With the merger of Vistara and Air India, Tata group is taking another step to consolidate its sprawling airline business into full service and low cost operation segments. Currently, Vistara and Air India are the country’s second and third largest domestic carriers, respectively. Together, their market share stood at 18.3 per cent in October. If AirAsia India is also included, the cumulative market share of Tata group-owned airlines in the domestic market will be 25.9 per cent. Individually, AirAsia India’s domestic market share was at 7.6 per cent.
