A 1 + page discussion is describing disruptive business models. You should use examples of companies that have introduced disruptive business models to help with this description; like Dell Computer, Walmart, Southwest Airlines or perhaps Apple. Disruptive business model refers to any business innovation, which creates a new market and value network for a company or a product and in so doing, disrupts the existing value network and market (Shaughnessy, 2016). This consequently displaces established markets, products, and leading firms. The term was coined by Clayton M Christensen in 1995 and has since been used to describe disruptive phenomena on ...
Essays on Airline Industry
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Abstract
The Air transport industry is growing globally and specifically in the Asia-Pacific region as the demand for air transport services grows and infrastructural development continues. Singapore has emerged as an important air transport hub in the Asia-Pacific region owing to its strategic geographical location, developed infrastructure, connectivity to other regions of the world, and its well-defined regulatory environment. Singapore is a major air transport hub as it is strategically located in the Strait of Malacca which puts it at the crossroads of important air routes, particularly between major economic blocs such as Japan and Europe. The emergence of Singapore ...
English
There are so many airports globally, that handle a large number of people than any mode of transport. Air transport has enabled the economic growth to most of these countries. They also operate at all times of the day yearly. There are several security measures in airports which have been there since long time ago. With the current revolution in technology all over the world, I personally agree that airport security should be increased. Comparing the rate of people traveling nowadays and a long time ago, the number has greatly increased as well as the number of airlines ("Global ...
Abstract
The airline industry is, once, one of the most highly regulated industries in Canada. Initially a government owned company, Air Canada has enjoyed the monopoly and protection of the country’s legislation. However, the increased pressure to improve the country’s airline industry led to its privatization. In the modern era, the need to be more competitive has been more pressing than before as Canada’s airline industry became open for competition. In a bid to improve the company’s business processes and customer experience, in 2011, Air Canada employed IBM’s expertise in providing computing systems. This partnership ...
How do economic issues, politics, and social factors affect the airline industry?
Since these external factors also affect the airline customers, airline industries also need to adjust their business operations and standards. With that, their strategies, prices, and resource allocations are being adjusted according to how these factors affect customers. As such, the most important thing that the airline industries need is to keep updated with the changes made by these factors. With that, they will be able to optimize their strategy, and keep up their revenues with their costs (Cederholm, 2014). What is the financial position of the companies in the airline industry including the impact on airline suppliers? (Lessors), ...
Introduction
In the wake of multiple aircraft disappearances and accidents, the aviation safety remains a great challenge within the aviation industry today. Human roles on the flight deck, maintenance and inspection are seen to be the leading contributors of most aircraft related accidents. Aviation maintenance and inspection procedures are part of a complex organization where most individuals undertake varied tasks in an environment characterized by time pressures, insignificant and sparse feedback as well as difficult ambient conditions such as poor lighting, long day and night shifts. These situational characteristics and other human erring tendencies have resulted in varied forms of ...
2017-01-05
Five-Force Analysis 3 Key Success Factors of the Company 4 SWOT-analysis 5 Recommendations 6 III. Conclusion 7
Introduction
This paper is devoted to the strategic analysis of the company Ryanair. It is an Irish low cost airline that is well-known in Europe. This company operates since 1985 and offers flights to around twenty seven different countries. There are no any incidents that could be associated with human victims during the whole company’s activity. Ryanair has become a truly budget airline in the 1990s. It has abandoned the business class, expensive airports and long-distance flights. As a result, in 1995 ...
Introduction
Hiring professional and skilled employees is the key objective of the Human Resource Management (HRM) department. For the purposes of the realization of this strategic objective, the HR manager is obliged to pursue equality in provision of working opportunities for all employees regardless race, sex, nationality or any other supplementary factor giving ground for unequal attitude. In this particular situation, the managers of the company request the Human Resource Department to resolve issue pertaining to division of quotas between ground crew and other employees. With that, the attention of the managers is focused on the age of the employees ...
