Does dropping para's on enemy units result in the para's being instakilled?

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Paras aren't designed to land directly on other units. They are for taking unoccupied territory in the rear, holding it, and linking up with regular units. Nevertheless doing so produces a battle, not an instakill. Unfortunately even advanced paras fare poorly in such attacks and can't be expected to beat much more than a garrison or militia unit until they have landed and secured the territory first.
 
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You can also use them to attain that bonus granted to the attacker for attacking from 3 directions when you can't attack by land from 3 provinces. That is to say, attack by land from 2 directions while using your para to attack from the air. Personally, I don't use them or build them, but I've seen the German AI use them successfully in Norway in some mods.
 
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YES they die very quickly and are useless if you use them like that! But they are great for destroying stalemates (imo) i was once playing as Russia in Kaiserreich and had a war against Germany. Well i arrived to the front doors of Berlin but i was STUCK! there was a river between me and Germans and i couldnt advance and so couldnt they. If i attacked i would take very high casulties and it would result in them attacking me and forcing me back. SO i came up with a plan and that is to drop around 5 paratroopers on the province and to attack with all of my army i got. The plan succeded and the stalemate was finally broken after a year After i broke their defense Germany had no way to ressist and quickly fell. So they can definetly be useful when you drop them on enemy units but make sure to have other units to support them.
 
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That sounds like you dropped them at low org I often use them to support beach landings and they have never just vanished even if they did start the battle first.

But If you want them to actually win battles by themself you need to drop enough divisions to actually overwhelm the enemy.
 
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No, they aren't instakilled. They fight at a penalty when dropped on the enemy. If you want success from dropping alone you need high org, more para units outnumbering the enemy, and great air support. I try to have at least 3:1 strength I can drop if the target is defended, plus TAC or CAS.
 
They are almost required if you do an amphibious assault against a well dug in opponent or one across a waterway. I was playing a game as the USSR and ended up at war with the UK and after helping to show China the true socialist way I was stuck with the UK having Hong Kong. They had more than 40 divisions there! TO see what would happen I attacked with 99 divisions (including some Chinese divisions that joined) and I lost with over 1.5 million casualties on both sides. I retried it using paratroopers and won with "merely" 600,000 casualties. Even for the USSR that was a pyrrhic victory. The streets of Hong Kong must have been paved with corpses...