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How Airbus managed to crack The Competitive Indian Market? BACKGROUND: In the 2000s, Airbus faced a huge challenge breaking into the Indian aviation market. At that time, Indian aviation was dominated by Boeing. All major Indian airlines had a strong preference for Boeing’s aircraft because of their reliability and deep-rooted presence in the region. Airbus, which was comparatively new, struggled to gain a reputation in India. There were many reasons for this, such as: 1) Delays in the delivery of aircraft 2) Problems with maintenance services 3) Comparatively lower fuel efficiency 2008 CRISES: The 2008 financial crisis made the situation worse for Airbus, as airlines faced financial strain, leading to canceled orders for new aircraft. During this period, Boeing gained tremendous respect due to the introduction of the highly fuel-efficient 787 Dreamliner. TURNING POINT: Airbus addressed all the major and minor issues with their planes. They did this by establishing Maintenance, Repair, and Overhaul (MRO) facilities in India, collaborating with Tata and Mahindra for MRO services and training along with the set up of the Airbus Training Centre in India. This was followed by the introduction of the A320neo (the most common plane in India today). This plane was very fuel-efficient and had a lower operating cost. WIN for Both Airbus and the Indian Cricket Team in 2011: After solving all issues with their planes, Airbus was waiting for a grand entry into the Indian market, which came with Indigo's record-breaking deal. So In 2011, Indigo ordered 150 A320neo aircraft together which was the biggest aircraft deal of that time. According to some reports, Airbus also offered up to a 50% discount to Indigo. Huge discount was one of the reasons for Indigo’s success as well. This massive deal improved other airlines' confidence in Airbus, making it a win-win deal for both Indigo and Airbus. FALL OF BOEING: As Airbus began to fly high, the grounding of the Boeing 737 MAX following two tragic crashes in 2018 and 2019 created a major crisis for the company. Along with other increasing issues in Boeing planes, airlines worldwide began moving to Airbus, reducing Boeing's market share. Today, Boeing's market share has reduced to 25%, with Airbus leading the Indian market. Do you think Boeing can make a comeback?