SWOT Analysis
SWOT Analysis will evaluate and identify the strengths, weaknesses, opportunities, and threats of Southwest Airlines. Strength Southwest Airlines has an effective performance, sound fleet operations, and good brand reputation in the U.S market. It is low fare carrier airlines that have efficient, dedicated, and friendly employees. It has offered valuable services to the customers in reasonable price that resulted in highest number of satisfied passengers per year. It has strong executive team and large number of skilled employees.
Weaknesses
It is noticed that the company has little diversification and mostly employees are unionized. The company has experienced decline in its ...
American Airlines Group (AAG) is a holding company incorporated in Delaware. AAG wholly owns American Airlines Inc. (American), Piedmont Airlines Inc. (Piedmont), PSA Airlines (PSA), and Envoy Aviation Group Inc. (Envoy) (American Airlines 5). AAG in conjunction with other third party regional carriers operating as American Eagle run an average of 6,700 flights per day to almost 350 destinations in over 50 countries around the world (American Airline 5). AAG operates in the highly competitive airline industry. AAG competitors include: Alaska Airlines, Delta Airlines, Frontier Airlines, Allegiant Airline, Hawaiian Airlines, Southwest Airlines, JetBlue Airways, Virgin America, and United ...
Precision Metal Machining Inc. is a veteran owned company that operates in the machining industry, which is part of the manufacturing process of many metals and other composites. The company is ITAR certified, which is important considering the company deals in imports and exports. The company offers CNC machining, Swiss machining, and electrical discharge machining services to its customers. PMMI enjoys a competitive advantage over other machining companies as a result, as most of the industry’s market share is composed of smaller companies. PMMI overall faces numerous internal and external strengths and opportunities while they have minimum weaknesses ...
Marketing Audit and Plan of QANTAS Airline
Organizational view The airline industry is a fastest growing services industry in the world that is providing air transport services to the traveling passengers and freight. I am very inspired by the industry business, and it provided valuable service to me. I have gathered some information and aware about a leading Australian Airline company, Qantas. The marketing audit is and empirical study of the company that Qantas to understand the global market’s demand and examine the competitors’ market. It also helps the management to investigate the current marketing aspects and set future strategies. I am familiar with the ...
Integrated Marketing Communications Plan
Industry/Company review CBU Airlines is a company based in Riverside, California. The company has the entire infrastructure necessary to become a prominent player in the airline industry, including jets, employees and terminals. In light of this, the company needs a new integrated marketing communications plan (IMC) to enable it to compete effectively with other airlines. The U.S. domestic airline industry earns in excess of $158 billion in revenue each year. Furthermore, the industry has been experiencing growth because of increased business and consumer spending as the country recovers from the 2007-2009 recession. In addition, the growth in the industry ...
Innovation
Executive summary Business organizations have implemented and embraced different organizational strategies that have contributed positively to the performance, and general business productivity. Product innovation strategy has been one of the strategies used to improve product performance and increase sales within an organization. Innovation models are important features of a successful organization. Advanced technology has led to the use of improved business strategies in increasing productivity and performance. Business organizations have embraced different changes in the social and technological aspect to provide products and services suitable for customers. Multiple innovation models may be incorporated into the business strategy to provide ...
Ancillary Revenue Management in the Airline Industry
Introduction There is a stiff competition between the network airlines and the low-cost carriers (LCCs) in the airline aviation industry. For a long time, the traditional network airlines have been struggling to cope up with the many economic uncertainties in the industry, especially the rising cost of jet fuels and increasing operating costs. Consequently, to survive in the industry, they have been forced to come up with new ways of generating revenue. Like LCCs, the network carriers are now considering unbundling their services to produce additional income. Network airlines are also adopting the trend of selling chargeable services, which ...
The airline industry is considered to be highly competitive and therefore airline company managers will need to determine the relevance of their current ERP systems with regards to the applicability of the financial information it generates. This is because the same quantitative and qualitative information is used for both financial and management accounting. However, the main goal of a company is to generate better profitability for its owners while remaining sustainable. This is done by controlling costs while improving revenues through the use of budgets and the standardization of costs and results to variances, which are primarily under management ...
