Post COVID-19 Recovery Models and Strategies for Aviation in Indonesia

Global aviation has experienced many crises in the past, each of which has had a significant impact on air traffic. After each fall, the industry recovers and returns stronger, exceeding the previous volume of traffic; however, the COVID-19 pandemic presents a new level of concern, with unknown detrimental effects. The airlines, airports and all other partners involved have greatly suffered. The airport system has been hit by flight closures in many markets, including Indonesia. Airport management and operating companies, concessionaires, terminal tenants, ground handling and catering companies, and the various partners involved are under stress and financial constraints due to the pandemic. In response to this, the flight plan for the “new normal” takes into account the new flight demand and airline market structure scenarios. By using the qualitative approach, this research tries to construct recovery models and strategies for the Indonesian aviation industry post-pandemic. Results show several scenarios, classified as optimistic, moderate, and conservative for the recovery of the industry. This requires the construction of a business model through the V-shape, U-shape, Prolonged U-shape, L-shape and W-shape. In striving for the recovery of the aviation industry, three strategies are needed: survival, growth and sustainability.