry is difficult to overstate, but one of the main reasons for this
importance is the globalised nature of the industry, helping to connect different continents, countries and
cultures. As a result, global aviation has been key in facilitating efficient travel to distant places, enriching
many lives in the process.

10
 Key Players in Indian AIRLINES

1 Indian Airlines List in 2022

o Indigo
o SpiceJet
o Air India
o Air Asia India
o GoAir
o Vistara
o Air India Express
o Trujet
o Star Air
o Alliance Air
o Air Deccan

11
 COMPANY PROFILE

HISTORY

Air India, formerly Air-India, was established in 1932 by the legendary industrialist and philanthropist JRD.
Tata, who was also India’s first licensed pilot. His fascination quickly turned into a plan to form India’s first
commercial airline.

The first scheduled service was inaugurated in the same year, flying mail on some routes for then-Imperial
Airways.

Twitter/@TataCompanies

However, operations grew quickly, with the airline adding more destinations across India for mail, and then
beginning to carry passengers. By the end of the first year, the carrier had flown 10.7 tons of mail and 155
passengers using the de Havilland Puss Moth, as per Simple Flying.

In 1938, the airline was renamed Tata Airlines and expanded internationally for the first time. The carrier
added Colombo, Sri Lanka (then Ceylon) to its route map in addition to the dozen or so destinations in India.

During the Second World War, Tata Airlines’ planes were all commandeered for military use. JRD Tata
offered to build de Havilland Mosquitos to support the war effort and eventually made gliders instead. By
1942, he was looking to the post-war future of the airline and expanding into the west.

12
After India’s independence, the government took a 49% stake in the carrier, which had been renamed Air
India. Air India made its maiden long-haul flight from Mumbai to London Heathrow in 1948, a long-awaited
step for JRD Tata.

Wikipedia

However, just five years later, the government nationalized Air India (and several other carriers) and took it
out of Tata’s control. Despite initially being angered by the move, JRD Tata returned to lead the airline as its
chairman soon after.

1960: Introduction of Boeing aircraft

In 1960, with the introduction of the first Boeing 707-420 aircraft, Air India started using jets, and two years
later, in June 1962, it became the world’s first all-jet airline.

Post nationalisation: The rises and rise of Air India

For the next few decades, Air India became a household name and began to make its mark as one of the finest
airlines in the world. It may have been small compared with other global competitors, but it had the kind of
service that other airlines talked about with admiration and envy

13
SCOPE OF THE STUDY

The term consumer behaviour refers to the behaviour that consumers display in searching for
purchasing, using, evaluating and disposing of products and services that they expect, will
satisfy their need.

Consumers are highly complex individuals subject to a variety of psychological and

sociological needs apart from their survival needs.

Needs and priorities of different consumer segments differ drastically. In this competitive
era, a large number of noodles brands are available to consumers and the study examines
how they prefer to buy from the quantum.

14
 LITERATURE REVIEW

This chapter presents the review of literature to identify and understand the implications of
different issues related to consumer perception and satisfaction towards public and private
life insurances companies in India. The review of this literature gives an idea to concentrate
on the unexplored area and to make the present study more distinct from other studies. It is
important for a researcher to review the related literature in order to have a clear knowledge
about the topic and understand the research gap in order to draw the scope for the study. The
literature available is presented below:-

Dr.Mustiary Begum (2016) paper has highlighted issues related to Maggi and how
consumers changed their perception regarding Maggi after post ban. Researchers have taken
93 respondents and have done analysis with the help of simple analytical tool like graph and
tabular form. The study shows those consumers are ready to buy Maggi after it re-launch in
the market provided that they include healthy ingredient.

Shabista Booshan (2016) paper has highlighted impact of Maggi noodle on the
psyche of the Indian consumers. The conclusion is based on the data collected
immediately after 5 months of Maggi re-launch. According to researcher 75% of the
population were ready to accept Maggi after its comeback.

