MSc Management: Business Research on Jet Airways Collision

This report presents a business research plan focused on the collapse of Jet Airways, an Indian international airline. It begins with an introduction outlining the background, aims, objectives, and rationale for the study. The literature review evaluates the reasons behind the airline's failure, including financial losses, competition from low-cost carriers, rising fuel prices, and mismanagement. It examines the challenges faced by the Indian airline industry due to Jet Airways' collapse, such as increased airfares and potential tax adjustments. The research methodology, accessibility, ethical considerations, significance, deliverables, and schedule are then detailed, along with a Gantt chart for project management. The report concludes with an evaluation of the findings and a list of references, offering a comprehensive analysis of the factors contributing to Jet Airways' downfall and potential strategies to prevent similar incidents in the future.

BUSINESS RESEARCH PLAN

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
Background..................................................................................................................................1
Aim and Objectives......................................................................................................................1
Rationale......................................................................................................................................2
LITERATURE REVIEW................................................................................................................2
Evaluating the reason behind the collision of Jet Airways..........................................................2
Challenges faced by the Indian airlines due to collision of Jet airways......................................4
Measures that have prevented the collision of Jet Airways.........................................................4
Research Methodology....................................................................................................................5
Accessibility.................................................................................................................................8
Ethical Consideration...................................................................................................................8
Significance..................................................................................................................................9
Deliverable ..................................................................................................................................9
Schedule.......................................................................................................................................9
Gantt Chart.................................................................................................................................10
EVALUATION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Background
Jet Airways was established on 1st April in 1992 and has commenced its operations on 5th
May 1993. This company is headquartered in Mumbai, Maharashtra. Jet Airways is an Indian
international airline that is based in Mumbai, India. It is grounded Indian airways on 17th of April
2019. It has temporarily suspended all the operations of the flight. Jet airways company was in a
huge debt was running in losses which in turn influences the performance of the business. The
shares of the Jet airways fall down to 20% which in turn results in shutdown of the Jet airways
company. This study will focus critically evaluating the main cause of the collision of Indian
company Jet airways and also determine the measures to prevent such collision. This study helps
in examining the challenges faced by the Indian airlines due to collision of Jet airways. This
study will find effective recommendation strategies which an airways company should adhere to
prevent such collision.
Aim and Objectives
Aim: “To critically evaluate the main cause of the collision of Indian company Jet airways and
also determine the measures to prevent such collision. A study on Jet airways.”
Research Objectives
 To critically examine the factors which led to collapse of Jet airways company.
 To examine the challenges faced by the Indian airlines due to collision of Jet airways.
 To determine the measures to prevent such Jet airways collision.
 To evaluate effective recommendation strategies which an airways company should
adhere to prevent such collision.
Research question
 What are the factors which led to collapse of Jet airways company?
 What are the challenges faced by the Indian airlines due to collision of Jet airways?
 What are the measures to prevent such Jet airways collision?
 What are effective recommendation strategies which an airways company should adhere
to prevent such collision?
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Rationale
The researcher of the study will carry out the particular research study because of the
academic interest which helps in gaining wide knowledge on the particular subject matter. This
study also helps in determining the current issue which helps in attaining various aspects of the
particular research study. The researcher of the study will helps in determining the various
challenges faced by the Indian airlines due to collision of Jet airways. This study also helps in
determining cause of the collision of Indian company Jet airways and also determine the
measures to prevent such collision because this is the current issue. The researcher of the study
will focus on critically examining the viewpoints of various themes which in turn helps in
attaining various variables and elements of the study.
LITERATURE REVIEW
Evaluating the reason behind the collision of Jet Airways
Todorov and et.al., (2018) sought to analyse the fact that, Jet Airways is an Indian
international airline that is based in Mumbai, India. On April 17, 2019 company suspended all
the flight operation, with last revenues from flight operated through Jet Konnect Boeing 737 that
was arriving to Mumbai on April 17, 2019. Since quarter three of 2010, company was biggest
passenger commercial airline company in India with 22.6% passengers market share. Lowering
the ticket fares in competition to Indigo and Spice Jet in following years hit the overall
performance of the company resulting in heavy financial losses.
Company was shut down after operating for 26 years in the industry after lenders refused to
provide emergency funding. Action was forced as company has string of the missed service
payments by airline and the disagreements whether it would revive under management of equity
owner of 51% share Naresh Goyal and its founder.
Jet Airways missed payments of aircraft leasing entities, that led to grounding in March
of around 2/3 of 121 strong fleet. Company reported loss of around $ 86 million on revenues of
$911 million in quarter three of December 2018.
