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The Purpose of British Airways Essay
www.flyertalk.com www.britishairways.com
L01: Understanding the organisational purposes of business
Task 1
1.1a:
The British Airways background:
British Airways came into existence since civil aviation began shortly after World War I. A lot has
changed in the 90 years from the world's first schedule air service on 25 August 1919 to the present
day civil air travel. Every 10 years since civil aviation began. The world has seen changes in the
types of planes that have been in service to the speed of sound air travel as well as developments
and changes to the business in all aspects of all areas. It is this that has paved the way that British
Airways do business and will carry on perfecting and tweaking its service so passengers ... Show
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This year we have mapped out a long–term vision for our business."
"It is to be the world's leading global premium airline" www.britishairways.com * "To expand
operations and focus on corporate responsibility and make it an important part of the organisation" *
"Be the airline of choice for longhaul premium customers" * "Deliver an outstanding service for
customers at every touch point" * "Grow our presence in key global cities" * "Build on our leading
position in London" * "Meet our customers' needs and improve margins through new revenue
streams" www.britishairways.com What type of sector is British Airways in:
British Airways is a Public Limited Company (PLC), it has many shareholders and is a private
company. British Airways is owned by a group of shareholders and the majority of shares belongs to
eight shareholders from Invesco Perpetual who own 60.12% of the shares which makes them the
largest shareholders into British Airways www.uk.answers.yahoo.com www.uk.ask.com
www.investing.businessweek.com www.answers.com How has change within the industry affected
British Airways?
* Reducing aviation emissions based on carbon trading that is applied equally to all airlines, referred
to as a Global Sectoral
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North American and European Airline Industry Essay
North American and European Airline Industry
INTRODUCTION
The Airline industry is one of the world's largest industries generating over $300 billion in revenues
in 2001 alone and additionally has the second highest industrial growth rate, after the computer
industry, with typical growth rates of 3–5% per annum over the last 20 years (Humphreys, 2003; BA
Fact book, 2002).
For the purpose of this assignment, freight/cargo airline activities will not be considered as freight
travel consists of only 2 % of total airline activity (see figure 3.1 and appendix 1) (BA Fact book,
2002,
ICAO, 2003). Furthermore, due to the nature of the airline industry and the Asian market being a lot
smaller and internally focused, we
will ... Show more content on Helpwriting.net ...
This has had significant implications for an industry which relies on these passengers for
approximately two thirds of its revenue (Economist, 2001). The reduction in business passenger
numbers has resulted not only in adding to the already existing overcapacity problem but also in
increasing competitive pressures, the resultant effect being a persistent downtrend in airfares. In
fact, after adjusting for inflation airline revenues per passenger kilometre are about half the level of
30 years ago (BA Fact Book, 2002). The birth of the low cost carriers and the increasing market
share they have acquired has further exacerbated this downward trend as passengers become more
price sensitive.
1.2 Political Forces facing the airline industry
The airline industry is also very much in the political frontline (see figure 1.1). The implications of
terrorism for the industry are evident from the statistics – 2001 was only the second year in the
history of modern civil aviation in which international air traffic declined (IATA, 2002) and,
although air traffic has since improved, it is nevertheless still below pre–September 11 levels.
Furthermore, the knock on effects it has had in other areas of the industry, most notably the
vertiginous rise in the cost of insurance and security, has further added to the economic woes of the
industry. Since the attacks insurance companies immediately increased insurance premiums and
reduced
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What Are American Airlines Competitive Strategy
Introduction In 1934, American Airlines, was founded and later incorporated in October of 1982. In
2013 American merged with US Airways. Together they serve more than 350 cities in over 50
countries and operate a fleet of approximately 900 aircraft. American Airlines is also members of
oneworld alliance. The oneworld alliance group fly to more than 1,000 destinations around the
world. In addition to their passenger service, American operates Air Cargo services. They are one of
the few airlines carriers that operate both passenger and cargo services. American offers an
AAdvantage frequent flyer program.
American vision is called Flight Plan 2020. Within the flight plan there are 5 tenets that American
strive to achieve success. They are to invest wisely, earn customer loyalty, strengthen and defend our
global network, be a good place for good people and fly profitably (Corporate Responsibility, 2015).
By achieving success in the tenets American can stay profitable and obtain the respect and approval
of the customer.
Customers/Competition/Substitutes/Suppliers.
All consumers are potential customers to American Airlines. American Airlines has had to compete
with all airlines. Their top competitor is Delta. American measure themselves against Delta, United
and Southwest when it comes to on–time arrivals, baggage and customer satisfaction. Customers are
constantly looking for a deal so they use all avenues that are available to them when looking for the
best airline
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Qantas Report
TABLE OF CONTENTS
Contents
EXECUTIVE SUMMARY 2
COMPANY BACKGROUND 3
EXTERNAL ANALYSIS 4
REMOTE ENVIRONMENT ANALYSIS 5
INDUSTRY ANALYSIS 7
COMPETITIVE ANALYSIS 12
INTERNAL ANALYSIS 13
STRATEGIC GAPS 15
STRATEGIC OPTIONS AVAILABLE 17
RECOMMENDED STRATEGY 21
IMPLEMENTATION PLAN 22
CONCLUSION 23
REFERENCES 24
APPENDIX 1 – Income Statement 25
APPENDIX 2 – Balance Sheet 26
EXECUTIVE SUMMARY
The passenger airline industry is very mature and competition has forced many airline companies to
reduce prices in order to utilise capacity. A remote analysis and industry analysis was carried out
showing that the industry's growth and profitability will be low.
Qantas will have to make use of ... Show more content on Helpwriting.net ...
Owing to the global financial crisis and the prolonged economic slowdown, Qantas's 2009 annual
report shows a subdued financial performance – revenue of $14.6 billion, 6.9% drop from 2008;
profit before tax of $181 million, a sharp decline of 87.1%; earnings per share of 5.6 cents as
opposed to 49 cents in 2008; operating cash flow of $1.1 billion, 46.9% fell down from 2008
Despite this extremely challenging operating environment, the Qantas Group maintained its
operational excellence by its broad scale, deep experience and exceptional human resource. In 2009,
Qantas had achieved 334,000 flights over 530 million kilometres. It carried 38 million passengers
and prepared 36 million meals. Frequent flyer points of 18% more were redeemed; 575,000 tonnes
of freight were handled and 490,000 engineering tasks were undertaken.
EXTERNAL ANALYSIS
A remote environment analysis and Industry environment analysis has been carried out for Qantas.
As 80% of the total group's revenue is "Passenger Revenue" and it operates in both Australia and
overseas, the industry has been defined as domestic and international passenger airline industry.
REMOTE ENVIRONMENT ANALYSIS
ECONOMIC
Many industries in the world were affected by the global financial crisis in 2008. Consumer
spending decreased because of the financial downturn. The impact of the financial crisis on the
airline industry is high and negative. Passengers
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Case Study Of Star Alliance
Executive summary
Since the 1990s the alliances in the airline industries is common and there are three major airline
alliances which are present in the world are OneWorld, SkyTeam and Star Alliance. These alliances
of airlines have covered almost two third of world air traffic industry and the major contribution in
this is Star Alliance. The strategic alliances on the part of the airlines are done because of many
advantages which not only organizations reap but also the other stakeholders which are involved in
this type of alliances. This research paper is evaluation of why the strategic alliances are important
and why the organizations go into the strategic alliances the case study of star alliance was taken as
the reference and the circumstances ... Show more content on Helpwriting.net ...
Learning, specialization and fix cost distribution can spread over larger output with economies of
scales (Albers, Koch and Ruff, 2005). Three strategies were opted as motivation by the airlines to
create an alliance (i) mergers and acquisitions, (ii) setting up low–cost carriers and (iii) air alliances.
Air alliance was considered as the most sustainable strategy by the Star airline. Through the
strategic alliance, the airline had an opportunity to expand and become large but at the same time
they can lower their cost by creating the competitive advantage that is why Start Alliance opted for
this option (Cojohari, 2015).
2.2 Marketing and Branding
Airline behavior could not be explained effectively with changing cost structure. In the bottom line
of any alliance marketing strategies and demand response are important. With Star Alliance, the
airline can offer their consumers large and denser global network of airlines with smooth
connections among airlines. Airlines have demands with competitive prices in Star Alliance due to
economies of scope, scale and density. In Star Alliance partners are able to offer better products and
services due to airlines increased capacity to retain and generate passengers (Cullen, Johnson and
Sakano, 2000).
2.3 Financial
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Case Study Of Qantas
In this long operation period, Qantas constantly developed and improved so as to achieved some
achievement and earn good reputation. For example, in 2012, it got different awards about
entertainment facilities, the best first class and business class within 10. In addition, it was the best
safety airline in the world from Airline Ratings in 2013. These good growth can lead Qantas come
into a good situation and bring more passengers.
1.4 Affecting future strategy choice
Qantas got a lot of awards in past years, especially in safety aspect. Therefore, flying safety may be
kept focus in future strategy. Also, the service in different classes could be maintained or made
better in order to retain the reputation.
1.5 Mission
According to Qantas Fact Files (2010, p.5), the mission of Qantas is to "operate ... Show more
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Giving Make–A–Wish Australia as an example, it is an international charity whose mission is to
give hope and pleasure to children and teenagers whom are with life–threating disease. Qantas
donates money to support and help these kinds of people to find hope as well as enrich their life.
This aspect proved Qantas concern on people. It wants to provide help on Australia's people,
therefore; it can provide good service to passengers.
Environment is one of the topics it concerns as well. Pollution is inevitably to produce when there is
flying. However, Qantas still wants to try its best to reduce the pollution problem. For example, it
joins energy saving program, waste recycling as well as Fly Carbon Neutral Program to reduce the
pollution problem that it bring.
Apart from community, people and environment aspect, Qantas also sponsor on arts and sports
areas. It sponsors on Sydney Theatre Company, The Australian Ballet, The Museum of Old and New
Art and so on. Also, competitive spirit is one of the Australia Spirit. Australian Paralympic
Committee is one of
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Airways Mission Statement
HISTORY:
Qatar Airways is one of the youngest global airlines but have a high quality of service. It is one of
the Qatar state–owned flag carriers. Its headquartered is in Doha, which is the capital of Qatar. The
parent Company of Qatar Airways should be the government of Qatar. The airline operates as a hub–
and–spoke network, serve all six continents, and link over 150 international destinations. According
to the media release "The Qatar Airways Story", the airway was a small regional carrier when it
began to operate in 1994. After the airline re–launched in 1997, it now has become one of the fastest
growing airlines through the history. Then, 14 years after Qatar Airways re–launched, it being
named Airline of the Year 2011, 2012, and 2015. Nowadays, the airways have become one of the
Oneworld members and become one of the leading airlines (1).
MISSION, VISION, AND GOAL: The mission statement of Qatar Airways is "5 start airline", and
"we do everything excellence". In order to achieve this mission statement, they need to focus on
their customer, commitment to people and have cultural awareness.
Their vision is "to become a world–class air cargo service provider with global reach", and they
believe that to achieve this vision, they need to focus on their working quality, reliability, and
world–class network (QR Cargo).
Qatar Airline's goal is making the airline become the customer's choice, offering the flight that
customers want, and flying to the destination the
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Qantas Swot Analysis Essay
SWOT Analysis
Strength
Improving Margins: As economic showing a significant progress, Qantas margins are also
improving.
Diversified Business :
Qantas range of subsidiary business operates in different sector but all of them supporting airlines
industry's activity, such as catering, baggage handling and engineer. This also helped them to control
supplier and aircraft maintenance cost.
