Business presentation huyen nguyen

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Business presentation huyen nguyen

  1. 1. What will you do if you have 7 million US dollars? Build and run a new hotel? Or Open a new Casino?
  2. 2. What a CEO of a small airline will consider when he has this money in hand?
  3. 3. Global alliance trends in aviation industry 33% 67% Alliance members share of capacity Others Alliance member 14% 86% Share of airline numbers Alliance members Others Source: CAPA – Centre for Aviation and Innovata for the week commencing 16 Sep 2013
  4. 4. Worldwide network coverage Star 1328 destinations (195 countries) 28 members Skyteam 1024 destinations (178 countries) 19 members Oneworld 841 destinations (157 countries) 15 members
  5. 5. Seamless policy Common products - Common lounge - Common check-in area Common branding and marketing strategies
  6. 6. Having FFPs multilaterally Attract corporate travelers Loyalty power Extensive access to key domestic markets Setup strategic Joint-venture cooperation with alliance member Legal restriction
  7. 7. The potential risk of global alliance It is costly (membership fee, system changes to meet requirement) Offer not seamless (in term of product, booking changes, handling irregular flights) Commercial conflicts of interest among different status members
  8. 8. How to tackle these risks • Choose alliance fit your strategic network • Customize and strengthen bilateral cooperation within alliance • Setup strategic group of small airlines with common benefits to have
  9. 9. References • http://www.skyteam.com/ • http://centreforaviation.com/analysis/airlines-in-transition-part-2- where-are-smaller-airlines-in-the-new-partnership-world-105500 • http://centreforaviation.com/profiles/alliances/ • http://www.staralliance.com/en/about/member_airlines/ • http://centreforaviation.com/analysis/global-airline-alliances- transformed-by-antitrust-immunity-but-confronted-by-uncertainty-- part-1-54369
  10. 10. Thank you!

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