As per the Schofield, (2019) main culprits behind current turmoil of airline is the
sensitive price market , various low costs carriers like Spice jet and Indigo making inroads, rising
fuel prices. Company also faced steep state and central tax on the turbine fuel of aviation and the
unfavourable exchange rates for rupee. Rupee was the worst performer in Asia last year , weak
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rupee led the airline company to pay high for the imported fuels and as company is having
international operations it found expenditures denominated by the dollar more challenging.
Todorov and et.al., (2018) sought to analyse the fact that, Airline industry like Jet
Airways is best for investors in Indian civil market of aviations is most attractive in world. In
India low cost markets are most attractive for the investors and consumers. The civil aviation
industry of India grew nearly 17% is ready for overtaking the aviation market of UK by 2024 as
per the report of Indian Brand Equity. Cost base of the airline industry are high in aviation
industry due to the heavy taxes on the turbine fuels that varies around 5% to 30% across the
states.
Taxes would raise the cost base but even than the companies are facing high competition
as the tax rates are same for all the companies as stated by Chava, (2018). Rapid growth in
Indian market of the low cost airlines affected the company. It diversified from the full services
model of business to low cost service models for business by purchasing in 2007, Air Sahara. It
was renamed as Jet Lite for 213 million US dollars. It further introduced after two year low cost
service know as Jet Konnect. The company leases large part making vulnerable for the airline
company to ground the aircraft when the payments have not been on time. The main reason
behind grounding of the aircraft of company were non payment leasing fees and as a result
aircraft were taken by leasing companies.
In the view point of Sethi Dhir and Agarwal, (2015) Jet Airways struggled to face
increasing number of competition which has led to collision of Indian jet airways. An increase in
higher oil prices and volatile currency are one of the major factor which has led to collision of Jet
Airways Company. Things have got worse from the year 2018 to the year 2019 which has led Jet
Airways to start grounding the play planes because of its an ability to pay back to aircraft leasing
companies. Sethi, Dhir and Agarwal, (2015) sought to analyse the fact that, Rise in the number
of competitors like Spice Jet and Indigo has burst into the scene which has led to cutting down of
cost and driving down the ticket prices which leads to low profitability for the Jet Airways. The
company closed jet airways because it has reported a debt of Rs. 8000 Crore which in turn
largely affects the operations of the business.
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Challenges faced by the Indian airlines due to collision of Jet airways.
In the view point of Sethi Dhir and Agarwal, (2015) Jet Airway's closure will be setback
for aviation industry and sad day to all those are there in the flying business. As the lenders did
not extended the emergency funds Jet airways were cash starved that is flying from last 25 years.
There is a definite contribution of sustained mismanagement, it is fact that in entire eco system
of aviation, the airlines always remains invariably on the receiving end where stakeholders make
monies. The airline industry will be facing serious constraints over capacity that may lead to
colossal hikes in the airfares with shutdown of the Jet Airline operations. The business enterprise
has faced various shut downs company is have to consider that operating with low margins in the
competitive environment could lead to shut down of airline company. As the company is shut
down there are chances that tax rates may even go high as compared with current tax rates.
While it is stated by Todorov and et.al., (2018) that the collision of Low cost Airline company
will force the competitors to raise their ticket fares. It will be increasing the costs that will shrink
the markets of airline industry. It is also possible that the seeing the downfall of airline industry
tax rates may be lowered by the state and central government. Leasing companies will not be
lending to the airline industry over the flights and may increase the interests rates over the
leasing. The requirements and processes of leasing will require high securities.
Schofield, (2019) said that, Jet Airways is grappling with rising fuel cost which in turn
influences the airline industry how did they overcome. The valuation of Indian rupee the rise in
the prices of fuel, fierce competition and surging growth are considered to be the key challenges
faced by the Indian airlines due to jet airways. The major problem faced by the aviation industry
is that it results in huge investment, high-risk, high cost hiring of productive employees, et cetra.
Fernandez, (2019) sought to determine the fact that, Indian airline passengers a growing year
after year which is the major challenge for the aviation industry and set back of one of the
leading company. Saddled with various debt of 550 billion Rupees, which in turn helps in
improving the quality of the individual which leads to lower sustainable growth and productivity.
