Suppliers Power
– Fuel prices are ever increasing affecting the cost so the supplier power is high.
– The Asian airline industry is very optimistic about the growth potential of the Asian aviation industry so is placing huge aircraft orders thereby increasing the bargaining power of the suppliers again
– The civil aircraft industry is monopolized by two major aircrafts manufacturers
– Large capital required so the leasing companies come into picture.
– Highly specialized and professional employees are required to maintain the status of five star carrier services.
– The recent crisis in the overall airline industry has to some extend lead to a reduction in the prices of the aircrafts.