Oneworld Alliance
Oneworld Alliance is a management company founded by Qantas, American Airlines, British
Airways, Canadian Airlines and Cathay Pacific. Purpose of this centralized management company is
to helping each other with non‐core business activity such as marketing, engineering/maintenance,
and online ticketing to reduce cost thus give ... Show more content on Helpwriting.net ...
Entering New Markets of low‐budget airlines with potential huge customer.
Introduction of A380 :
The world's biggest jumbo jet is an attraction of its own. It offers an ultimate comfort for passenger
especially during long haul flight. Airbus A380 still excited people and plenty of customer chose
Qantas for an experience of flying in world's largest, luxurious and technologically advanced
aircraft.
Threat
Consolidation in Airline Industry
Long haul route between Australia and United States is Qantas' second‐most important international
market. It's now come under threat since the merger between United Airlines and Continental to
form world's largest airline. United Airlines‐Continental now aiming Australia market,
Volatility in Fuel Prices
Oil price instability in 2008 resulted in sky rocketed airline tickets. Together with global economic
crisis, airlines were in the next in line of collapsed list. Qantas survived by slashed numbers of its
employee, but numerous worlds' major airlines were not so lucky.
Shrinking Aviation Industry
Aviation industry got hit real hard as a result of global financial crisis. Nov '08 IATA' traffic data
showed a 4.6% drop in international passenger traffic and 13.5% drop in international cargo and
stated that the worldwide aviation industry "shrinking by all measures". During this hard time,
Qantas made a
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Alliances in the Airline Industry Essay
Executive Summary
Throughout the years there has been an increase in strategic alliance formation in order to combat a
number of factors creating uncertainty in the market and to share knowledge and know–how. The
formation of alliances has also occurred in the Airline industry; this report discussed how these
alliances gain economies of scales and synergies. The deregulation of the airline industry has open
doors to more competition sand to further agreements such as the "open skies", these agreements
allows airlines to serve consumers more efficiently by offering extensive domestic, continental and
intercontinental service networks.
Through the formation of alliances, airlines have created economies of scale through extensive use
of a ... Show more content on Helpwriting.net ...
'Open skies' opened possibilities for airlines to serve consumers more efficiently by offering
extensive domestic, continental and intercontinental service networks. Deregulation has made
positive changes in the airline industry by expanding a network of services where a consumer can
choose a variety of desired destinations with just one airline. Increased traffic feed between partners
has helped to effectively utilize seat capacity and increase flight frequency. Alliance partners
reduced operational and ticket costs by taking advantages from economies of scale and scope.
Improved service quality was achieved through more coordinated time schedules and increased
itinerary choices for passengers (Bennett, 1997).
Deregulation Effects
On Safety
Safety is the most important aspect of product quality for the consumer and unlike with other simply
distinguishable products a flight safety is very difficult to observe or evaluate. In order to rectify the
issue Federal Aviation Administration (FAA) substantially tightened safety requirements from a very
beginning of deregulation. FAA has tightened requirements for pilot qualifications, crew training
and increased maintenance requirements for large commuter aircrafts. All the safety precautions had
a positive impact reducing more then half of accidents. Aircraft manufacturers purchased a complete
accident indemnity before the actual
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The Impact of Globalization on Qantas Airlines Marketing...
Globalisation is having a significant impact on marketing. This is because a business, by distributing
itself across international borders makes its product more readily available to international
customers and creates employment opportunities in the country it has moved to. To understand the
impacts, globalisation, marketing (particularly market segmentation), global marketing strategies
and general history of Qantas need to be examined.
Qantas is the oldest airline in the English speaking world. It was founded by the three aviation
pioneers Hudson Fysh, Paul McGinness and Fergus McMaster as the Queensland and Northern
Territory Aerial Service in 1920 and has grown from one aircraft which offered air taxi services and
joyrides to a ... Show more content on Helpwriting.net ...
Qantas' situational analysis (SWOT) is the first step in the marketing process whereby the strengths,
weaknesses, opportunities and threats of the airline are identified. The airline's strengths include:
Being part of the Oneworld alliance, having a high safety record, being a globally recognised airline
through the use of branding and the flying kangaroo logo, purchasing the latest aircraft thus
updating technology and staying level with international competitors and the final strong success of
Qantas has come by operating out of some of the world's major air travel hubs such as Los Angeles
International Airport, London's Heathrow Airport, Singapore's Changi Airport and Sydney
Kingsford Smith International providing an excellent range of customers.
Qantas' main weaknesses come from the high risk nature of airlines (possibility of crashes and large
scale incidents), the complexity of the aircraft they buy which could lead to costs of re–training
pilots to fly that particular aircraft and may lead to higher labour and the recent string of incidents
have undoubtedly hindered Qantas' image. One of the most recent incidents occurred while a
reasonably new Qantas A380 was flying from Singapore to Sydney when it experienced engine and
hydraulic problems forcing it to hastily turn back and make an emergency landing in Singapore.
This
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Essay on American Airlines
Table of Contents
Abstract 3
Situation Analysis 3
Strengths, Weaknesses, Threats, and Opportunities 4
Re–Branding 6
Pricing Strategy 8
Service Marketers 9
Future 12
Summary 12
References 13
Abstract
In this case study we will review the new strategic business plan of American Airlines, and how they
are responding to changes in the marketplace to compete in the modern era. We will also analyze the
advantages of rebranding efforts, the effectiveness of existing practices of the airline and how the
airline may operate post merger with US Airways. By some measurements, the merger between
American Airlines and US Airways will create the largest company in the world, thus positioning
American Airlines to potentially become the most ... Show more content on Helpwriting.net ...
A smaller airline is simple and can easily adapt to change. Smaller airlines field similar aircraft for
interchangeability of maintenance workers and crew, they can quickly upgrade aircraft and they can
easily adjust management, directly address minor issues and quickly respond to changes in the
market place. While at a larger airline, bureaucracy slows these efforts, lengthily logistical and
environmental issues prolong the change process, what takes months for small airlines to adopt may
take years for a large airline. In my time in the military I learnt a school of thought called the tenants
of guerrilla warfare, I find it very similar to this circumstance (if they're big and you're small, then
you're mobile and they're slow, you're hidden and they're exposed etc etc). The threat of growing too
large is a known issue that airlines like Southwest avoid by utilizing careful growth in their business
plan.
This new growth presents American Airlines to a new pool of customers, the untapped international
community that has little knowledge of American Airlines and with the recent disasters of Air Asia
and Malaysian Airlines the safety record of American is an advertising point that any flyer will greet
with open arms. A complex marketing mix must be researched before entering a foreign market to
ensure conditions like lifestyles, consumer behavior and political/legal environments can grant
competitive position in the local market. (Peter
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Case Study Of Iberia
Iberia was founded in 1927 by Spanish entrepreneur and later nationalized in 1944. In 1990 Iberia
decided to define a growth strategy focused on the Latin American market, and anticipating to the
de–regularization of the airline market bought stakes in several South American airlines. Iberia had
previously been interested in this market, for instance it was the first airline to fly between Europe
and South America after the WWII.
However this strategy resulted in a tremendous failure, with losses of thousands of million pesetas,
in 1994 the company had to get rescued from the Government after entering in technical bankruptcy.
As a consequence it started a process of readjustment of the company, building on two mayor
pillars: the exit of their investments in Latin America and the privatization of the company.
In 2001, Iberia concluded its privatization process, ... Show more content on Helpwriting.net ...
In 1991 the deal is finally carried out, and Iberia acquires the 30% of AA, while the Argentinian
state kept 5% of the company . The Argentinean state assumed the debt of the company, the
acquisition price Iberia paid was $260 million in cash and 1610 million in Government Bonds for
the acquisition.
In 1992 Aerolineas Argentinas was almost bankrupt and the Argentinean government rescued the
company acquiring 43% of the company and increasing equity. In 1994 however the company is
again financially unstable, requiring a new round of capital increase ascending to $500 million, the
operation results in Iberia keeping 85% of the shares.
In 2001 Aerolineas Argentinas was living its worst time in history and enters in bankruptcy, with
Iberia holding 93% of the company. Iberia therefore takes the decision to sell the company to
Marsans for $1 and SEPI (State agency) disbursed the amount of $300 million to liquidate the debt
of the airline
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Case Study: Finnair
Company introduction
Finnair PLC is the flag carrier and the largest airline of Finland and was founded in 1923. It's main
hub and headquarter is in Helsinki, Finland. Finnair and its subsidiaries dominate both domestic and
international air travel markets within Finland. Finnair is part of Oneworld airline Alliance. The
largest shareholder is Finland's government with 55.8 percent of the shares. Finnair's turnover is 2
billion Euros with ongoing growth in 2011 of 10 percent. Finnair has 7 million passengers per year
and Skytrax has ranked it as a 4 star airline. Finnair's strategy relies on exploiting sustainable
geographical advantage; providing the shortest route between Europe and Asia via Helsinki.
Finnair had 9,500 employees in 2011. ... Show more content on Helpwriting.net ...
The new CRM integrates past data with customer–centric reports that act as decision support system
and helps to understand sales trends, impact of promotions and pattern usage.
Conclusions
Finnair is organized around the needs of its customers. A key strategic focus for Finnair is customer
satisfaction. Finnair's services is created with customers in mind. In developing its value
proposition, Finnair builds on its efficient and punctual operations. For Finnair to continue to serve
existing customers and to cultivate new ones, Finnair must always be alert to external changes in the
market and to larger trends. A successful service company is one that listens to its customers and to
the marketplace at large.
Finnair should also investment more on CRM tools. They should use information collected from
customers to direct appropriate and personalized messages to them. Directing personalized messages
or promotions to Finnair's customers will make them feel special and will ultimately increase
Finnair's customer
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Strengths And Weaknesses Of American Airlines
American Airlines is one of the major American airlines who serves nearly 50 countries globally and
also a member of the one world global alliance. The airline corporate headquarters are in Fort
Worth, Texas. Over the years the airline expanded through the union or merger of 85 companies.
Robertson Aircraft Corporation and Colonial Air Transport were the core of the foundation of this
company. In 1921, Robert Aircraft organized first in Missouri as a general manufacturer and flying
service who flew its first mail route on April 15, 1926 between Chicago and St. Louis, Missouri.
The first flight flown by pilot Charles A. Lindbergh. A charter, Colonial Air called Bee Line formed
in 1923, flew mail between New York City and Boston which began on ... Show more content on
Helpwriting.net ...
Good hubs, loyalty programs, strong brand image, the largest airline fleet, good maintenance and
infrastructure standard, are just to name a few. The regions dominant U.S. carrier came along with
the company's innovative mind to buy routes that encourages spreading hubs in the most tourist
attracted places. As hubs increase rewards become broader redeeming meaningful awards as you fly
across the globe with American. American Airlines AAdvantage program awards miles and Elite
Qualifying Dollars for every airline affiliated with the oneworld alliance. The many relationships
with numerous car rental companies, hotel brands and cruise lines is what set them above the rest.
Along with captivating that title they spread their brand image strongly from terminal kiosks,
interior seats and logo to website along with the plane's finish. The company recently redesigned
their logo taking a turn from an American image moving towards the American spirit. The reason
behind the change was being a global flight servicer the old logo based on just American but also
still portraying America without becoming blindly patriotic. There's over 959 planes in service and
247 on back order bringing the company to the largest operator of aircraft in the world. It operates
the A321 aircraft which is the largest fleet but not being limited they operate the A319 fleet, Boeing
737 Next Generation, and much more. Furthermore, increasing the amount of passengers carried
increasing the amount of revenue created for the company's
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Qantas Strat Mgt
1.0 Introduction
The Australian domestic airlines industry operations usually consist of transportation of freight and
passengers domestically (IBISWORLD, 2010). The industry has been experiencing slightly negative
annual revenue growth of negative 0.4% for the past five years (IBISWorld, 2010). The domestic
airlines industry consist of two major players such as Qantas Airways and Virgin Blue, and three
minor players such as Regional Express, Skywest and Tiger Airways (IBISWorld, 2010).