Measures that have prevented the collision of Jet Airways
Company have purchased Sahara airlines that were not persistent to company. Mr Goyal
continued to push the Sahara airlines even when they were not responding positively for the
company. It was added by the losses that made he management for the company complex and
messy. After merger companies started facing serious issues. The loss could be prevented if the
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company was headed by the highly experienced executives of finest airlines. However it is also
stated Fernandez, ( 2019) that the executives faced troubled waters due to the lack of freedom of
taking decisions. Company was facing interference in it da today operations that led the
experienced executives to leave the company in mid way. Executives did held the steps for cut-
down over the offerings, for increasing the fares and for cutting down the costs. It was identified
that company did not showed significant growth in the profits but when fuel prices raised
company faced started drowning at very fast pace.
Company would not have led to downfall if the fluctuations in the fuel prices were managed
properly by the management of company. The other step that would have prevented the downfall
if company had not decreased its margin adopting to low cost business model.
Todorov and et.al., (2018) sought to analyse the fact that, Naresh Goyal the major
shareholder of Jet Airways should have founded strategic investors who invests into the firm.
Further Naresh Goyal should have surrender his major sharing in Jet Airways and exit the firm
for its survival. When it became Apparent that firm is about to end and Tata were interested in
investing to protect firm from ending but only if Naresh Goyal accepted. But non-acceptance on
part of Naresh Goyal resulted in downfall in Jet Airways and its closer. Sethi, Dhir and Agarwal,
(2015) argued thta, Jet airways must focus on analysing the strategy implied by the competitirs
of jet airways in order to remain sustianble into the market which leads to higher opertaiobnal
performance and productivity. Jet airways must focus on reingineering the process which in turn
leads to hhigher sustainable growth. It must focus on providing seamless experience to the
customers and give effective experience to the travellers. In order to save the Jet airways the
shareholder and Naresh Goyal must focus on easily finding the strategic investors who in turn
are keen top save the airline. The company could have even merged with the top airlines instead
of grounding the Jet airways business.
Research Methodology
Research Methodology comprises of a varied assortment of different tools and techniques that a
researcher can use during the entire process of conducting his research. These specific tools and
methods helps in identification, collection, analysing and interpreting the relevant data so that
meaningful conclusions can be drawn and research can be completed in a manner that is
designated and correct (Quinlan and et.al., 2019). The research methodology also helps in
determining the validity and reliability of the research activity that has been undertaken by the
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researcher and ascertains whether this is a correct thing to do. In the current research, researcher
will comply to use of different tools that will help him in conducting the research in a relevant
manner and draw meaningful conclusions that will assist in successfully completing the current
research that is related to the ultimate shutdown of the air industry giant in India i.e. Jet airways.
The different points that will highlight the kind of research that will be conducted are: Research Type: There are two type of the research type namely qualitative and
quantitative research which can be used by the researcher to conduct the research on topic
i.e. what were the factors or causes that led to shutdown of the Jet Airways which were
the major air travelling company in India . Qualitative research is the research in which
the outcome of the research is carried out with the help of phenomenon of understanding
the human people. Quantitative research is the type of research in which outcome are
carry out with numeric data. Scholar has taken help of qualitative research to find out the
outcome of the research. The reason behind it e is e that it will be difficult for the scholar
to present the outcome in numeric form. Therefore, in order to conduct current research
successfully, the researcher will use qualitative research type that will help in deriving
and concluding relevant results related to the shutdown. Research Approach: Research approach helps in developing a plan that will assist in
conducting the research in a meaningful manner and also involves detailing the steps that
will be taken (Mackey, and Gass, 2015). There are two major approach in research and
that are inductive and deductive. Inductive approach is used when the researcher is
undertaking qualitative research and the researcher analyses different theories and beliefs
to identify or reach a specific solution. It helps in analysing the human nature and
characteristics in its research process. The deductive approach on the other hand is used
in quantitative research and involves formulation of hypothesis which is later tested and
then test whether it holds true or not. In the current research, the research will use
inductive approach since the study that he will undertake will be qualitative in nature and
will help him in analysing the different aspects related to the shutdown of Jet airways. Research Philosophy: The research philosophy sets out the belief of the researcher
regarding the manner in which data should be collected and research should be
conducted. There are two types of research philosophies that a researcher can use i.e.