Question 1: What drives the basic economies of the airline industry? The refining industry?
The revenue side of the airline industry is driven by the amount of passengers an airline can carry per flight. A common index is the percentage of filled seats: if it is low on a flight, that flight may be unprofitable. Fuel costs may represent 30 to 50% of total operating costs in the airline industry (Grassbaugh, 2013). For the refining industry, the cost of crude oil is the major driver (Grassbaugh, 2013). Hence, when the price of crude falls, refining margins tend to rise.
Question 2: How is Delta different from other airlines?
Mallikarjun (2015) posits there are so many competitors in the American airline industry, that ...
Product Market Analysis
Product/Service Mix With an experience in the airline industry of over four decades, Southwest Airlines has polished its low fare flying policy. Economy flying across various United States destinations is SA’s main product that has become an eponymous for the company (Southwest Airlines official website, n.d.). Its product mix includes rapid check ins, two free checked pieces of luggage under specific sizes and weight, no reservation policy and a friendly crew that engage travelers during their flights, which is SA’s personal signature (Southwest, 2014). Southwest product differentiates from other airlines’ products because it comprises the largest Boeing ...
Employee Performance Recognition and Compensation Policies
Essay Question One: Introduction Air World International was established by Carolyn Laker in 1994, a property developer by profession, with an aim of providing quality air travel services between Europe and the U.S.A. In its initial years the company managed to establish itself as a major player in the airline industry and notched up consistent profits. However, as the global recession took hold in 2007, by 2008, the company’s fleet was running on below average capacity. Despite employee recommendations of lowering its fare structure to attract more passengers (a strategy being implemented by its competitors), Carolyn and the ...
Executive Summary
For the purpose of writing a report on tourism marketing, we have chosen Singapore Airlines. The reason behind choosing this airline is because it is regarded as one the biggest airlines in the world and has its headquarters in Singapore. Singapore has always been a major attraction for tourists and those who visit Singapore must also travel via the national airline so as to make the journey more memorable. The revenues of Singapore Airline have always been growing, however, the recent rise in competition within the airline industry has led to low turnover ratios. A survey has indicated that ...
Executive Summary
The study focuses on identifying the major issues related to Southwest Airlines. It uses internal, external, and financial analysis for the company and the results show that information system of Southwest Airlines, the risk of competition, lack of long route flights, and integration issues are the current problems faced by the Airline.
The internal analysis reveals that the company faces major threats in the market, and the specific threats are as under.
Competition, Legal infrastructure, Unemployment and inflation, and The shaky economy of the US. The SWOT analysis also explains that the company is dependent on different sources that create specific weaknesses for the business. The dependence of Southwest Airlines is provided below.
Revenues through passengers,
Single provider/supplier, Limited domestic presence, No ...
Introduction
The airline industry had long been using online service to sell tickets. Online ticket sales have continued to grow at about 10-15% every year. Air France has been among the early users of online ticket selling and has benefitted greatly from it. The airline has enjoyed some growth and respectable performance in spite of the crises within and outside the industry.
The Internet and the Airline Industry Since the early years of the internet, the airline industry has been among the first to embrace the power of the internet. It had been among the first industries to begin selling ...
Introduction
The low cost carriers (LCCs) have been enjoying very fast growth in the past several years. Airlines like Ryan Air, Southwest, Lion Air and Asia have become dominant forces in their respective regions. Opportunities for growth and expansion abound especially in the light of changing consumer preferences and habits stemming from the global financial crisis. To take advantage of emerging opportunities, Air Asia needs to go public and raise funds for expansion. While its business model has so far been very successful, certain aspects of it operations and business model need to be modified for it to be able ...