2.0 External Analysis
External analysis is used to analyze the external environment of an organization to identify any
threats and opportunities, which is part of SWOT (Hill, Jones Galvin & Haidar, 2007). This part of
the essay will be looking at what ... Show more content on Helpwriting.net ...
The reason behind this is Qantas's diverse flight operation of 142 destinations and its access to huge
customer base (Datamonitor, 2007).
3.2 Weakness
Over dependence on domestic market with over 70% of its revenue generated domestically
(Datamonitor, 2007). With the Australian market not expected to grow Qantas would have problems
with its sales in the future.
4.0 Strategies
There are three levels of strategies business, functional and corporate level strategies each are used
by organization to "survive and prosper in the fast changing and globlally competitive environment"
(Hill et al, 2007). Therefore to assist firms to create competitive advantage and distinctive
competency at an organization level (Hills et al, 2007). This part of the essay will be looking at what
changes did Qantas implement to help them stay profitable and competitively advantages.
4.1 Cost–Leadership Strategy
Cost leadership strategy is used by firms to surpass their competitors by reducing their cost from
production of goods or services and is part of the business level strategy (Hills et al, 2007). There
are four factors that influence a company's ability to build and sustain a competitive advantage:
efficiency, quality, innovation and responsiveness to customers. These factors allow a company to
(1) differentiate its product offering to create greater perceived customer value and (2) lower its cost
structure, which will then build a competitive
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British Airways Case Study
Problem Statement: In order to survive in the competitive market, British Airways (BA) and Iberia
merged in 2010. Apart from pension deficit, British Airways also needed to deal with the decreasing
customer satisfaction. Therefore, they decided to implement total quality management (TQM) to
survive both short and long–term on the global market. To examine the existing quality issues and
problems within this airline company, they conducted surveys which were distributed to customers
and the supplying area. In addition, the quality manager was asked to assess how much time did the
staffs devoted to quality related activities. Before the implementation of TQM, their profits had
declined in the period of 2008 and early. However, their turn overrates increased 23% and the profits
increased from £–425million (profit/loss after tax) to £ 281 million (profit/loss after tax) from 2010
to 2013. (Madar, 2015)
British Airways Overview:
British Airways is currently the largest international scheduled airline in the United Kingdom. It was
a founding member of the Oneworld alliance with Cathy Pacific, American Airlines, and Qantas.
This British air transport company was formed in 1974, merging from two nationalized airline
corporations, British Overseas Airways Corporation and British European Airways, plus two
regional airline companies, Cambrian Airways, and Northeast Airlines. After being a state–owned
airline company for the following thirteen years, it was privatized in
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Qantas strategies Analysis
Criterion
Maximum Mark
Your mark
Research and analysis of company information
5.0
4.0
Considerations of constraints impacting organisational strategy
5.0
3.75
Application of relevant theories of strategy
5.0
3.75
Development of argument and applied critical thought
5.0
4.0
Written communication & referencing
5.0
3.25
Total marks
/25
18.75
EXECUTIVE SUMMARY
The report has discussesd and appliesd theoretical concepts and principles of strategic management
into analyzing the environment context where to Qantas Airways Limited operates.
It shows that, Qantas has a long history and sustainable development but needs to evolve in the
global world. ization context, the company has to continue ... Show more content on Helpwriting.net
...

In 2012, Qantas carries a 44.6% shares of the Australian domestic market and 18% of all passengers
travelling in and out of Australia while the respective market segments for Jetstar are 20,7% and 8%.
The chart below compares the top 10 international airlines.
Figure 1: Top 10 international airlines in Australia
(Source: ANNA– Airlines Network News and Analysis, 2010) 
2.2. Resources and capabilities
– Tangible resources: Establisheding in 1920, Qantas Group has grown gradually and remain one of
the largest and strongest in Australian airways industry. During the last 5 recently years, Qantas has
steadily expanded its operations by increasing number of aircrafts, passengers, employees and
destinations all over the world. Its development can be demonstrated as data below:
Figure 2: Qantas's resources from 2008–2012  (Adopted from Qantas data book 2012, see
Appendix)
Qantas's total asset increased from $19.7 billion in 2008 to $21.1 billion in 2012. More than half of
its assets are from property, plant and equipment which book value at $14.13m at the end of
FY2012. Intangible assets values at $610,000. 
At the end of FY2012, the corporation had a cash balance of $3.4 billion, and 308 aircrafts from
three main suppliers Airbus, Boeing and Bombardiers. The Group has 12 Airbus A380, 30 Airbus
A330, 60 Boeing B737, 36 Boeing B747 and 46 Bombardiers. 
– Intangible resources:
Qantas has a strong reputation for long history
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Qantas Ailines And The Aviation Development Of Australia
Qantas ailines has built a reputation for its excellence in safety, engineering, operational reliability
and customer service. In the moderan era, this Airline is considered as a one of the biggest oldest
airline in Australia.
Vision of Qantas
Safety is our first priority.
Passionate staff deliver extraordinary experience to the customers.
Best loyalty programs for our customers.
Innovative leverage of partners
Have discipline approach for the capital management
In this Assignment we will have Little knowledge about the Qantas Ailines, its stakholders and the
air ticketing system Qantas use for its services.
History
The history of Qantas is inextricably attached with the civil aviation development of Australia but it
is a ... Show more content on Helpwriting.net ...
There are always many challenges for any business company like safe operations and product
standards. Qantas has also good jet service which is beneficial for the country or world.
Stakeholders
A stakeholder can be beneficial or can become a reason of failure for any business so it is very
important to select and understand a stakeholder carefully. If these internal and external stakeholders
will not work together than Qantas airline service can face many difficulties.
The stakeholders in the following table who has high or low impact in this company are:
Stakeholder table
Stakeholder Interest Impact Priority influence
Employees(Internal)
Leading leaders
Diversity
Superior engagement High 1 High Culture of recognition
Government(External) Make sure the organisation manage business economically , High 1 High
benefits the country financially, abide the laws & regulations Sponsors
(external/internal) High profit, High 1 High Successful advertising(to attract customers or tourists),
achieve the most by the project, Prudent capital allocation ,
Sustainability and risk management Supplier getting more business, Low 2 Low (external) Making
sure the supplies are on time Customers High quality, High 1 Low World leading product offering
cheap price tickets (External) Innovation
Optimal network
Engineers System responsibility
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Benchmarking Essay
Benchmarking: A Quantitative and Qualitative Look at Southwest Airlines and British Airways In
today 's competitive marketplace, all firms are seeking ways to improve their overall performance.
One such method of improvement, recently adopted by many firms, is benchmarking.
Benchmarking is a technique used to evaluate internal business processes. "In this analysis,
managers determine the firm 's critical processes and outputs, baseline those processes, then
compare the performance of each process against a standard outside the industry" (Bounds, Yorks,
Adams, & Ranney 1994). To effectively improve a business process to world–class quality,
managers must find a firm that is recognized as a global leader, not just the industry ... Show more
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These processes are not performed in isolation. The end result relies heavily on the satisfactory
completion of all processes and the communication of all functional areas involved. By viewing
these processes as a whole, management can identify process inefficiencies. These inefficiencies
may include delays or queuing at process bottlenecks, lack of control or checking, or places
responsibility for process activities is not clear. The Total Quality Management model is limited in
its scope of improvement. Total Quality Management establishes targets for performance rather than
focusing on continuous improvement. This perspective is to narrow because it fails to consider the
overall improvement process. To be effective, management must incorporate all aspects of the
business into a dynamic improvement process. The fourth key to benchmarking is systematic
external benchmarking. Once management has realized the importance of internal business
processes and world–best practices, it is their responsibility to combine these two themes.
Management must systematically examine its internal practices and performance in comparison to
external benchmarks. The last key is benchmarking as a survival technique. It may effectively save a
business from declaring bankruptcy. However, benchmarking should be used in organizations
regardless of financial or economic status. Internal benchmarking is one of the most important
aspects of benchmarking.
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Discussion Surrounding Global Alliances Operating in the...
The international aviation industry is arguably one of the most competitive and cut–throat
businesses in the world today. Characterised by high revenue but notoriously thin profit margins,
modern international airlines are constantly searching for methods to gain advantages over their
competitors and attract new customers. One of these methods which has become popular since the
late 1990s is that of the global airline alliance. Today there are three major alliances in operation,
each containing different member airlines. These alliances offer airline customers various
advantages over travel with a traditional carrier. Nevertheless, these advantages have been criticised
by some as being anti–competitive, there are several examples of ... Show more content on
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Another major airline alliance operating today is the Oneworld alliance. Founded on 1 February
1999 by giants such as British Airways, Cathay Pacific, and Qantas, it has expanded to include
twelve member airlines, and has an additional twenty non–voting affiliate members, such as
QantasLink, subsidiary of Qantas, and Dragonair, subsidiary of Cathay Pacific. Oneworld also won
the Skytrax award for best airline alliance in 2010, and has won more international awards than the
other two main alliances (Oneworld, 2011). However, some may argue that the quantity of awards
received is irrelevant, and the awards by Skytrax are recognised by many as the leading airline
awards. Oneworld is also a useful alliance for New Zealand based travellers, as Qantas' membership
allows frequent travellers access to the benefits of this alliance.
Skyteam was the last of the three major airline alliances to be founded, in June 2000. According to
Rodrigue (2005), the Skyteam alliance holds 21 per cent of the market share, when measured by
traffic, making it the second largest airline alliance operating today, after Star Alliance but before
Oneworld. Skyteam is made up of airline heavyweights such as the merged Air France–KLM, in
addition to Delta Airlines, Korean Air, and China Southern Airlines. Whilst the Skyteam alliance is
large, it has also failed to secure any Skytrax airline alliance awards (Skytrax, 2011). This combined
with the fact that there are currently no
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Qantas Mission Statement
Description of Qantas:
November 16, 1920 Paul McGinness, Hudson Fysh, Fergus McMaster and Arthur Baird established
Qantas in Winton, Queensland. Qantas is an abbreviation for Queensland and Northern Territory
Aerial Services Limited. Today it is Australia's largest domestic and international airline and was
nationalised during 1947 after the Australian government purchased all shares in Qantas. Qantas is
currently considered to be the world's leading long distance airline and one of the most powerful
labels in Australia. Qantas is persistent in providing exceptional service to its customers and is at the
front line of the international civil aviation industry.
Services:
Although Qantas is fundamentally operating as a passenger airline, ... Show more content on
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Customer service is a valuable influence on quality. Qantas delivers the expectations of customers
by representing civil and accommodating staff members. Qantas has implemented a series of
operational strategies to enhance the speed of their service. These vary from booking flights online,
online check in, check in kiosks and Q Bag Tags. Dependability at Qantas is based on the
consistency of on–time departures and arrivals. Flexibility is relevant to Qantas' responses to the
changes in market demand. Flexibility is demonstrated through Jetstar's variable fare. Qantas offers
customisation through its participation in the Oneworld Alliance, where it can provide its services to
over 680 destinations in 134 countries. Qantas has worked on developing less costly and more
efficient opportunities for its consumers by launching new discount airlines: Jetstar and Jetstar
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Qantas Analysis : Qantas And Jetstar
Overview
Qantas was found as Queensland and Northern Territory Aerial Services Limited in Winton,
Queensland in 1920 (Qantas 2014). The company went through world wars and expanded
drastically since then and is the world's second oldest airline covering more than 180 destinations
including its code share partners. Since its privatisation in 1993, Qantas has become one of the most
well–known and profitable airline globally.
