This refers to the report "I don't lose sleep over AirAsia" (July 8). IndiGo Airlines President Aditya Ghosh's statements are not only bold and straightforward but also decode the DNA of an astute business strategy. If one looks closely at the rise of IndiGo, it is evident that it never did or followed what its competitors did, rather it did what competitors never did; When does a company's chief executive officer lose his/her sleep if a competitor enters? Only when he/she loses out in setting a de facto standard and solely chooses to be a follower. IndiGo is never known to have made noise over its strategy but silently embraced a strategic intent - an overarching ambition and that is why Ghosh wants every today to be better than yesterday for his employees. About profit and revenue, his statement is reminiscent of what once Muhtar Kent of Coca-Cola said: that he never looked at the share price of his company. By keeping costs low and focussing on increasing supply, Ghosh creates a virtuous cycle of consequences, the bedrock of his simplified business model. As long as this remains his strategic positioning, no AirAsia can pose any serious threat to IndiGo. However, one extension of his strategy could be added: every today should also be better than yesterday for passengers too!
R K Mitra New Delhi
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