Introduction
For any airline industry to succeed in the US, a good business strategy is essential. When choosing business strategies, the industry should ensure that the success of the business-level strategies is promoted. The US Airline Industry can achieve this by meeting the following critical requirements: horizontal integration, vertical integration, building cooperative relationships, engaging in competitive bidding and short term contracts and being part of strategic alliances and long term contracts. Apart from a good business strategy, excellent management tools and effective leadership also play a crucial role when it comes to success in this industry.
Question 2: Identify Critical Requirements for a Strategic and Competitive US Airline Industry and Global Advantages to the organization
Horizontal Integration/consolidation is one ...
International Air Law
Air transport is currently considered the fastest and safest means of transport globally, Passengers want to feel secure when flying from one place to another and expect the airline to be responsible in the event where they experience any form of injury while under the airline’s care. However, the application of treaties and agreements in determining the liability of airlines in instances of accidents has triggered debates as to what extent the airlines are liable for the damages experienced while the plaintiff is onboard. A particular question arises regarding the extent of injuries that an airline can be ...
Business
2016-06-02
Company Overview
The company for this study is American Airlines (AA). It is an American company and nowadays it is in the first place by the total number of passenger-kilometers in the world. The history of this company has started in 1926. The huge growth was characteristic for the company in 1980-1990s. Today the company American Airlines has 964 aircrafts in its fleet. The company offer flights on four continents. At the same time, the majority of flights are in the US. There are at least five hubs in the US, which are used by the company for regional flights ...
The airline has records of unending delays from incidences the management should be taking care of. Incidences such as unplugging of screening machines at the firm cause delays of up to two hours. Instead of having to content with such lengthy delays, the organization needs to have alternatives such as installing multiple screening locations to reduce delays. Service management at the firm is ineffective due to incompetence on the part of agents who are unavailable when passengers need them most and are unapologetic in spite of making travelers go through difficult times trying to find someone to guide them ...
Abstract
The paper explores the research on the global pilot shortage in aviation, in relation to human resource management on the sector and airport industries affairs as the area of concern. Consequently, it also evaluates how the industry safety is compromised, resulting in few airlines benefiting commercially (Jehn, 2009). Also, it points out the distinct sectors of the airline industry as major carriers and regional affiliates in regard to their individual efficiency on pilot’s employment.
Background Introduction
The impact of shortage in trained pilots and efforts to keep the cockpits staffed to meet the passenger demands for flights is discussed in ...
Analysis of competitive business environment facilitates proper decision making as well as planning for running an airline company. Deregulations in the airline industry are compelling airline companies to ensure decision making in order to meet expectations and demand of emerging markets. There are several factors that provide input to decision making and planning, and also pave the way to profitability and success of an airline company. These factors are providing high quality service, using up-to-date and cost effective aircrafts, using latest technologies that include informational and electronic technologies, ensuring cooperative, friendly, and professional attitude and face to the customers. ...
Introduction
The U.S. airline industry continues to be fiercely competitive, due to a combination of rising costs, increased government regulation, fluctuating macroeconomic conditions, and increasingly price sensitive consumers (Southwest Airlines, 2016a). Environmental pressures have led to several mergers and acquisitions within the industry, including major carriers as well as regional and domestic carriers (Southwest Airlines, 2016a). Low-cost domestic airline carriers that offer non-stop service to popular domestic and tourist destinations within North America have emerged as formidable competitors to large, international carriers such as United Airlines. Southwest Airlines and Allegiant Air are two carriers that focus on variations of the ...
Delta Airlines
Delta Airlines began its business as a crop dusting company in the early 1920s with guiding principles that defined the organization to include ownership of values and setting up a system that guided the organization. The owner of the company, Mr. C.E. Woolman believed that integrity was of importance as well as being successful at whatever was attempted. This set the guideline for the company that is still present (History of Delta Airlines, 2016). The company has managed to be successful through many changes within the airline industry to include rising fuel prices, air fare wars, and the filing ...