Qantas' main operation includes the transportation of customers domestically, regionally and
internationally through their airline brands – Qantas and Jetstar. Their subsidiary operations
comprise QantasLink, Qantas Freight Enterprises, Q Catering, Qantas Frequent Flyer and other
specialised businesses while employing over 33,000 employees. Locally, Qantas Link and Jetstar
operate over 5,000 flights weekly in all states, covering 56 regional and metropolitan destinations
(Qantas 2014).
The company's performance had been deteriorating over the past few years with the Underlying
Profit before Tax (PBT) Loss of A$646million in the financial year ended 30 June 2014, down from
the Underlying PBT Profit of A$552 in the financial year ended 30 June 2011. Qantas blamed the
increasing loss to growing market record fuel costs (Qantas 2014).
The landscape of Qantas globally is extremely competitive. As of 2010, there are 68 global airlines
with more than 10 million passengers globally which Qantas ranked 28th top airline serving most
passengers worldwide (OneWorld
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Essay on Qantas Case Study
QANTAS
CASE ANALYSIS REPORT
MARK ANTHONY ANDRIJCICH
STUDENT NUMBER – 10513924
MGMT3347 – STRATEGIC MANAGEMENT
SEMESTER 2, 2011
TUTORIAL 4 – MONDAYS, 15:00
ROOM BUSN:161 – THE CULLITY TUTORIAL ROOM
TUTOR – DOUG MOFFAT
INDIVIADUAL CASE ANALYSIS REPORT
TABLE OF CONTENTS
EXECUTIVE SUMMARY....................................................3
EXTERNAL ANALYSIS OF QANTAS..............................4 ––Industry ––General Environment
Analysis ––Six General Elements ––Demographic ––Economic ––Global ––Political/Legal ––
Socio–Cultural ––Technological
––The Industry Environment ––Michael Porter's 5 Forces That Shape Strategy ––Competitive
Environment
INTERNAL ANALYSIS OF ... Show more content on Helpwriting.net ...
It operates in the low–cost airline segment through Jetstar. It is also engaged in providing time
bound freight services. Other services offered by Qantas include international and domestic holiday
tours, catering, ground handling, and engineering and maintenance services. The company also
offers group flight training, and leverages its infrastructure and competency for operational training.
It also provides services for defense sector in aircraft and engine maintenance, among others. Qantas
is headquartered in Mascot, New South Wales, Australia (Qantas 2011b).
EXTERNAL ANALYSIS OF QANTAS
INDUSTRY
Qantas Airways Limited is in the airline and aviation industry–both domestic (Australian) and
international. Its main business is the transportation of passengers using two complementary airline
brands–Qantas and Jetstar (Qantas 2011a)
GENERAL ENVIRONMENT ANALYSIS
DEMOGRAPHIC
Growing Size of the Middle Class. The size of the middle class is growing globally and many of
them like to travel internationally as often as their work life and bank balance allows (Hanson
2010).
ECONOMIC
The Global Financial Crisis (GFC). The late–2000s financial crisis is considered by many
economists to be the worst financial crisis since the Great Depression of the 1930's (Reuters 2009).
The impact of the GFC on airlines has been severe, putting the industry in major trouble that may be
prolonged (Hanson 20011, p. 439; Qantas 2009).
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Cathay Pacific Pest Analysis Essay
Strategic Analysis of Cathay Pacific Airways Ltd.
1. Introduction
Cathay Pacific Airways Ltd. (hereafter as C.P.) was established in the 1940's in Hong Kong and has
been well–known as proficiency and security. Meanwhile, it remains notably dedicating on its
domestic market Hong Kong, besides, it will present other supplementary 72 brand–new aircraft by
2024 (Cathay Pacific Annual Report, 2015). There are maximum 33, 000 employees simultaneously
collaborate cross–broadly, and approximately 25,000 of them are in Hong Kong. It is on the list of
the program "The Stock Exchange of Hong Kong Limited", as Air China and Swire Pacific
represent a considerable proportion of its stocks. C.P. and its subsidiary Dragonair joint function 52
routes in Mainland China, they are both under the confederation of Oneworld to serve for surpassing
1,000 destinations (Cathay Pacific Annual Report, 2015).
In this report, the author will scrutinize C.P. through both internal and external circumstances,
categorize the two contemporary strategies and indicate an optimized strategy could be conceivably
optional to actualize its core competency.
2. External analysis
2.1 PEST analysis
Political
Chui in China Daily newspaper (2015) pointed out, in order to deliver the message of anti–China,
terrorists will deploy ... Show more content on Helpwriting.net ...
According to Cornwell and Reporter (2015), Qantas established an extra–large alliance with
Emirates, in mutual returns, Qantas has expanded beyond 70 new destinations; Emirates has been
capable of accessing approximately 50 settings in Australia. Further, SIA and C.P. had trapped into
the vicious discount campaign competition (Leo, 2014). In 2015, SIA had also formulated joint–
venture with Tata establishing Vistara in New Delhi and Mumbai in India (The Straits Times, 2015).
And SIA might implement the alliance strategy to strengthen its competency since it started with Air
New Zealand (Leo,
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Airline Alliance Advantages
Airline alliance can be defined as an agreement that consist of multiple independent airline to
partner up or collaborate in various streamline costs activities and expanding market penetration and
global reach (Hu, Caldentey, & Vulcano, 2013). Nowadays there is a lot of Airline Alliance in the
globe that serve in many different regions throughout the world with the purpose to expands each
existing airline in the alliance network by using the code–sharing, reciprocal agreements, frequent
flyers programme and many other more (Pitfield, 2007). Currently there are three main Airline
Alliance that consist of numerous number of airlines in each alliance. The Airline Alliance are
Skyteam, Oneworld, and Sky Alliances. As stated before each one of the alliance have the same
purpose which is code sharing, frequent flyers programme and many other more. The rise of the
airline alliances has given significant positive impacts towards the industry, passengers and the
airline itself. According to Pitfield (2007), the airline alliances give serious impact in term of
passenger traffic, market shares and concentration.
The rise of the airline alliance has given advantages and privileged to the airlines. Some of the
advantages of an airline that joined alliance, it will able the airline to use code sharing within the
alliance member itself. For example, the member of One World will cooperate with one another in
through extensive and even the frequent flyer programs (Fan, Langlois, Geissler,
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U.s Airways And American Airlines
On October 17, 2015, two of the largest airlines officially became one after two years of
negotiations. These negotiations came under great scrutiny, whilst pulling one airline out of Chapter
11 bankruptcy. Continuing to use the American Airlines name, U.S Airways and American Airlines
became the largest airline in the world. American Airlines was founded in the 1930's, under the
name of American Airways, after acquiring 80 small airline carriers (Koenig 2011), mainly used for
mail services. Charles Lindbergh was noted as flying the first American Airlines flight, which
carried mail from St. Louis, MO to Chicago, IL (American Airlines 2016). After nearly 10 year of
flying mail, the name was changed to American Airlines, and became the first airline to fly
passengers from New York to Chicago, in a Douglas DC–3; this was the "plane that changed the
entire airline industry, switching revenue sources from mail to passengers (American Airlines 2016).
American Airlines continued to revolutionize passenger flight service, by offering non–stop
transcontinental flights across the United States in 1953. In 1981, American Airlines joined other
major airlines in the hub–and–spoke system, and created their first hub at Dallas/Fort Worth
International Airport, the same location as their headquarters. They expanded to new hubs
throughout the 1980's to other cities throughout the United States, Europe and Japan. In a joint effort
to create an airline alliance, American Airlines
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British Airways
School of Management and Economics
Business Administration (FE3101/IB3101)
FE3101:1/IB3101:1
Basic Organization Theories Module
Paper – Fall 2009
Structural Perspective: British Airways
André Costa Choi Sin Man Jiyun Baek
0
1 – Introduction In different working fields, companies face the pressure of globalization, and they
must find new ways to overcome this challenge. The following example, introduces the case of
British Airways, which needs to deal with the globalization issue trying to reduce the operational
costs, increase profits and provide suitable services to customers. According to British Airways
annual report from 2008/2009, the airline carried more than 33 million passengers. It earned nearly
£9 billion in revenue, a ... Show more content on Helpwriting.net ...
The structural perspective aims to defeat lack of activity periods, doubts and dissatisfaction of
employees about their role in works and companies in order to make organizations achieve short and
long–run goals and results, increases their efficiency and maximize performance through
specialization and division of labor and suitable forms of coordination, control and working best
ways. Overall, the structure frame is the key element for profitable and sustainable organizations.
Organizations works best when rationality prevails and they are ready to anticipate and deal with
environment issues and other uncertainty problems. As mentioned, the main goal is create
coordinate, balance and efficiency organizations which can thrive for many profitable years.
Therefore, structure will work as a "blueprint" (Bolman and Deal, 2008) inside organizations. First
of all, it is not possible to take one structure as ideal, whereas the structures are different from
organization to organization, because each one has their own identity and strategy. Today, all of
them face pressures of globalization, competition and other environment pressures outside and
inside the organizations, therefore, organizations cross times where they have to "rethink" and
reconsider new approach, perhaps through restructuring. These restructuring pressures, conducted
by elements of the company environment should be considered as a main source of reaction to fight
the
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Cathay Pacific Essay
Body
Background information
Cathay Pacific, based in Hong Kong offers scheduled flights for passengers and cargo across 200
destinations in America, Australia, Asia, North America, Europe and Africa using a large fleet of
varying sizes of planes focusing on widebody passenger airplanes, specifically inside the medium
and small requirements set by Boeing. With 146 planes in their aircraft inventory, plus additional
planes through orders, Cathay has made many investments, in order to build up Hong Kong as a
global transport hub. As Cathay is one of the members of the oneworld alliance, they have member
airlines with airberlin, American Airlines, British Airways, Finnair, Iberia, Japan Airlines, LATAM
Airlines, Royal Jordanian, Sri Lankan Airlines, ... Show more content on Helpwriting.net ...
The focus of this was to look at the growth of the market as well and to replace them with newer
generations of aircraft for a more pleasant flight experience for its customers. The replacing planes
would be the A320/1 Neo as well as the Boeing 737 Max. however, Jamie Carter, Manager of
Aircraft Procurement & Trading at Cathay said that they would also look towards other options,
"including aircraft coming off lease".
This is a strategy that in September 2017, Cathay Pacific themselves announced that they would be
delaying the delivery of longer haul aircrafts, and will instead, opt for smaller aircrafts. A HK$31.7
billion order was made for 32 short – haul aircrafts. As well as this, they are downsizing several of
their Airbus planes, going from 26 Airbus A350–1000 planes, to 22 Airbus A350–1000 planes,
ordering smaller A350–900 planes, increasing their inventory from 22 aircrafts to 28. In additional
of ordering smaller planes, Cathay will delay the ordering of five more A350–1000s to 2021, one
year after the expected
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¥ Business Management : ¥ Us
¥ Operations refers to the transformation processes of business and may involve the production of
goods or the delivery of services
¥ It is concerned with converting materials and labor into goods and services as efficiently as
possible to maximize the profit and the administration of business practices to create the highest
level of efficiency possible within an organization.
¥ When operations are managed well, it makes the function of all other departments easier, and
likewise, when operations are managed poorly, all other departments suffer.