Ayushi Jain (2016), the author has taken comparative study of Maggi and Patanjali atta
noodles. The said paper has highlighted growth of Patanjali noodle due to Maggi ban.
Research shows that consumer has accepted Maggi whole heartedly after its ban and also
stated that Patanjali is most favored due to its price.

15
Dr. Ramesh Sardar (July 2015), the study is based on comparative analysis of Maggi at
international market and Indian market. Study is based on secondary data which
highlighted the preferences of Maggi at international market as compare to Indian market.

Dr.GOMATHI.D (Jan 2016) The said study has taken overview of the status of Maggi
before and after ban in the market. Paper has highlighted scenario of Maggi in general.
However the specific period and the preferences of consumer is out of the scope of this
study.

Neha Garg(July 2015) Author has taken secondary source for the said study. Research paper
examine the root cause of the Maggi row. However the paper is based on secondary data
hence consumer preferences are out of the scope of the study. Consumer behavior is the main
criteria to study the impact of Maggi in India after its ban.

Sengupta, S. (2005) In 1982 when Nestle considered launching Maggi Instant Noodles, the
company had several alternative positions of launching as Chinese dishes at home or as a TV
dinner or as a mini meal. Through consumer research the company felt that the most
profitable position would be "tasty, instant snack made at home" and the target market was
the in-home segment of the very substantial snack category.

Ghosh, A. (2010) Nestlé‟s Maggi Noodles is a market leader in the Indian noodle market.
Maggi's brand value was Rs.370 crores vis-a-vis Rs.170 crores in 2003. It is competing with
Top Ramaen, Sunfeast Pasta and a few private labels such s Tasty treat. Maggi has become
the favourite snack with children of all ages. After 25 years it is now popular with many
adults who have been grown up eating Maggi during childhood.

16
Balaji Sathya Narayanan, B. (2012) How “Maggi” could succeed? Simple it is
communication positioned the brand clearly. Positioning - “2 minutes Noodles” i.e., it can be
prepared in just 2 minutes and as a good, evening-snack for the children, which contains
proteins and calcium. As time went on, its positioning changed as “Taste Bhi Health Bhi” to
convince the growing health conscious moms who wants to avoid junk foods to be offered to
their kids.

Muntwiler, M., & Shelton, R. M. (2000) In June 1999, the Salvation Army Agricultural
Development Program conducted a baseline nutrition survey to study the protein intake of 73
families in six areas Eastern Highlands Province, PNG. This study was part of a project
aimed at increasing the intake of dietary protein in the targeted population of about 5000
families. The results indicated that most people eat a meal only twice a day; people eat
Maggi as a snack for evening meal.

Rajani Kambhoj (2012) The case examines a detailed account of Nestle's promotion and
advertising strategies for creating a noodles market from scratch. This case looks at the
various phases in the product life cycle of Maggi noodles in India. It talks about the various
measures taken by NIL to keep the Maggi brand fresh in the minds of the Indian consumers
and reposition Maggi as a „Health product‟.

THE WALLSTREET JOURNALS, “Nestle Recalls Maggi Noodles in India amid Food
Scare”, PREETIKA RANA, (JUNE 5, 2015)

“India, the world‟s largest democracy, can be a challenge for high-profile global brands.
In 2003, Coca-Cola Co.‟s quarterly sales in India fell 11% after activist groups alleged that
some of its soft drinks contained high levels of pesticides and insecticides. The company
denied the allegations and responded with its own aggressive marketing campaign. The
noodle recall in India comes at a tough time for Nestlé. In 2014, the Vevey, Switzerland-
based company recorded its slowest sales growth in five years as it wrestled with changing

17
consumer tastes in Europe and slower growth in China, its second largest market Like other
food companies, the maker of Nescafé instant coffee and KitKat chocolate bars has been
looking to developing economies like India for growth as demand softens in more-
established markets. In developed economies, sales of packaged food have been hit by low
consumer confidence as well as a shift toward fresh foods and other supposedly healthier
alternatives. In the U.S., for example, consumers increasingly shun processed foods”

The packed food industries considering Indian market and other developing country‟s market
as a safe market, because the consumption rate showing increases every year. The trend in
developed countries are changing the people starting shun processed foods.