Transport geography refers to the investigation of the movement of people, goods, and information, and the connection between these factors Rodrigue, Comtois & Slack (2013). As a special branch or specialty in geography, transport geography deals with specification of space on the surface of the earth, particularly the location, substance, form, and effects that transportation ha on processes, land cover, and land use. The aim of transport geography is to detect and describe the transportation of people, goods, and information across the earth (Rodrigue, Comtois & Slack, 2013). Transport geography also seeks to identify and explain the effects of transportation on ...
Receiver
Dear Director of Human Resources, I am submitting my resume along with this cover letter to express my desire to apply for the position of Line Service Manager in your organization, as advertised in LinkedIn. Your organization is a highly reputable name in the airline industry, both in the country and across the globe. Upon reading your requirements and job description in detail, I found that I am suitable for the said position. I am a qualified graduate with degrees in Management and Economics, and I am currently working on completing my MBA. I am confident that my skills, ...
1.0 Executive summary Ryanair has experienced tremendous growth and success over time. The low-cost company strategy has been quite effective for several years. The adoption of the strategy has contributed to the growth and the success that the airline currently enjoys (Barrett 2004, p.90). However, despite its success the company is faced with various challenges including but not limited to volatile fuel prices, increased competition among others. The strategy employed by the company has worked well in the past. However, there is the need to analyze the current market and develop appropriate strategies that will further increase the airline ...
Question 1
a) Information Systems for an Airline: Airline industry has been utilizing the merits of computer based information systems to provide a better class of service for its customers, since the 1970s. These industries had invested a lot in transaction processing systems and management information systems since then. Even though decision support information systems is still at its infancy in Airline industry, latest studies have revealed their importance in fixing business related parameters of Airlines (such as Airfares) in improving their business value without making unnecessary compromises in profits . Integration of decision support systems with either of the aforementioned information ...
Introduction and Background of Organization
JetBlue Airlines was founded in 1998 by the former executives of the Southwest Airlines led by David Neeleman. The company specializes in the low-cost travel, but it is very different from the other competitors, because it was able “to bring humanity back to air travel” (Dess, Eisner, McNamara, 2012, p. 148). In particular, the company offers in-flight customer service; the booking and check-in systems are user-friendly, and the multiple routes and low flight fares provide JetBlue with the strong competitive advantage. However, the quick growth in the 2000s meant being exposed to many risks that existed in the external ...
Safety of the Airline Industry
The issue of safety in the airline industry is a major factor based on the federal aviation regulations. The safety precautions that the airline undertakes is critical in ensuring the safety of the passengers. The observation of the safety precautions is essential in having the people get the expected services. Evaluating the difference between the federal aviation regulations, specifically part 117 and 121 will be vital in assessing the effects of the precautionary measures taken in the management of safety issues while individuals are on board. Allowing operations of flights by medically approving the health of the people. With ...
Introduction
Passengers aged over fifty years often develop Deep Vein Thrombosis (DVT)during prolonged flights. The development of DVT among passengers is well documented but is not often experienced by pilots flying commercial aircraft; however, there are a few cases where pilots have developed DVT in the course of duty.The potential liability of airlines is much more expounded with respect to claims arising from injuries caused to passengers without any sort of monetary limitation. In order to address the problem and help balance the liability to a proper proportion, the Convention for the Unification of Certain Rules Relating to International ...
Executive summary 2
Introduction 3 Brand image of Lufthansa 6 Turkish Airlines brand image and reputation 18 Viral campaign from Miles and Smiles reward program 19 The viral advertisement campaign of KLM Airlines 22 Viral Christmas campaign of WestJet 24
References 26
Appendix A 28 Executive summary The purpose of this research is to investigate The Deutsche Lufthansa AG Company and how it can enhance its brand image by using the social media marketing. The case study is conducted based on the analysis of social media users of Lufthansa Company and the extent of popularity of airline companies on different social media networks. Furthermore, ...