¥ Cost leadership is the minimization of costs in order to increase business efficiency and
profitability
¥ Supplier rationalization assists in cost leadership through reducing the number of suppliers, this
simplifies supply chain complexity and enables savings on economies of scale
¥ Economies of scale are cost savings arising from a business increasing its scale of operations. This
is because per unit costs fall. When costs fall then cost leadership is increased.
¥ Due to the size of the business, costs must be minimised.
¥ Businesses achieve this through strategic alliances. This is an agreement between businesses that
aims to reduce costs by setting goals and objectives while still remaining as independent businesses.
¥ QANTAS has been able to negotiate lower fuel costs than smaller airlines because they require far
more extensive quantities of it.
¥ The benefits of strategic alliance an includes an increase in passenger
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International Travel Case Study
The Top 5 Frequent Flyer Programs for International Travel
Picking the right frequent flyer programs for your international travel depends on the region, the
distance (short–haul/long–haul), and your own objectives. Are you looking to get status? Or do you
favor cheap redemptions?
Start by assessing your travel patterns and booking habits (deep–discounted economy vs. full–fare
economy or business/first), and reviewing both the redemption side as well as earning ability of
potential programs. Some programs however generally stand out by their number of partners, ease
of achieving elite status, and overall value. Here's a rundown.
Alaska Airlines MileagePlan
MileagePlan is one of the best programs for international travel for both ... Show more content on
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United and Delta charge a premium for award travel on partner airlines (on which you eventually
need to rely at some point for international travel).
American has had really poor saver award availability recently, especially for international premium
classes, which means British Airways is often the only transatlantic award option. And it comes with
a hefty carrier surcharge.
There is however one substantial downside to MileagePlan. Since Alaska isn't a member of any
airline alliance, you usually won't get any elite benefits with their partners.
Air Canada Aeroplan – Star Alliance
Aeroplan isn't as good as it used to be, but can still offer reasonably priced redemptions on excellent
carriers through the Star Alliance network – e.g. 55,000 miles without fuel surcharges from the US
to Europe on Swiss.
I would not call Aeroplan the best Star Alliance program overall, but it is a pretty good value for
most. Elite status however is not especially easy to reach given the spending requirement, but it is a
very useful program for redemption.
You can transfer both American Express Membership Rewards and SPG points to Aeroplan at a 1:1
ratio.
British Airways Executive Club – oneworld
Again, it depends on your travel patterns, but Executive Club is an exceedingly useful program for
specific flights. Availability is generally good, and status can be easy to achieve with some
discounted premium cabin travel – bearing in mind that it would definitely involve
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Essay about Cathay Pacific Hbs Case Analysis
Cathay Pacific Case Analysis 10/25/2007
Cathay Pacific (CP) is an interesting case because it is an example of a company attempting to work
in isolation, vertically integrated and developing all their needs themselves. Truth is however; in
today's interconnected economy a company working independently simply can not compete. The
world has become too dynamic and contains too many other companies developing better solutions
to rely solely on one's internal organization. Cathay eventually recognized this fact and turned to
outsourcing to focus on its core competency, customer service and transportation.
Outsourcing should only be implemented when a company's core competitive advantages are not
affected and then when ... Show more content on Helpwriting.net ...
As a manager, deciding whether to use third party solutions that impact your core competencies,
those cost savings benefits must outweigh the investments costs.
IBM becoming involved is a similar situation, the economy as a whole receives cost savings, which
CP receives a portion of, but also competitors can immediately match those savings. When IBM
took over the data centers in Sydney, it allowed IBM to import best practices from across the globe
and also allowed the full capacity of the data centers to be utilized by serving additional clients. Best
practices bring lower costs to an operation and higher capacity usage brings greater revenue, all
good things but again CP only gets a portion and IBM receives the rest.
While costs and benefits are the ultimate management decisions, a coherent strategy from
management allows IT professionals to more accurately estimate these value decisions. This is the
critical area where CP made its mistakes. Due to the financial situations caused from 9/11, the new
airport and China taking back Hong Kong; CP shifted to survival mode and cut costs by outsourcing
indiscriminately. This damaged the company a few years later, because many of those decisions
were reversed with the EVOLVE IT strategy.
Ultimately, CP did a poor IT job because all they did was recognize a problem, escalating
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Comparing Qantas And Fruity Fro-Yo
As a strategic role of operations management, Qantas and Fruity Fro–yo both use cost leadership to
gain customers through the low price, whilst Qantas also uses goods/service differentiation to gain a
competitive advantage over the competition. After the 2011 shutdown, the quality of their service
decreased, therefore demanding Qantas to improve their performance. Both Qantas and Fruity Fro–
yo offer a variety of options to speed up processes whilst maintaining flexibility, a low cost and the
ability to experience a product or service customised to a certain degree, without high costs towards
the businesses. Qantas must ensure that they regain their status of a quality service by introducing
new products or service design and development with ... Show more content on Helpwriting.net ...
Dependability o Although Qantas has outperformed its rivals, over the past few years, Qantas's
reliability has dropped due to mechanical failures, industrial disputes and the 2011 shutdown. o
"Qantas is in a period of transformation as we make our business stronger and better"
Flexibility o Due to seasonal demands such as holidays and special events, Qantas's performance
objectives must remain flexible in order to adjust to major increases or decreases in customer
demand.
Customisation o Qantas offers customisation through its membership in the Oneworld Alliance and
the alternative option of Jetstar. Qantas offers economy and business class on domestic flights and
economy, premium economy, business and first class on international flights.
Cost o Qantas keeps their costs as low as possible, whilst maintaining high levels of quality, speed,
dependability ad flexibility that their customers expect.
Qantas must consider the correct balance of quality, speed, dependability, flexibility, customisation
and cost in order to maintain a balance of good/service differentiation and cost leadership.
Fruity Fro–Yo:
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SWOT Analysis Of British Airways
The organisation chosen for this report is British Airways. This report will first provide an overview
of the organisation. Then, British Airways competitiveness and internal and external factors
influencing its performance would be evaluated and determined using competitive strategy models,
namely SWOT analysis, PESTLE analysis and Porters Five Forces. Thirdly, the report also
discusses the efficiency of the strategy by highlighting its core competencies and risk management
strategy and, finally, conclusion and recommendations are provided based on the reports' findings.
1.2. COMPANY OVERVIEW
British Airways (BA) was formed in 1974. BA is headquartered in Harmondsworth, UK. In terms of
fleet size and international airlines, it is UK's largest airline and second in terms of the overall
number of passenger it carries. Currently, BA operates under the International Airline Group, in
which it one of the two parent company. BA's primarily operational routes are Europe and the USA;
nevertheless, BA operates in 400 destinations worldwide. As of December 2014, BA has 43,120
employees. In addition to being a ... Show more content on Helpwriting.net ...
Threat due to new entrants in the market: The threat of new entrants is low. Although there are
minimal restrictions to entry because the UK airline industry is highly deregulated (Chernatony et
al. 2010), there are several factors that are favourable for BA. The long–distance travel market from
the UK is highly saturated, of which BA is a major player, while the short–distance market is also
saturated by airlines such Easy Jet and Ryan air, which along with BA account for a large portion of
the market (Steves 2010). Moreover, the biggest entry barrier in the airline industry is the cost factor
(Azar and Brocks, 2010). The global economic recession weakened the overall air travel demand,
which along with entry failures of Zoom and XL in 2008, could create doubts and negativity for new
entrants (UK Airline Industry Analysis Researchomatic, 2012; Steves,
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Case Study : American Airlines Group
Comprehensive Case Study Analysis: American Airlines Group
Company Overview
Company's History In 1926, a young aviator named Charles A. Lindbergh took a single bag of mail
from Chicago to St. Louis. Later that same day, Charles and two other pilots came back from St.
Louis to Chicago with three plane loads of mail. This was the start of their contract to do airmail. In
1929, the consolidation of a bunch of smaller airmail pilots started and by 1930 they were known as
American Airways, Inc. In 1934, American Airways Inc. became American Airlines, Inc. In 2013,
the merger between U.S Airways and American Airlines Inc. became American Airlines Group.
American Airlines is headquartered in Fort Worth, Texas near the Dallas/Fort Worth International
Airport. American Airlines operating hubs include O 'Hare International Airport in Chicago,
Dallas/Fort Worth, Los Angeles, Charlotte, Phoenix, Miami, Philadelphia, Washington, D.C. and
John F. Kennedy International Airport in New York. American Airlines aligns their product strategy
with market demand. American Airlines strives to stay competitive in the respective market by
providing an extensive global network; collaborating with Oneworld Alliance; offering exceptional
inflight amenities and highly personalized services. Some of the exceptional inflight offerings
include inflight Wi–Fi, Entertainment on Demand, Premium Cabin Entertainment, upgraded
amenity kits, slippers, and lighter weight duvets.
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British Airways Business Environment Essay
British Airways also known as BA is United Kingdom based airline. Based on fleet size, British
airline is the largest airline of the United Kingdom. It is the second largest airline measured by
passengers carried. In 1972, British Airways board was established by the government of United
Kingdom for managing two nationalised airline corporations British European airways and British
Overseas Airways Corporation along with two regional smaller airlines Northeast Airlines from
Newcastle upon Tyne and Cambrian Airways from Cardiff. All four companies were merged in 1974
to form British Airways. In 1987, British Airways was privatised after being the state company for
almost 13 years. With the acquisition of British Caledonian in 1987, Dan–Air ... Show more content
on Helpwriting.net ...
The external business environment includes a number of factors that are outside the company and
that are beyond the control of the organisation. For the success of the organisation, effectively
managing the internal strengths and operations of the business and identifying the potential threats
and opportunities which exists in the external environment are the key factors. In the current
business environment, it is important for the British Airways, as it is conducting its operations both
on the national and international level to focus on its internal and external factors (Armstrong &
Kotler, 2005). These internal and external factors possess direct and indirect impact on the
profitability and business activities of British Airways. Therefore, for the effective management of
British Airways, different analytical tools such as SWOT, PESTLE, Porter's five forces and Ansoff
Matrix are used to analyse the factors that is affecting the company's operations. For British
Airways, analytical tools such as PESTLE, Porter's five forces and Ansoff Matrix can be used to
analyse the external environment, to help formulate the company such strategies that can facilitate
the company in generation of increased profit both on the national and international level and that
can help the company in gaining competitive edge in the market (Baines, et al.,
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The Global Airline Alliances : An Important Part Of The...
The Global Airline Alliances is an important part of the airline business industry in the 21st century,
this includes: the increase of airline performances, provides great benefits for the employees,
customers and for the marketing industry. There are three main alliances in aviation today, this
includes, Star Alliance, Oneworld and Skyteam.
Firstly, the definition of an alliance is referred by the Federal Aviation Administration (FAA) as "A
merging of resources, operations, or financial interests between one corporation and another",
(Global Alliances, 2014). The alliances are coordinated in a variety of ways, depending on their
purposes. The Airline alliances work together with different airlines from different countries that are
being strict with laws and regulations that they have to accept. The three most significant alliances
that are still operating today are: Star Alliance, Oneworld and Skyteam. According to Fernandez de
la Torre & Pablo E. (1999). The main purpose of alliance would be, "The alliances main objective is
the increase of market coverage, through the strengthening of market position on certain routes and
the reduction of costs are additional sources of competitive advantage they provide to the
participating airlines." Alliances also assist by helping the smaller airline carriers in difficult
financial circumstances. The Airline alliances are competing every day, it is alliance versus alliance,
and to get things straight the airlines in an alliance do
... Get more on HelpWriting.net ...