18
19
AIR INDIA PRODUCT PROFILE

Type : Aviation

Industry : Aviation

Founded : 1960

Founder(s) : JRD TATA

Headquarters : Newdelhi

Key people : jrd tata

Maggi noodles is a brand of instant noodles manufactured by Nestle. The brand is popular in
Australia, India, South Africa, Brazil, New Zealand, Brunei, Malaysia, Singapore, Sri Lanka,
Bangladesh, Pakistan, Fiji and the Philippines. In several countries, it is also known as
"maggi mee" (mee is Indonesian/Malay/Hokkien for noodles).

Maggi noodles are part of the Maggi family, a Nestlé brand of instant soups, stocks, and
noodles. In Malaysia, there are fried noodles made from maggi noodles known as Maggi
goreng. Maggi noodles recently introduced a new variety of its noodles, to cater for the
20
health conscious like 'No MSG', 'Less Salt', and 'No Trans fat'. A wholewheat flour based
noodle variation marketed by the name "Vegetable Atta Noodles" has been introduced in
India.

21
 Following are Range of Airindia

VALUABLE CARGO (VAL) :The security measures to be adopted within warehouses, during aircraft
loading and unloading, and during customs clearance and ground transportation, depend entirely on local
regulations & conditions, and should be arranged accordingly. All valuable cargo is handled as a separate
category, distinct from regular air cargo. Special service and protection is also provided by carrier and by its
designated officials.

• FRAGILE The cargo acceptance and handling personnel ensure and verify that fragile cargo has been
packed in a manner before loading into a ULD or on an aircraft enabling smooth handling ensuring safety of
cargo. Every fragile package must be affixed with fragile label as specified. Whilst loading into ULD it is
ensured that such cargo is not over stowed by the oversized or heavy cargo

• COLD STORAGE (TCR) Temperature sensitive health care products are accepted and handled in
accordance with Temperature control regulations (TCR) and other applicable regulations. Cargo which needs
to be kept at low temperatures or highly perishable goods will only be accepted to provide minimum amount
of storage time, prior to shipment. The types of cargo that would need Cold Storage are listed below: a) Fresh
fruits and vegetables b) Cut flowers and orchids c) Meat d) Vaccine e) Some chemicals and drugs; and f) Such
other perishable cargo for which requests are made.

• OUTSIZED (BIG) - OVERHANG ITEMS - Heavy Cargo (HEA) An item loaded on two or more pallets or
which, due to its size or weight, requires special handling/equipment for loading and unloading is considered
to be BIG - Overhang item. The code BIG is applicable only to loads on pallets and Floating pallets (pallets
that occupy more than one pallet position) are to be treated as BIG. We posses expertise in logistics to Carry
heavy & odd sized Cargo as we operate Wide body Aircrafts in Domestic as well as International legs

. • PERISHABLES (PER/PEF/PEM etc.) Perishable cargo are goods which will deteriorate over a given
period of time or if exposed to adverse temperature, humidity or other environmental conditions. Hence
utmost care is taken while accepting perishable cargo for carriage by air. The acceptance is as per IATA PCR
acceptance check list (TCR), or equivalent, is utilized for acceptance of live animal shipments. Additionally
the acceptance and handling of PER shall be ensured to be in accordance with the current IATA Perishable
Cargo Regulations (PCR), the carrier requirement, other applicable regulations and requirements of applicable

22
regulatory authorities such as Govt. of origin, transit and destination etc. If shippers have specific temperature
or ground handling requirements, we check and confirm that we are able to comply with the request. •
Flowers (PEF):- Flowers are usually wrapped in protective paper and then packed in cardboard boxes or
wicker baskets & arrangements are in place for smooth handling.