interpretivism approach and positivism philosophy in order to conduct his research in an
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organised manner. The interpretivism philosophy is adopted in order to conduct
qualitative research and helps the researcher in analysing different theories and the reach
a theoretical conclusions (Silverman, 2016). Positivism approach, contradictorily is used
in quantitative research type where they analyse a collection of numerical facts ad data
and then derive an appropriate conclusion. In the current research, the researcher will use
interpretivism philosophy for completing his research since the facts and data that he will
be required t analyse is qualitative in nature related to the different factors that led to the
shutdown of the Jet Airways and ascertain various causes that were involved. Data Collection Techniques: Data collection is the process through which scholar will be
collecting to data for finding out the outcome of the research. There are two type of data
collection tool namely primary data collection and secondary data collection tool. Scholar
will be using both primary and secondary data collection techniques. The primary
research will help the researcher in collecting the data on a first hand basis by the help of
questionnaire analysis that will be conducted on the managers that were working for the
company and the secondary data will be collected by referencing to different journal
articles and research papers that have been published by the experts in the Indian
economy and other external country writers as well (Kumar, 2019). Collectively, both
secondary and primary data collection techniques will help the researcher in developing a
concrete basis and by analyzing these findings, the researcher will be able to present a
conclusive evidence of the conclusions and recommendations that researcher will make at
the end of their research. Sampling: Sampling is a procedure through which the researcher selects a few
respondents out of the entire universe acting as population. This helps in simplifying the
process of conducting research and draws conclusion that represents the characteristics of
the entire population (Litosseliti, ed., 2018). In the current research, the researcher has
used non-probability purposive sampling where the researcher has used the population as
the managers of Jet Airways and out of this universe; he has selected 20 managers for his
research on random basis. This will help the researcher in analysing the problems that
were faced by the management of Jet airways in a better manner thus accomplishing the
true purpose of conducting the research and therefore draw relevant conclusions. This
will ensure that the researcher analyses the causes of the shutdown in a correct and
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relevant manner and ascertain the realistic and actual causes that ultimately led to failure
of Jet Airways. Data Analysis: The analysis of the data that has been collected is different for qualitative
and quantitative research types. In the quantitative research type, SPSS, MS-Excel and
other tools are used so that the numerical data can be analysed and interpreted and in the
qualitative data analysis, tools like thematic analysis etc. is used. In the current research
as well, the researcher will use the thematic analysis and analyse the data using different
charts, graphs and figures and therefore, the researcher will interpret and analyse the data
using thematic analysis technique for qualitative data (Quinlan and et.al., 2019). This
simplifies the data interpretation process and also the use of charts and other tools makes
the entire process attractive and interesting.
 RM Limitations: There are various limitations in the research that will be conducted by
the researcher. First is the time constraint, i.e. if the researcher had more time than he
could have completed the research in a more effective manner and the analysis would
also have been more in depth but the researcher will be able to cover all the aspects in his
research and produce evident conclusions and interpretations regarding the problem of Jet
Airways. Additionally, the researcher could have used quantitative research technique as
well and tools like SPSS could have been implemented but the use of Thematic analysis
helps in deriving most effective results in the qualitative research that will be conducted
in the research.
Accessibility
There were many accessibility issue which will be faced by the scholar in conducting the
research as it was difficult to get access to variety of the online sources with the help of different
browser we were able to overcome the same issue to get a relevant data for finding out the
outcome of research.
Ethical Consideration
Scholar will make sure that all the respondents are not subject to any sort of harm in any
ways whatsoever.
Scholar will be taking the consent of all the respondents beforehand itself, before conducting
the survey on them. Scholar will also not drive any of the respondents to change their decision or
chose any of the answer from the questionnaire.
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High level of confidentiality will be maintained throughout the process of carrying out the
outcome of the research. Whether it is regarding the respondent information or the information
derived from survey.
Significance
This report is very significant for Jet Airways in understanding the main cause which has
laid down the collision of the organization. This research will also be significant for the other
organization in the industries in understanding the reason behind downfall of organization so that
on the basis of the same they take the different decision in their operation to overcome the
different issue. This research is also significant for the different stakeholder of Jet Airways in
understanding the reason behind the downfall of there organization.
Deliverable
Deliverable is a tangible or intangible good or service produced as a result of a project
that is intended to be delivered to a customer. The research which will be deliver in both hard
and soft copy to the organization.
