The main reason for the Vistara airlines merger of is the aim to become globally competitive and integrated, and the main reasons for pursuing the merger are as follows,
Vistara is known for its premium services and Air India with its wide reach and ability to overcome global challenges can create a strong airline. This merger reduces the chances of brand separation and creates competition in both domestic and international markets. The benefits Tata group that will get from this will be as follows
Operating a premium service airline incurs unnecessary expenses on maintenance, staff and other operational areas. This merger will help the Tata Group to reduce unnecessary expenses, reduce operational costs and expand its facilities.Financial reforms and network expansion and increasing connectivity will help
It may be more sustainable to run a single entity than to run two separate entities to operate a great airline. Vistara will connect domestic and international routes to Air India’s network, which will lead to a large number of passengers choosing Air India rather than looking for a wider range of travel options under one brand. Vistara is known for its premium quality services. After the merger, Air India can bring these high service standards to Air India, which will improve customer satisfaction and attract more and more customers.
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