• Meat (PEM) :- Meat is enclosed in waterproof material and handled as Wet Cargo. Stricthygiene conditions
is maintained during all stages of handling meat.
• Hatching Eggs (HEG):- Eggs are properly packed in strong fibre board or wooden boxes with honeycombed
separation trays to allow stacking of parcels on top of each other & arrangements are in place for smooth
handling.

• Fresh Fish (PES) Fresh fish is completely enclosed in waterproof containers and handled as Wet Cargo. The
temperature shall not exceed as per procedure.. The outside container must be wooden, Styrofoam or
corrugated fibre board box. A waterproof polyethylene film shall cover the inside of the box. When ice cubes
are used for cooling purposes, they shall be packed in waterproof polyethylene bags, sealed with an elastic
band.

• LIVE HUMAN ORGANS (LHO) and VACCINES/MEDICAL SUPPLIES

• LHO, Blood and lifesaving drugs/vaccines are treated and handled with extreme care and urgency, as it
involves saving a human life.. • Short life radioactive isotopes are handled with extreme urgency and in
accordance with acceptance and handling of the RAM as stipulated in the current IATA DGR.

• DIPLOMATIC CARGO (DIP) The carriage of Diplomatic Mail is normally on behalf of the Government of
India and handled by the Ministry of External Affairs in India and the Indian Embassy, the Consulate or
Legation in other countries. However, Diplomatic Mail is carried on behalf of other Governments and in all
cases, is given the highest priority. • WET CARGO Shipments containing liquids, or shipments, which by
their nature may produce liquids, and which are not subject to the IATA Dangerous Goods Regulations, shall
be designated as “Wet Cargo”. To prevent spillage or leakage, special requirements are adhered to.

23
 PROJECT PROFILE
CONSUMER BEHAVIOUR

DEFINITION :

Professor walter C.G and professor paul G.W it is “ the process where by individual decide
whether , what , when , where , how and from whom to purchase goods and services.

Consumer orientation stems from the company‟s adoption and implementation of the marketing
concept – a philosophy of every business unit which has triple implications namely :

1. The victory of any business unit rests on consumers who are willing to accept and play
for the product or services.
2. The firm must be aware of what the market want well in advance of production and
3. Consumer wants must be monitored continuously for assured success over competitors.

The consumer are the arbiters of fortune in business in highly competitive Economics system ,
the success , survival and growth of firm warrants accurate knowledge about – the consumer is
the crucial task of every marketing manager.

STEPS IN CONSUMER BUYING PROCESS

The following are the five steps generally followed by the consumer while buying a product .

1. Need recognition :
Need recognition is the awareness of the want or a desire or a consumption
problem without whose satisfaction the consumer feels restless and tension – charged.

24
2. Information search :
Consumer interested is indicated in the consumer‟s willingness to speak further
information about the product or service. Since there are varieties of product and he seeks
to have maximum satisfaction, he searches relevant information.

3. Evaluation and Intension :

The evaluation stage is the stage of mental trial of the produce or a service.

4. Purchase Decision :
Decision to purchase implies consumer commitment for a produce or a service.
Practically, it is the last stage in the buying process because , it completes the exchange
process.

5. Post Purchasing Reaction :

The post purchase experience may be a set of positive or negative feeling.
Positive feeling or satisfaction will result is repeat sales or at least recommending the
product or services to others: on the other hand, dissatisfaction or negative feeling
creating anxiety and doubts.

25
Research Methodology

To collect the information, marketing research is taken into consideration. Marketing research
has been defined as “The Systematic gathering and services from producer to the consumer”.

The project is a systematic presentation consisting of the enunciated problem, formulated

hypothesis, collected facts of data, analyzed facts and proposed conclusions in form of
recommendations. The data has been collected from both the sources primary and secondary
sources.

