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Boston, MA -- (SBWIRE) -- 01/09/2014 -- PT Lion Mentari Airlines has become Indonesia's largest privately run airline, with a strong position in the domestic market. Following a decade of growth on par with Indonesia's general economic performance the company hopes that it can push into a premium position in the regional market. It has signaled its intent by signing Boeing's largest ever order in February 2013, worth $22.4bn.
Features and benefits
- Analysis of the Indonesian airline market and how Lion Air rose to prominence against its rivals.
- Evaluating the potential implications of Lion Air's entry into the wider regional Low cost carrier market.
Lion Air has grown from a single plane startup to a company with a fleet of over 100 airplanes in 12 years. It has exploited Indonesian market conditions and economic potential to grow to this stature. The group has three brands, and fervently keeps costs down, allowing the airline to succeed through price competitiveness.
Lion Air is eyeing potential overseas markets to further expand. The company is eyeing its South Asian neighbors as future destinations. The company has already established joint ventures in Malaysia and Thailand. Furthermore, the company has completed massive orders with The Boeing Company and Airbus.
Lion Air's rapid growth will inevitably propel it into contention with other regional players. Competition in other markets it is targeting are far from inert. International expansion must also not be advocated at the expense of the domestic market. Lion Air's titanic order of aircraft may also work against it if it cannot properly exploit growth.
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Your key questions answered
- How has Lion Air grown to become the largest carrier by volume in Indonesia?
- What are Lion Air's future plans?
- What are the threats to Lion Air's current objectives?
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