Airline Industry Analysis Paper
Airline industry analysis
The airline industry is a typical capital–intensive, technology–intensive, experience–intensive and
labor–intensive with a high–value industry, due to the characteristic of high additional value and the
huge industrial linkage effect, it prompts every country all over the world support its airline industry
to reach sustainability.(Lei, 2014)
The biggest airplane manufacturer company in America, Boeing Company current market
outlook(2016–2035) predicts that in the next twenty years the GDP growth rate will up to
approximately 2.9%, the Revenue Passenger–Kilometers(RPKs) will up to 4.8%, and Freight
Tonne–Kilometers (FTKs) will grow faster than the others two that will up to 5.9%, the Airbus
company global market forecast ... Show more content on Helpwriting.net ...
But under the alliance, it may erode companies profit (Tang &Tseng, 2010). Some scholars have
argued against participating in the strategic alliance because it might bring the negative impact, hold
that opinions, for instance, it is beneficial for airlines to ally with others companies, but it will harm
for customer because they couldn't use the facilities in airplane which is not enroll in the
membership of airline alliance. (Kuzminykh and Zufan.2014)
Parkhe(1993) also believes that once join the alliance may lead to the airline companies become
instability, poor performance, and premature dissolution, furthermore, strategic alliance will also
bring about a high financial cost that it could lead to a bankrupt to the airline companies. (Morrish&
Hamilton,
... Get more on HelpWriting.net ...
American Airlines Case Study
In 1946, American Airlines established its maintenance and engineering bases in Tulsa, Oklahoma.
In 1953, American Airlines pioneered nonstop transcontinental service across the across the U.S.
with the Douglas DC–7. During 1957, American opens the world's first special facility for flight
attendant training, the American Airlines Stewardess College, in Dallas/Fort Worth. During January
1959, American Airlines introduces the Lockheed Electra, which is the first U.S.–designed
turboprop plane. On December 3, 1964, American Airlines hires Dave Harris, the first African–
American pilot for a commercial plane. In January 1970, American Airlines merged with Trans
Caribbean Airways, gaining Caribbean routes. In 1974, American Airlines released their one–step
automated check–in system, greatly increasing efficiency within the company for checking
passengers in and getting them on to the correct planes. Then in 1975, American Airlines began
marketing SABRE (Semi–Automatic Business Research Environment), which is a computer
reservation system that was developed to automate the way American Airlines booked their
reservations to traveling agencies in the U.S. After this, in 1979, American Airlines relocated their
headquarters from New York City to Dallas/Fort Worth Texas, where it still resides today. On May
1st, 1981, American Airlines introduces AAdvantage®, the first airline loyalty program. On August
1st, 1983, America Airline West commences operations in Tempe, Arizona.
... Get more on HelpWriting.net ...
Swot Analysis: Internal And SWOT Analysis Of American...
Internal and external aspects of a company determines the success through strategic research,
SWOT Analysis. SWOT is the strengths, weaknesses, opportunities, and threats. Competition
arrives companies environments are force to change daily. The company uses this tool to gather
information that would help solve problems and make decisions.
Company Background American Airlines is one of the major American airlines who serves nearly
50 countries globally and also a member of the one world global alliance. The airline corporate
headquarters are in Fort Worth, Texas. Over the years the airline expanded through the union or
merger of 85 companies. Robertson Aircraft Corporation and Colonial Air Transport were the core
of the foundation of this ... Show more content on Helpwriting.net ...
Good hubs, loyalty programs, strong brand image, the largest airline fleet, good maintenance and
infrastructure standard, are just to name a few. The regions dominant U.S. carrier came along with
the company's innovative mind to buy routes that encourages spreading hubs in the most tourist
attracted places. As hubs increase rewards become broader redeeming meaningful awards as you fly
across the globe with American. American Airlines AAdvantage program awards miles and Elite
Qualifying Dollars for every airline affiliated with the oneworld alliance. The many relationships
with numerous car rental companies, hotel brands and cruise lines is what set them above the rest.
Along with captivating that title they spread their brand image strongly from terminal kiosks,
interior seats and logo to website along with the plane's finish. The company recently redesigned
their logo taking a turn from an American image moving towards the American spirit. The reason
behind the change was being a global flight servicer the old logo based on just American but also
still portraying America without becoming blindly patriotic. There's over 959 planes in service and
247 on back order bringing the company to the largest operator of aircraft in the world. It operates
the A321 aircraft which is the largest fleet but not being limited they operate the A319 fleet, Boeing
737 Next Generation, and much more. Furthermore, increasing the amount of passengers carried
increasing the amount of revenue created for the company's
... Get more on HelpWriting.net ...

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The Purpose Of British Airways Essay

  • 1. The Purpose of British Airways Essay www.flyertalk.com www.britishairways.com L01: Understanding the organisational purposes of business Task 1 1.1a: The British Airways background: British Airways came into existence since civil aviation began shortly after World War I. A lot has changed in the 90 years from the world's first schedule air service on 25 August 1919 to the present day civil air travel. Every 10 years since civil aviation began. The world has seen changes in the types of planes that have been in service to the speed of sound air travel as well as developments and changes to the business in all aspects of all areas. It is this that has paved the way that British Airways do business and will carry on perfecting and tweaking its service so passengers ... Show more content on Helpwriting.net ... This year we have mapped out a long–term vision for our business." "It is to be the world's leading global premium airline" www.britishairways.com * "To expand operations and focus on corporate responsibility and make it an important part of the organisation" * "Be the airline of choice for longhaul premium customers" * "Deliver an outstanding service for customers at every touch point" * "Grow our presence in key global cities" * "Build on our leading position in London" * "Meet our customers' needs and improve margins through new revenue streams" www.britishairways.com What type of sector is British Airways in: British Airways is a Public Limited Company (PLC), it has many shareholders and is a private company. British Airways is owned by a group of shareholders and the majority of shares belongs to eight shareholders from Invesco Perpetual who own 60.12% of the shares which makes them the largest shareholders into British Airways www.uk.answers.yahoo.com www.uk.ask.com www.investing.businessweek.com www.answers.com How has change within the industry affected British Airways? * Reducing aviation emissions based on carbon trading that is applied equally to all airlines, referred to as a Global Sectoral ... Get more on HelpWriting.net ...
  • 2.
  • 3. North American and European Airline Industry Essay North American and European Airline Industry INTRODUCTION The Airline industry is one of the world's largest industries generating over $300 billion in revenues in 2001 alone and additionally has the second highest industrial growth rate, after the computer industry, with typical growth rates of 3–5% per annum over the last 20 years (Humphreys, 2003; BA Fact book, 2002). For the purpose of this assignment, freight/cargo airline activities will not be considered as freight travel consists of only 2 % of total airline activity (see figure 3.1 and appendix 1) (BA Fact book, 2002, ICAO, 2003). Furthermore, due to the nature of the airline industry and the Asian market being a lot smaller and internally focused, we will ... Show more content on Helpwriting.net ... This has had significant implications for an industry which relies on these passengers for approximately two thirds of its revenue (Economist, 2001). The reduction in business passenger numbers has resulted not only in adding to the already existing overcapacity problem but also in increasing competitive pressures, the resultant effect being a persistent downtrend in airfares. In fact, after adjusting for inflation airline revenues per passenger kilometre are about half the level of 30 years ago (BA Fact Book, 2002). The birth of the low cost carriers and the increasing market share they have acquired has further exacerbated this downward trend as passengers become more price sensitive. 1.2 Political Forces facing the airline industry The airline industry is also very much in the political frontline (see figure 1.1). The implications of terrorism for the industry are evident from the statistics – 2001 was only the second year in the history of modern civil aviation in which international air traffic declined (IATA, 2002) and, although air traffic has since improved, it is nevertheless still below pre–September 11 levels. Furthermore, the knock on effects it has had in other areas of the industry, most notably the vertiginous rise in the cost of insurance and security, has further added to the economic woes of the industry. Since the attacks insurance companies immediately increased insurance premiums and reduced
  • 4. ... Get more on HelpWriting.net ...
  • 5.
  • 6. What Are American Airlines Competitive Strategy Introduction In 1934, American Airlines, was founded and later incorporated in October of 1982. In 2013 American merged with US Airways. Together they serve more than 350 cities in over 50 countries and operate a fleet of approximately 900 aircraft. American Airlines is also members of oneworld alliance. The oneworld alliance group fly to more than 1,000 destinations around the world. In addition to their passenger service, American operates Air Cargo services. They are one of the few airlines carriers that operate both passenger and cargo services. American offers an AAdvantage frequent flyer program. American vision is called Flight Plan 2020. Within the flight plan there are 5 tenets that American strive to achieve success. They are to invest wisely, earn customer loyalty, strengthen and defend our global network, be a good place for good people and fly profitably (Corporate Responsibility, 2015). By achieving success in the tenets American can stay profitable and obtain the respect and approval of the customer. Customers/Competition/Substitutes/Suppliers. All consumers are potential customers to American Airlines. American Airlines has had to compete with all airlines. Their top competitor is Delta. American measure themselves against Delta, United and Southwest when it comes to on–time arrivals, baggage and customer satisfaction. Customers are constantly looking for a deal so they use all avenues that are available to them when looking for the best airline ... Get more on HelpWriting.net ...
  • 7.
  • 8. Qantas Report TABLE OF CONTENTS Contents EXECUTIVE SUMMARY 2 COMPANY BACKGROUND 3 EXTERNAL ANALYSIS 4 REMOTE ENVIRONMENT ANALYSIS 5 INDUSTRY ANALYSIS 7 COMPETITIVE ANALYSIS 12 INTERNAL ANALYSIS 13 STRATEGIC GAPS 15 STRATEGIC OPTIONS AVAILABLE 17 RECOMMENDED STRATEGY 21 IMPLEMENTATION PLAN 22 CONCLUSION 23 REFERENCES 24 APPENDIX 1 – Income Statement 25 APPENDIX 2 – Balance Sheet 26 EXECUTIVE SUMMARY
  • 9. The passenger airline industry is very mature and competition has forced many airline companies to reduce prices in order to utilise capacity. A remote analysis and industry analysis was carried out showing that the industry's growth and profitability will be low. Qantas will have to make use of ... Show more content on Helpwriting.net ... Owing to the global financial crisis and the prolonged economic slowdown, Qantas's 2009 annual report shows a subdued financial performance – revenue of $14.6 billion, 6.9% drop from 2008; profit before tax of $181 million, a sharp decline of 87.1%; earnings per share of 5.6 cents as opposed to 49 cents in 2008; operating cash flow of $1.1 billion, 46.9% fell down from 2008 Despite this extremely challenging operating environment, the Qantas Group maintained its operational excellence by its broad scale, deep experience and exceptional human resource. In 2009, Qantas had achieved 334,000 flights over 530 million kilometres. It carried 38 million passengers and prepared 36 million meals. Frequent flyer points of 18% more were redeemed; 575,000 tonnes of freight were handled and 490,000 engineering tasks were undertaken. EXTERNAL ANALYSIS A remote environment analysis and Industry environment analysis has been carried out for Qantas. As 80% of the total group's revenue is "Passenger Revenue" and it operates in both Australia and overseas, the industry has been defined as domestic and international passenger airline industry. REMOTE ENVIRONMENT ANALYSIS ECONOMIC Many industries in the world were affected by the global financial crisis in 2008. Consumer spending decreased because of the financial downturn. The impact of the financial crisis on the airline industry is high and negative. Passengers ... Get more on HelpWriting.net ...