Data Sources :

There are two sources of collection data:

1) Primary sources
2) Secondary source
In the survey being conducted both primary and a secondary source of data has been in collection
of relevant information.

Data Collection

Primary Data:

Primary data was collected through survey method by distributing questionnaires. The
questionnaires were carefully designed by taking into account the parameters of study.

Primary data is the data collected by the researcher themselves, i.e.

 Interview
 Observation

26
  Action Research
 Case Studies
 Life Histories
 Questionnaires
 Ethnographic Research

Secondary Data:

It is the data which has been collected by individual or someone else for the purpose of other
than those of our particular research study. Or in other words we can say that secondary data is
the data used previously for the analysis and the results are undertaken for the next process.

Secondary sources are data that already exists

 Previous Research
 Official Statistics
 Mass Media Products
 Diaries
 Letters
 Government Reports
 Web Information
 Historical Data and Information

SAMPLING TECHNIQUE:

Snowball sampling method is used to collect the data. It is the part of non-probability sampling
techniques. This method is commonly used in social sciences when investigating hard-to-reach
groups. Existing subjects are asked to nominate further subjects known to them, so the sample
increases in size like a rolling snowball.

27
SAMPLE DESIGN

The target population of the study consists of various respondents of various places. This survey
was done by collecting the data from the respondents.

SAMPLE SIZE

After due consultation with the company supervisor as well as with the college guide, also
keeping in mind the requirements of the company for the research, the sample size that was
found to be appropriate for the study was 100.

STATISTICAL TOOL

Simple percentage analysis is the main statistical tool used for the study.
Simple percentage analysis:
Percentage refers to a special king of ratio in making comparison between two or more data and
to describe relationships. Percentage can also be used to compare the relation terms between two
or more sources of data.
Percentage of respondents = Number of respondents / Total respondents

28
 OBJECTIVES OF THE STUDY

1) To know consumer’s behaviour towards Tata acquistions over air india

2) To find out level of satisfaction of the consumer towards Airindia
3) To know the consumers perception regarding the price of tickets
4) To understand the perception of the people about Airlines

LIMITATION

LIMITATIONS OF THE RESEARCH

Air India has been sold to Tata Sons for ₹ 18,000 crore as the conglomerate outbid the consortium led by
SpiceJet's chief Ajay Singh as the winning bidder for the debt-laden state-run airline by ₹ 2,900 crore. Air
India's total debt stands at over ₹ 60,000 crore and the government loses nearly 20 crore every day. Tata Sons
will pay 2,700 crore in cash to the government and take over the remaining debt of 15,300 crore. After the
deal, the government will take on debt worth 46,262 crore and non-core assets including land and building
worth 14,718. All of it will be transferred to the government's holding company AIAHL. There will be no
retrenchment in the first year and Air India employees will be given a voluntary retirement scheme or VRS in
the second year. Gratuity and Provident Funds benefits will be provided to all employees. After five years,
Tata Sons can transfer the brand but only to an Indianperson so that the brand - Air India - remains Indian in
perpetuity.

29
DATA ANALYSIS & INTERPRETATION

Data collection

Data is collected from various customers through personal interaction. Specific questionnaires
are prepared for collecting data. Data is collected with mere interaction and formal discussion
with different respondents and face to face contact with the persons from whom the
information is to be obtained (known as informants). Researcher asks them questions pertaining
to the survey and collects the desired information. Researcher contacts the consumers of
airindia to obtain some of the information. The information obtained is first hand and original in
character.

The data was collected through a structured questionnaire. Questionnaires distributed among
people in Mumbai and received back 100 responses.

30
DATA ANALYSIS AND INTERPRETATION

Demographic Characteristics

 AGE

AGE GROUP FREQUENCY

LESS THAN 18 52

19 TO 28 30

29 TO 35 12

36 AND ABOVE 6

TABLE 1

AGE
60
52
50

40

30
30
AGE

20
12
10 6

0
LESS THAN 18 19 TO 28 29 TO 35 36 AND ABOVE

FIGURE 1

The above figure defines the age group of respondents. This shows that the less than 18
and 19 TO 28 age group comprises the highest percentage of the respondent of the study.