ABSTRACT
Pilot uniforms, particularly in the commercial airline industry, conveys professionalism, competence, and experience. However, historically, uniforms started as a component of safety in aviation, which relied not just in their protective functions but as well in their capability to protect combat pilots from the natural elements of extreme heat and cold, particularly during the era of open cockpits. Protective flight clothing has evolved significantly through decades and even centuries. The sophisticated development in protected flight clothing, however, failed to influence adaption in the civil air transport industry. Using grounded theory through archival literature analysis, the Capstone Project revealed advantages ...
An overview of the firm and its primary function
Southwest Airlines Co. is one of the major airline companies in the USA. Currently, it is the world's largest low-cost carrier. The company has its headquarters in Dallas, Texas. Herb Kelleher established the firm in 1967 (Southwest, n.d). The name Southwest Airlines was adopted in 1971. By the end of the 2014/15 fiscal year, the company had approximately 50,000 employees. Furthermore, the firm operates over 3800 flights in a single day. The company carries most of the domestic airline passengers in the USA. By 2016, the airline company had scheduled services to at least 97 destinations including overseas ...
Introduction
The growing competition in airline industry has made profit a more fleeting pursuit, particularly during economic crises. To adapt to price hikes, established and startup airlines scale up or down service offerings onboard or on ground. This adjustment could be in restructuring seat offerings, club memberships or onboard or ground amenities. For current purposes, focus is laid on restructuring seat offerings. To "entice" flyers into more mileage spending, major airlines have been engaging customers in a broad range of loyalty programs all aimed at boosting sales of seat offerings in different classes. One most interesting development in seating upgrades ...
The business environment is witnessing multiple changes, and that calls for constant innovations in every enterprise to ensure that they can stay in line with the shifting dimensions. Technology is one of the most influential forces in the market with various implementations providing each company with an opportunity for better performance. The airline industry has evolved since the beginning and requiring innovations in the business models to keep up with the changing trends (Marques, 2015). Various factors influence the performance of air travel companies, most of them deriving from the conditions in other market aspects. For example, movements in ...
Business Strategy Class Project
JetBlue Airways Company is a low-cost airline based in the United States. The airline was founded in the year 1998, and developed to become among the top 11 best players in the industry within a short period of six years. Together with Southwest airline, JetBlue managed to realize profits in the aftermath of the attacks in World Trade Center on September 11, 2001. Other players in the airline industry experienced losses as there was a decline in their overall operations in the market. The core strategy of JetBlue airline was to lower costs mainly by use of smaller and ...
1.0 Introduction Operating in a constantly changing business environment is a challenging task. Therefore, those organizations are most likely to develop and expand that take strategic initiative and avail opportunities available to them. However, the expansion could be international or regional where decision is made on the basis of target market and competing regions. This paper overviews case of Southwest Airline and proposes a marketing plan for expansion in a new market. 2.0 Overview of South West Airlines South West Airlines is one of the largest low-cost airline in the world. The airline was founded on 1967 by Rollin ...
Should operational leases be involved in the accounting statements or should they be excluded; case study of an airline industry.
Introduction to research topic and main research question Significant restructuring of airline industries (such as Air China and Emirates) has brought along desirable increase in acquisition of aircrafts and other assets through leasing. The challenge at hand is whether the lease ought to be treated as an operating lease, a finance lease or should be excluded in the accounting all together. Throughout the airline industry internationally, the airlines comprehensively use operating leases for engines, aircraft, fly facilities and airport facilities. Operating leases is a form of off-balance sheet financing because traditionally the accounting standards did not require entities to ...
Net receipts
When the exchange rate is GBP1 = EUR1.37
Option 1: Forward contract
We subtract the forward points from the spot rates since the bid forward point is greater than ask forward points. Beck Plc. will have 8.5 million euros hence it will buy British pounds at the ask rate. Amount receivable = 8,500,0001.4047 = GBP 6,051,114.11 Net amount received = amount receivable – forward contract cost/premium = 6,051,114.11 – 0 = GBP 6,051,114.11
Option 2: Option hedge
We use a put option since it is a receivable. The spot rate is more favourable than the exercise rate hence Beck Plc. will not exercise the option. Amount receivable = ...