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  • 11. Case Study Of Star Alliance Executive summary Since the 1990s the alliances in the airline industries is common and there are three major airline alliances which are present in the world are OneWorld, SkyTeam and Star Alliance. These alliances of airlines have covered almost two third of world air traffic industry and the major contribution in this is Star Alliance. The strategic alliances on the part of the airlines are done because of many advantages which not only organizations reap but also the other stakeholders which are involved in this type of alliances. This research paper is evaluation of why the strategic alliances are important and why the organizations go into the strategic alliances the case study of star alliance was taken as the reference and the circumstances ... Show more content on Helpwriting.net ... Learning, specialization and fix cost distribution can spread over larger output with economies of scales (Albers, Koch and Ruff, 2005). Three strategies were opted as motivation by the airlines to create an alliance (i) mergers and acquisitions, (ii) setting up low–cost carriers and (iii) air alliances. Air alliance was considered as the most sustainable strategy by the Star airline. Through the strategic alliance, the airline had an opportunity to expand and become large but at the same time they can lower their cost by creating the competitive advantage that is why Start Alliance opted for this option (Cojohari, 2015). 2.2 Marketing and Branding Airline behavior could not be explained effectively with changing cost structure. In the bottom line of any alliance marketing strategies and demand response are important. With Star Alliance, the airline can offer their consumers large and denser global network of airlines with smooth connections among airlines. Airlines have demands with competitive prices in Star Alliance due to economies of scope, scale and density. In Star Alliance partners are able to offer better products and services due to airlines increased capacity to retain and generate passengers (Cullen, Johnson and Sakano, 2000). 2.3 Financial ... Get more on HelpWriting.net ...
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  • 13. Case Study Of Qantas In this long operation period, Qantas constantly developed and improved so as to achieved some achievement and earn good reputation. For example, in 2012, it got different awards about entertainment facilities, the best first class and business class within 10. In addition, it was the best safety airline in the world from Airline Ratings in 2013. These good growth can lead Qantas come into a good situation and bring more passengers. 1.4 Affecting future strategy choice Qantas got a lot of awards in past years, especially in safety aspect. Therefore, flying safety may be kept focus in future strategy. Also, the service in different classes could be maintained or made better in order to retain the reputation. 1.5 Mission According to Qantas Fact Files (2010, p.5), the mission of Qantas is to "operate ... Show more content on Helpwriting.net ... Giving Make–A–Wish Australia as an example, it is an international charity whose mission is to give hope and pleasure to children and teenagers whom are with life–threating disease. Qantas donates money to support and help these kinds of people to find hope as well as enrich their life. This aspect proved Qantas concern on people. It wants to provide help on Australia's people, therefore; it can provide good service to passengers. Environment is one of the topics it concerns as well. Pollution is inevitably to produce when there is flying. However, Qantas still wants to try its best to reduce the pollution problem. For example, it joins energy saving program, waste recycling as well as Fly Carbon Neutral Program to reduce the pollution problem that it bring. Apart from community, people and environment aspect, Qantas also sponsor on arts and sports areas. It sponsors on Sydney Theatre Company, The Australian Ballet, The Museum of Old and New Art and so on. Also, competitive spirit is one of the Australia Spirit. Australian Paralympic Committee is one of ... Get more on HelpWriting.net ...
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  • 15. Airways Mission Statement HISTORY: Qatar Airways is one of the youngest global airlines but have a high quality of service. It is one of the Qatar state–owned flag carriers. Its headquartered is in Doha, which is the capital of Qatar. The parent Company of Qatar Airways should be the government of Qatar. The airline operates as a hub– and–spoke network, serve all six continents, and link over 150 international destinations. According to the media release "The Qatar Airways Story", the airway was a small regional carrier when it began to operate in 1994. After the airline re–launched in 1997, it now has become one of the fastest growing airlines through the history. Then, 14 years after Qatar Airways re–launched, it being named Airline of the Year 2011, 2012, and 2015. Nowadays, the airways have become one of the Oneworld members and become one of the leading airlines (1). MISSION, VISION, AND GOAL: The mission statement of Qatar Airways is "5 start airline", and "we do everything excellence". In order to achieve this mission statement, they need to focus on their customer, commitment to people and have cultural awareness. Their vision is "to become a world–class air cargo service provider with global reach", and they believe that to achieve this vision, they need to focus on their working quality, reliability, and world–class network (QR Cargo). Qatar Airline's goal is making the airline become the customer's choice, offering the flight that customers want, and flying to the destination the ... Get more on HelpWriting.net ...
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  • 17. Qantas Swot Analysis Essay SWOT Analysis Strength Improving Margins: As economic showing a significant progress, Qantas margins are also improving. Diversified Business : Qantas range of subsidiary business operates in different sector but all of them supporting airlines industry's activity, such as catering, baggage handling and engineer. This also helped them to control supplier and aircraft maintenance cost. Oneworld Alliance Oneworld Alliance is a management company founded by Qantas, American Airlines, British Airways, Canadian Airlines and Cathay Pacific. Purpose of this centralized management company is to helping each other with non‐core business activity such as marketing, engineering/maintenance, and online ticketing to reduce cost thus give ... Show more content on Helpwriting.net ... Entering New Markets of low‐budget airlines with potential huge customer. Introduction of A380 : The world's biggest jumbo jet is an attraction of its own. It offers an ultimate comfort for passenger especially during long haul flight. Airbus A380 still excited people and plenty of customer chose Qantas for an experience of flying in world's largest, luxurious and technologically advanced aircraft. Threat Consolidation in Airline Industry Long haul route between Australia and United States is Qantas' second‐most important international market. It's now come under threat since the merger between United Airlines and Continental to form world's largest airline. United Airlines‐Continental now aiming Australia market, Volatility in Fuel Prices Oil price instability in 2008 resulted in sky rocketed airline tickets. Together with global economic crisis, airlines were in the next in line of collapsed list. Qantas survived by slashed numbers of its employee, but numerous worlds' major airlines were not so lucky.
  • 18. Shrinking Aviation Industry Aviation industry got hit real hard as a result of global financial crisis. Nov '08 IATA' traffic data showed a 4.6% drop in international passenger traffic and 13.5% drop in international cargo and stated that the worldwide aviation industry "shrinking by all measures". During this hard time, Qantas made a ... Get more on HelpWriting.net ...
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  • 20. Alliances in the Airline Industry Essay Executive Summary Throughout the years there has been an increase in strategic alliance formation in order to combat a number of factors creating uncertainty in the market and to share knowledge and know–how. The formation of alliances has also occurred in the Airline industry; this report discussed how these alliances gain economies of scales and synergies. The deregulation of the airline industry has open doors to more competition sand to further agreements such as the "open skies", these agreements allows airlines to serve consumers more efficiently by offering extensive domestic, continental and intercontinental service networks. Through the formation of alliances, airlines have created economies of scale through extensive use of a ... Show more content on Helpwriting.net ... 'Open skies' opened possibilities for airlines to serve consumers more efficiently by offering extensive domestic, continental and intercontinental service networks. Deregulation has made positive changes in the airline industry by expanding a network of services where a consumer can choose a variety of desired destinations with just one airline. Increased traffic feed between partners has helped to effectively utilize seat capacity and increase flight frequency. Alliance partners reduced operational and ticket costs by taking advantages from economies of scale and scope. Improved service quality was achieved through more coordinated time schedules and increased itinerary choices for passengers (Bennett, 1997). Deregulation Effects On Safety Safety is the most important aspect of product quality for the consumer and unlike with other simply distinguishable products a flight safety is very difficult to observe or evaluate. In order to rectify the issue Federal Aviation Administration (FAA) substantially tightened safety requirements from a very beginning of deregulation. FAA has tightened requirements for pilot qualifications, crew training and increased maintenance requirements for large commuter aircrafts. All the safety precautions had a positive impact reducing more then half of accidents. Aircraft manufacturers purchased a complete accident indemnity before the actual ... Get more on HelpWriting.net ...
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  • 22. The Impact of Globalization on Qantas Airlines Marketing... Globalisation is having a significant impact on marketing. This is because a business, by distributing itself across international borders makes its product more readily available to international customers and creates employment opportunities in the country it has moved to. To understand the impacts, globalisation, marketing (particularly market segmentation), global marketing strategies and general history of Qantas need to be examined. Qantas is the oldest airline in the English speaking world. It was founded by the three aviation pioneers Hudson Fysh, Paul McGinness and Fergus McMaster as the Queensland and Northern Territory Aerial Service in 1920 and has grown from one aircraft which offered air taxi services and joyrides to a ... Show more content on Helpwriting.net ... Qantas' situational analysis (SWOT) is the first step in the marketing process whereby the strengths, weaknesses, opportunities and threats of the airline are identified. The airline's strengths include: Being part of the Oneworld alliance, having a high safety record, being a globally recognised airline through the use of branding and the flying kangaroo logo, purchasing the latest aircraft thus updating technology and staying level with international competitors and the final strong success of Qantas has come by operating out of some of the world's major air travel hubs such as Los Angeles International Airport, London's Heathrow Airport, Singapore's Changi Airport and Sydney Kingsford Smith International providing an excellent range of customers. Qantas' main weaknesses come from the high risk nature of airlines (possibility of crashes and large scale incidents), the complexity of the aircraft they buy which could lead to costs of re–training pilots to fly that particular aircraft and may lead to higher labour and the recent string of incidents have undoubtedly hindered Qantas' image. One of the most recent incidents occurred while a reasonably new Qantas A380 was flying from Singapore to Sydney when it experienced engine and hydraulic problems forcing it to hastily turn back and make an emergency landing in Singapore. This ... Get more on HelpWriting.net ...
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  • 24. Essay on American Airlines Table of Contents Abstract 3 Situation Analysis 3 Strengths, Weaknesses, Threats, and Opportunities 4 Re–Branding 6 Pricing Strategy 8 Service Marketers 9 Future 12 Summary 12 References 13 Abstract In this case study we will review the new strategic business plan of American Airlines, and how they are responding to changes in the marketplace to compete in the modern era. We will also analyze the advantages of rebranding efforts, the effectiveness of existing practices of the airline and how the airline may operate post merger with US Airways. By some measurements, the merger between American Airlines and US Airways will create the largest company in the world, thus positioning American Airlines to potentially become the most ... Show more content on Helpwriting.net ... A smaller airline is simple and can easily adapt to change. Smaller airlines field similar aircraft for interchangeability of maintenance workers and crew, they can quickly upgrade aircraft and they can easily adjust management, directly address minor issues and quickly respond to changes in the market place. While at a larger airline, bureaucracy slows these efforts, lengthily logistical and environmental issues prolong the change process, what takes months for small airlines to adopt may take years for a large airline. In my time in the military I learnt a school of thought called the tenants of guerrilla warfare, I find it very similar to this circumstance (if they're big and you're small, then you're mobile and they're slow, you're hidden and they're exposed etc etc). The threat of growing too large is a known issue that airlines like Southwest avoid by utilizing careful growth in their business plan. This new growth presents American Airlines to a new pool of customers, the untapped international community that has little knowledge of American Airlines and with the recent disasters of Air Asia and Malaysian Airlines the safety record of American is an advertising point that any flyer will greet with open arms. A complex marketing mix must be researched before entering a foreign market to ensure conditions like lifestyles, consumer behavior and political/legal environments can grant competitive position in the local market. (Peter
  • 25. ... Get more on HelpWriting.net ...
  • 26.