31
 GENDER

GENDER FREQUENCY

MALE 55

FEMALE 45

TABLE 2

GENDER
60
55

50
45

40

30
GENDER

20

10

0
MALE FEMALE

FIGURE 2

The above figure defines the gender of respondents. This shows that the male candidate
comprises the highest percentage of the respondent of the study.

32
 OCCUPATION

OCCUPATION FREQUENCY

PRIVATE JOB 29

GOVERNMENT JOB 12

ENTREPRENEUR 4

STUDENT 55

TABLE 3

OCCUPATION
60
55

50

40

29
30
OCCUPATION

20
12
10
4

0
PRIVATE JOB GOVERNMENT JOB ENTREPRENEUR STUDENT

FIGURE 3

The above figure defines the occupation of respondents. This shows that students and
private job respondents comprises the highest percentage of the respondent of the study.

33
1. THE TYPE OF FOOD PREFERRED BY CONSUMERS WHILE TRAVELLING

TYPES FREQUENCY

Fast food 31

Homemade food 42

Packed food 15

Ready-made food 12

TABLE 4

From the above table, it is clear that 31 of consumers preferred “fast food” , 42 of
consumers preferred “homemade food”, 15 of consumers preferred “packed food”, 12 of
consumers preferred “ready-made food”.

PREFERENCE

12
31
15
Fast food
Homemade food
Packed food
Ready-made food
42

FIGURE 4

34
2. THE TYPE OF FAST FOOD PREFERRED BY CONSUMERS IN AIRLINES

TYPES FREQUENCY

In fast food center 35

Homemade fast food 65

TABLE 5

From the above table it is clear that 35 of consumer preferred towards in fast food centers
65 of consumers preferred towards homemade fast food.

PREFERENCE

35
In fast food center

Homemade fast food

65

FIGURE 5

35
3. THE DIFFERENT BRANDS OF AIRLINES PREFERRED BY CONSUMERS

BRANDS FREQUENCY
AIRINDIA 70

INDIGO 5

ETHIAD 1

SPICEJET 7

GOAIR 11

EMIRATES 5

AIRASIA 1

TABLE 6

From the above table, it is clear that 70% of market occupied by AIRINDIA, 11% of
marketoccupied by Goair, 7% and 5% of market occupied spice and Indigo and all
other brands share 7% market cap.

BRANDS
5 1
11
Airind
ia
7 Emirates
70
1 Indigo

5 spicejet

Ethiad

Vistara

Airasia

FIGURE 6

36
4. CONSUMERS USING DIFFERENT VARIETIES OF AIRLINES

VARIETIES FREQUENCY
Vistara 64
Goair 27
Spicejet 6
Airasia 1
Emirates 1
Indigo 1
TABLE 7

37
5. THE CONSUMERS USING OTHER PRODUCTS OF AIRINDIA

YES 93

NO 7

TABLE 8

From the above table it is clear that , 93 of respondents using other products of Nestle , only
7 of respondents are not using other products of Nestle.

USING OTHER PRODUCTS OF TATA

7
YES

NO

93

FIGURE 8

38
6. THE CONSUMERS PERCEPTION TOWARDS AIRINDIA

Good for health 9

Ready to go 46

Food Quality 16

Easy booking 29

TABLE 9

From the above table ,it is clear that

9 of consumers perception about maggi products are Good for health,
46 of consumers perception about maggi products are Ready to eat,
16 of consumers perception about maggi products are Junk food tasty,
29 of consumers perception about maggi products are easy to book

46
50
45

40

35 29
30
25
16
20

15 9
10
5

0
Good for health Ready to eat Junk food tasty Fun eating

FIGURE 9

39
7. FACTORS AFFECTING THE SELECTION OF READY BOOK

OPINION FREQUENCY
By watching advertisements 45

Recommendations from friends and 19

relatives
By checking product quality 36

TABLE 10

Above table reveals that 45 of respondents buying these instant cook products by
watching advertisement while 36 buying it by checking quality of the product. The rest
19 buying it as per the recommendations of their friends and relatives.

