What you actually get for the money
Premium Economy is a wider recliner seat with more legroom, better food and priority boarding — a meaningful step up from economy, but it does not lie flat. Business Class is a fully-flat bed with lounge access, fast-track security and a much higher level of service. The difference matters most on the overnight long-haul flights where sleep is the whole point.
On the published fare ladder, Business often costs two to three times Premium Economy. Through a contracted consolidator the Business net fare is typically 30–60% below airline.com, which can shrink the real-world gap to Premium Economy to as little as 30–50% — sometimes the deciding margin.
Long-haul: Business usually wins
On the 8–16 hour routes from India — Delhi or Mumbai to New York, San Francisco, Toronto, or anywhere in Australia — arriving able to function the next day is worth real money. Only Business Class gives you a flat bed, and the consolidator fare often makes it affordable enough that Premium Economy stops making sense for an overnight crossing.
Short and medium-haul: Premium Economy can be smarter
On 3–6 hour routes to Dubai, Doha, Singapore or Bangkok you are not going to sleep flat whatever you book, so the case for Business is weaker. Premium Economy — or a flexible economy fare with lounge access bought separately — frequently delivers most of the comfort for a fraction of the price. Save the Business budget for the long-haul leg of the trip.
A simple rule: under ~6 hours and daytime, Premium Economy is usually the value play; over ~8 hours and overnight, Business earns its premium. An advisor will price both cabins on your exact route so you can see the real gap in INR.