Schedule
Task Mode Task Name Duration Start Finish Predecessors
Auto
Scheduled Formulation of topic 6 days Sun 11/10/19 Sat 11/16/19
Auto
Scheduled
Formulation of aims, objectives
and research questions 4 days Mon 11/18/19 Thu 11/21/19 1
Auto
Scheduled Research methodology 7 days Tue 11/26/19 Mon 12/2/19
Auto
Scheduled Data collection 4 days Wed 12/4/19 Sat 12/7/19
Auto
Scheduled
Analysis and interpretation of
data 3 days Mon 12/9/19 Wed 12/11/19 4
Auto
Scheduled
Draw conclusion and
recommendation 11 days Thu 12/12/19 Thu 12/26/19 5
Auto
Scheduled Draw reflection 3 days Fri 12/27/19 Tue 12/31/19 6
Auto
Scheduled End of project 6 days Wed 1/1/20 Wed 1/8/20 7
Auto
Scheduled
Conclusion and
recommendation 3 days Thu 1/9/20 Mon 1/13/20 8
Auto
Scheduled Reflection 3 days Tue 1/14/20 Thu 1/16/20 9
Manually End of project 1 day Tue 12/17/19 Tue 12/17/19
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Scheduled
Gantt Chart
EVALUATION
Scholar will take the help of the qualitative research type to conduct the research as this
research type will help the researcher in understanding human phenomenon. Scholar was also
having the option to select the quantitative research which may help the researcher in providing
the evidence of the research outcome in better ways. At the same time it get difficult for the
researcher in understanding the opinion of the human interest in the Quantitative research so the
scholar has taken the help of Qualitative research type.
For finding out the outcome of the research, scholar has taken the help of inductive
approach. Scholar is also having the option of taking help of deductive approach in conducting
the research as this approach may help the scholar in getting more relevant outcome as deductive
approach are aimed to test already made theories. At the same time it was difficult for the scholar
to interlink the data generated with the theories as a result scholar has chosen inductive approach
so that new theories can be emerged with the help of the data generated.
Scholar will take the help of interpretivism philosophy in conducting research. Scholar also
was having the option of selecting the positivism philosophy but as the researcher is conducting
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the qualitative research it will be difficult for the scholar to use the positivism philosophy in the
research. That’s the reason scholar has chosen interpretivism philosophy to conduct the research
as this philosophy used to provide the good hand of support for the Qualitative research type.
Scholar has chosen both primary as well as secondary data collection tool to collect the
information related to the topic. The reason behind the same was that this will help the scholar in
getting good amount of the information related to the topic of the research. Also selecting both
the data collection tool will help the researcher in interlinking the result of primary data
collection with the information which will be gather with the help of the secondary data
collection tool.
Thematic data analysis tool is the tool which will be used by the scholar to analysis the
data which has been collected with the help of both the data collection tool. The reason behind
the same is that it will help the scholar in presenting the data collected in more effective way. As
data collected with the help of the survey will be raw data. Scholar has to make different table
and graph to understand the same. Thematic data collection tool will provide the support for
achieving the same.
Scholar has chosen simple random method under probabilistic method to select the 20
manager of Jet Airways as a respondent to collect the information with the help of the survey.
Scholar would have also chosen the non probabilistic method for conducting the research but as
non probabilistic method sometime create the situation of biasses in the respondent and also it is
against the ethical consideration of the research. Scholar has decided to opt for the simple
random method so that all the respondents get equal chance to be selected in the cut.
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REFERENCES
Books and Journals
Chava, S., 2018. Jet Airways: A Voyage of Stress & Strain. The Management Accountant
Journal. 53(9). pp.92-98.
Fernandez, S.A., 2019. A COMPARITIVE STUDY BETWEEN JET AIRWAYS AND AIR
INDIA. INTERNATIONAL JOURNAL OF MANAGEMENT AND SOCIAL SCIENCES
(IJMSS). 8(2.3). pp.38-41.
Kumar, R., 2019. Research methodology: A step-by-step guide for beginners. Sage Publications
Limited.
Litosseliti, L. ed., 2018. Research methods in linguistics. Bloomsbury Publishing.
Mackey, A. and Gass, S .M., 2015. Second language research: Methodology and design.
Routledge.
Quinlan, C. and et.al., 2019. Business research methods. South Western Cengage.
Schofield, A., 2019. Financial stress clouds India's aviation growth prospects: Jet Airways needs
bailout, other carriers under pressure; government-backed report predicts dramatic long-
term expansion. Aviation Week & Space Technology.
Sethi, R., Dhir, S. and Agarwal, D., 2015. Defining Control: A Study of the Jet-Etihad
Case. National Law School of India Review. 27(2). pp.185-196.
Silverman, D. ed., 2016. Qualitative research. Sage.
Todorov, K., and et.al., 2018. Corporate and Business StrategyEquity Research and Valuation:
Jet AirwaysCase Study: Inchcape plc. Part 4', Strategic Management in Emerging
Markets.
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