FACTORS AFFECTING THE SELECTION OF

Booking Tickets

By watching advertisements

36
Recommendations from
45 friends and relatives
By checking product review

19

FIGURE 10

40
8. HOW FREQUENTLY CONSUMERS BUY TICKETS

OPINION FREQUENCY
Daily 6
Rarely 14
Once a week 38
Once a month 42
TABLE 11

CONSUMERS BUY TICKET

45
42
40
38
35
30
25
20
15 14

10
6
5
0
Daily Rarely Once a week Once a month

FIGURE 11

41
9. THE CONSUMERS PERCEPTION TOWARDS AIR INDIA

YES 52

NO 48

TABLE 12

From the above table it is clear that,

52 consumers opinion that Maggi noodles is healthy product and
48 consumers opinion that Maggi noodles is not healthy product.

AIR INDIA AS A VALUABLE PRODUCT

48 YES
52
NO

FIGURE 12

42
10. THE FACTORS INFLUENCING CONSUMERS TO BUY TICKETS

FACTORS FREQUENCY
Moderate price 18
Availability 7

Easy to book 63
Brand image 12

TABLE 13

From the above table, it is clear that

18 of respondents influenced by Moderate price,
7 of respondents influenced by Availability,
63 of respondents influenced by Easy to cook,
12 of respondents influenced by Brand image.

FACTORS INFLUENCING CONSUMERS TO

PURCHASE
12 TICKETS
18
7
Moderate price
Easy to book

Availability
Brand image

63

FIGURE 13

43
11. THE PERIOD OF CONSUMPTION OF FOOD

PERIOD FREQUENCY
When you hungry 28
Evening as snacks 58
Break fast 14
Dinner 0
TABLE 14

From the above table, it is clear that

28 of respondents takes as when they Hungry,
58 of respondents takes as evening as Snacks,
14 of respondents take as Breakfast,
So there is no one takes as Dinner.

PERIOD OF CONSUMPTION
0

14
28

When you hungry

Evening as snacks
Break fast

58 Dinner

FIGURE 14

44
12. THE CONSUMERS VIEW REGARDING PRICE

PRICE FREQUENCY
Very high 2
High 9
Reasonable 78
Low 11
TABLE 15

From the above table it is clear that,

2 of respondents feel Very high,
9 of respondents feel High,
78 of respondents feel Reasonable,
11 of respondents feel Low.

CONSUMERS VIEW REGARDING PRICE

78
80
70
60
50
40
30
20 9 11
2
10
0
Very high High Reasonable Low

FIGURE 15

45
13. THE CONSUMERS LEVEL OF SATISFACTION TOWARDS AIR
INDIA

LEVEL OF SATISFACTION FREQUENCY

Excellent 46
Good 34
Satisfied 14
Not satisfied 6
TABLE 16

From the above table it is clear that,

46 of respondents says that Excellent,
34 of respondents says that Good,
14 of respondents says that satisfied,
6 are not satisfied towards maggi noodles.

LEVEL OF SATISFACTION
6

14 Excellent

Good
46
Satisfied

Not satisfied

34

FIGURE 1

46
47
 CONCLUSION

A marketing strategy helps a company to achieve business goals and objectives. the company has proven to be
a major contender amongst most of the other airlines of India. However, even though the company seeks to be
India’s major ambassador to the rest of the world, it is bound to face a lot of competition, considering the vast
amount of competition in a country as big as India itself. Let’s check out how Air India markets itself.
The brand utilizes undifferentiated techniques because of which it is missing out on business sectors share in a
business of this sort. To make an unmistakable picture in the brain of clients, it utilizes a mascot for making a
brand picture of neighborliness and rich legacy, along these lines it utilizes. Value-based situating strategies
are also heavily implemented by Air India. Several factors, along with governmental aid have also assisted
Air India with arising as the biggest worldwide Carrier out of India.

Elements like age, sex, and psychographics/distinctive demographics assume a significant part in gathering
the populace based on comparable qualities in the business of this company, in particular. Air India utilizes a
blend of socioeconomics, psychographics, and geographic division systems.
The brand uses an undifferentiated target strategy due to which it is losing out market share in the competitive
market. It uses a mascot to create a distinctive image in the mind of the consumers. The positioning strategy
designs the company’s image and product to occupy a significant place in the consumer’s mind. It uses a
Value-based positioning strategy for creating a brand image of hospitality and a rich strategy.

Brand equity is the value premium generated from a product when compared to the generic equivalent. It
operates one of the youngest fleets in the world and regular upgrades ensure that they provide a superior flight
experience to its customers.
1. It is a full member of the Star Alliance Network
2. Won Reader’s Digest Trusted Brand Gold Award
3. Received IATA Safety Audit for Ground Operations (ISAGO) recognition for ground services
4. Won Emerging Freighter Services of the Year Award at Air Cargo India Exhibition and Conference
5. Won PATWA International award at ITB, Berlin, as Best Asian Airline from Europe to India
6. Won Galileo Express TravelWorld Award, for Best Short-haul International Airline from India
The marketing strategy of Air India is quite adequate, but the panorama of the market is gigantic. Many
competitors have arisen since the launch of the company. Let’s dig deeper into it.

48
 BIBLIOGRAPHY

 BOOK
Marketing management - Philip Kotler

 WEBSITES
http://www.airindia.com/
https://en.wikipedia.org/wiki/Ma
 iwww.ndigoin

49
 APPENDICES
QUESTIONNAIRE

Declaration: It is purely for academic purposes and the data given will not be passed to
anyone. Please tick (√) out for appropriate option.

1. Name:-

2. Age (in years):-

a) LESS THAN 18
b) 19 TO 28
c) 29 TO 35
d) 36 AND ABOVE

3. Gender:-
a) Male
b) Female

4. Occupation:-
a) PRIVATE JOB
b) GOVERNMENT JOB
c) ENTREPRENEUR
d) STUDENT

5. The type of food preferred by consumers

a) Fast food
b) Homemade food

50
 c) Packed food
d) Ready-made food

6. The type of fast food preferred by consumers

a) In fast food center
b) Homemade fast food

7. The different brands of noodles preferred by consumers in Airplanes

a) Maggi
b) Knorr Soupy Noodles
c) Foodles
d) Ching's Secret
e) Yippee
f) Wai Wai
g) Tasty Treat

8. Consumers using different Airlines

a) Indigo
b) AirAsia
c) Vistara
d) Goair
e) Emirates
f) Spicejet

9. The consumers using other products of AirIndia

a) YES

51
 b) NO

10. The consumers perception towards food of air india

a) Good for health
b) Ready to eat
c) Junk food tasty
d) Fun eating

11. Factors affecting the selection of ready to eat foods

a) By watching advertisements
b) Recommendations from friends and relatives
c) By checking product quality

12. How frequently consumers travel

a) Daily
b) Rarely
c) Once a week
d) Once a month

13. The consumers perception towards comfort

a) YES
b) NO

52
14. The factors influencing consumers to purchase tickets
a) Moderate price
b) Availability
c) Easy to cook
d) Brand image

15. The period of food consumption

a) When you hungry
b) Evening as snacks
c) Break fast
d) Dinner

16. The consumer view regarding price

a) Very high
b) High
c) Reasonable
d) Low

17. The consumer level of satisfaction towards Air India

a) Excellent
b) Good
c) Satisfied
d) Not satisfied

53