  • 27. Case Study Of Iberia Iberia was founded in 1927 by Spanish entrepreneur and later nationalized in 1944. In 1990 Iberia decided to define a growth strategy focused on the Latin American market, and anticipating to the de–regularization of the airline market bought stakes in several South American airlines. Iberia had previously been interested in this market, for instance it was the first airline to fly between Europe and South America after the WWII. However this strategy resulted in a tremendous failure, with losses of thousands of million pesetas, in 1994 the company had to get rescued from the Government after entering in technical bankruptcy. As a consequence it started a process of readjustment of the company, building on two mayor pillars: the exit of their investments in Latin America and the privatization of the company. In 2001, Iberia concluded its privatization process, ... Show more content on Helpwriting.net ... In 1991 the deal is finally carried out, and Iberia acquires the 30% of AA, while the Argentinian state kept 5% of the company . The Argentinean state assumed the debt of the company, the acquisition price Iberia paid was $260 million in cash and 1610 million in Government Bonds for the acquisition. In 1992 Aerolineas Argentinas was almost bankrupt and the Argentinean government rescued the company acquiring 43% of the company and increasing equity. In 1994 however the company is again financially unstable, requiring a new round of capital increase ascending to $500 million, the operation results in Iberia keeping 85% of the shares. In 2001 Aerolineas Argentinas was living its worst time in history and enters in bankruptcy, with Iberia holding 93% of the company. Iberia therefore takes the decision to sell the company to Marsans for $1 and SEPI (State agency) disbursed the amount of $300 million to liquidate the debt of the airline ... Get more on HelpWriting.net ...
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  • 29. Case Study: Finnair Company introduction Finnair PLC is the flag carrier and the largest airline of Finland and was founded in 1923. It's main hub and headquarter is in Helsinki, Finland. Finnair and its subsidiaries dominate both domestic and international air travel markets within Finland. Finnair is part of Oneworld airline Alliance. The largest shareholder is Finland's government with 55.8 percent of the shares. Finnair's turnover is 2 billion Euros with ongoing growth in 2011 of 10 percent. Finnair has 7 million passengers per year and Skytrax has ranked it as a 4 star airline. Finnair's strategy relies on exploiting sustainable geographical advantage; providing the shortest route between Europe and Asia via Helsinki. Finnair had 9,500 employees in 2011. ... Show more content on Helpwriting.net ... The new CRM integrates past data with customer–centric reports that act as decision support system and helps to understand sales trends, impact of promotions and pattern usage. Conclusions Finnair is organized around the needs of its customers. A key strategic focus for Finnair is customer satisfaction. Finnair's services is created with customers in mind. In developing its value proposition, Finnair builds on its efficient and punctual operations. For Finnair to continue to serve existing customers and to cultivate new ones, Finnair must always be alert to external changes in the market and to larger trends. A successful service company is one that listens to its customers and to the marketplace at large. Finnair should also investment more on CRM tools. They should use information collected from customers to direct appropriate and personalized messages to them. Directing personalized messages or promotions to Finnair's customers will make them feel special and will ultimately increase Finnair's customer ... Get more on HelpWriting.net ...
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  • 31. Strengths And Weaknesses Of American Airlines American Airlines is one of the major American airlines who serves nearly 50 countries globally and also a member of the one world global alliance. The airline corporate headquarters are in Fort Worth, Texas. Over the years the airline expanded through the union or merger of 85 companies. Robertson Aircraft Corporation and Colonial Air Transport were the core of the foundation of this company. In 1921, Robert Aircraft organized first in Missouri as a general manufacturer and flying service who flew its first mail route on April 15, 1926 between Chicago and St. Louis, Missouri. The first flight flown by pilot Charles A. Lindbergh. A charter, Colonial Air called Bee Line formed in 1923, flew mail between New York City and Boston which began on ... Show more content on Helpwriting.net ... Good hubs, loyalty programs, strong brand image, the largest airline fleet, good maintenance and infrastructure standard, are just to name a few. The regions dominant U.S. carrier came along with the company's innovative mind to buy routes that encourages spreading hubs in the most tourist attracted places. As hubs increase rewards become broader redeeming meaningful awards as you fly across the globe with American. American Airlines AAdvantage program awards miles and Elite Qualifying Dollars for every airline affiliated with the oneworld alliance. The many relationships with numerous car rental companies, hotel brands and cruise lines is what set them above the rest. Along with captivating that title they spread their brand image strongly from terminal kiosks, interior seats and logo to website along with the plane's finish. The company recently redesigned their logo taking a turn from an American image moving towards the American spirit. The reason behind the change was being a global flight servicer the old logo based on just American but also still portraying America without becoming blindly patriotic. There's over 959 planes in service and 247 on back order bringing the company to the largest operator of aircraft in the world. It operates the A321 aircraft which is the largest fleet but not being limited they operate the A319 fleet, Boeing 737 Next Generation, and much more. Furthermore, increasing the amount of passengers carried increasing the amount of revenue created for the company's ... Get more on HelpWriting.net ...
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  • 33. Qantas Strat Mgt 1.0 Introduction The Australian domestic airlines industry operations usually consist of transportation of freight and passengers domestically (IBISWORLD, 2010). The industry has been experiencing slightly negative annual revenue growth of negative 0.4% for the past five years (IBISWorld, 2010). The domestic airlines industry consist of two major players such as Qantas Airways and Virgin Blue, and three minor players such as Regional Express, Skywest and Tiger Airways (IBISWorld, 2010). 2.0 External Analysis External analysis is used to analyze the external environment of an organization to identify any threats and opportunities, which is part of SWOT (Hill, Jones Galvin & Haidar, 2007). This part of the essay will be looking at what ... Show more content on Helpwriting.net ... The reason behind this is Qantas's diverse flight operation of 142 destinations and its access to huge customer base (Datamonitor, 2007). 3.2 Weakness Over dependence on domestic market with over 70% of its revenue generated domestically (Datamonitor, 2007). With the Australian market not expected to grow Qantas would have problems with its sales in the future. 4.0 Strategies There are three levels of strategies business, functional and corporate level strategies each are used by organization to "survive and prosper in the fast changing and globlally competitive environment" (Hill et al, 2007). Therefore to assist firms to create competitive advantage and distinctive competency at an organization level (Hills et al, 2007). This part of the essay will be looking at what changes did Qantas implement to help them stay profitable and competitively advantages. 4.1 Cost–Leadership Strategy Cost leadership strategy is used by firms to surpass their competitors by reducing their cost from production of goods or services and is part of the business level strategy (Hills et al, 2007). There are four factors that influence a company's ability to build and sustain a competitive advantage: efficiency, quality, innovation and responsiveness to customers. These factors allow a company to (1) differentiate its product offering to create greater perceived customer value and (2) lower its cost structure, which will then build a competitive ... Get more on HelpWriting.net ...
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  • 35. British Airways Case Study Problem Statement: In order to survive in the competitive market, British Airways (BA) and Iberia merged in 2010. Apart from pension deficit, British Airways also needed to deal with the decreasing customer satisfaction. Therefore, they decided to implement total quality management (TQM) to survive both short and long–term on the global market. To examine the existing quality issues and problems within this airline company, they conducted surveys which were distributed to customers and the supplying area. In addition, the quality manager was asked to assess how much time did the staffs devoted to quality related activities. Before the implementation of TQM, their profits had declined in the period of 2008 and early. However, their turn overrates increased 23% and the profits increased from £–425million (profit/loss after tax) to £ 281 million (profit/loss after tax) from 2010 to 2013. (Madar, 2015) British Airways Overview: British Airways is currently the largest international scheduled airline in the United Kingdom. It was a founding member of the Oneworld alliance with Cathy Pacific, American Airlines, and Qantas. This British air transport company was formed in 1974, merging from two nationalized airline corporations, British Overseas Airways Corporation and British European Airways, plus two regional airline companies, Cambrian Airways, and Northeast Airlines. After being a state–owned airline company for the following thirteen years, it was privatized in ... Get more on HelpWriting.net ...
  • 36.
  • 37. Qantas strategies Analysis Criterion Maximum Mark Your mark Research and analysis of company information 5.0 4.0 Considerations of constraints impacting organisational strategy 5.0 3.75 Application of relevant theories of strategy 5.0 3.75 Development of argument and applied critical thought 5.0 4.0 Written communication & referencing 5.0 3.25 Total marks /25 18.75 EXECUTIVE SUMMARY The report has discussesd and appliesd theoretical concepts and principles of strategic management into analyzing the environment context where to Qantas Airways Limited operates. It shows that, Qantas has a long history and sustainable development but needs to evolve in the global world. ization context, the company has to continue ... Show more content on Helpwriting.net ...  In 2012, Qantas carries a 44.6% shares of the Australian domestic market and 18% of all passengers travelling in and out of Australia while the respective market segments for Jetstar are 20,7% and 8%. The chart below compares the top 10 international airlines. Figure 1: Top 10 international airlines in Australia (Source: ANNA– Airlines Network News and Analysis, 2010) 
  • 38. 2.2. Resources and capabilities – Tangible resources: Establisheding in 1920, Qantas Group has grown gradually and remain one of the largest and strongest in Australian airways industry. During the last 5 recently years, Qantas has steadily expanded its operations by increasing number of aircrafts, passengers, employees and destinations all over the world. Its development can be demonstrated as data below: Figure 2: Qantas's resources from 2008–2012  (Adopted from Qantas data book 2012, see Appendix) Qantas's total asset increased from $19.7 billion in 2008 to $21.1 billion in 2012. More than half of its assets are from property, plant and equipment which book value at $14.13m at the end of FY2012. Intangible assets values at $610,000.  At the end of FY2012, the corporation had a cash balance of $3.4 billion, and 308 aircrafts from three main suppliers Airbus, Boeing and Bombardiers. The Group has 12 Airbus A380, 30 Airbus A330, 60 Boeing B737, 36 Boeing B747 and 46 Bombardiers.  – Intangible resources: Qantas has a strong reputation for long history ... Get more on HelpWriting.net ...
  • 39.
  • 40. Qantas Ailines And The Aviation Development Of Australia Qantas ailines has built a reputation for its excellence in safety, engineering, operational reliability and customer service. In the moderan era, this Airline is considered as a one of the biggest oldest airline in Australia. Vision of Qantas Safety is our first priority. Passionate staff deliver extraordinary experience to the customers. Best loyalty programs for our customers. Innovative leverage of partners Have discipline approach for the capital management In this Assignment we will have Little knowledge about the Qantas Ailines, its stakholders and the air ticketing system Qantas use for its services. History The history of Qantas is inextricably attached with the civil aviation development of Australia but it is a ... Show more content on Helpwriting.net ... There are always many challenges for any business company like safe operations and product standards. Qantas has also good jet service which is beneficial for the country or world. Stakeholders A stakeholder can be beneficial or can become a reason of failure for any business so it is very important to select and understand a stakeholder carefully. If these internal and external stakeholders will not work together than Qantas airline service can face many difficulties. The stakeholders in the following table who has high or low impact in this company are: Stakeholder table Stakeholder Interest Impact Priority influence Employees(Internal) Leading leaders Diversity
  • 41. Superior engagement High 1 High Culture of recognition Government(External) Make sure the organisation manage business economically , High 1 High benefits the country financially, abide the laws & regulations Sponsors (external/internal) High profit, High 1 High Successful advertising(to attract customers or tourists), achieve the most by the project, Prudent capital allocation , Sustainability and risk management Supplier getting more business, Low 2 Low (external) Making sure the supplies are on time Customers High quality, High 1 Low World leading product offering cheap price tickets (External) Innovation Optimal network Engineers System responsibility ... Get more on HelpWriting.net ...
  • 42.
  • 43. Benchmarking Essay Benchmarking: A Quantitative and Qualitative Look at Southwest Airlines and British Airways In today 's competitive marketplace, all firms are seeking ways to improve their overall performance. One such method of improvement, recently adopted by many firms, is benchmarking. Benchmarking is a technique used to evaluate internal business processes. "In this analysis, managers determine the firm 's critical processes and outputs, baseline those processes, then compare the performance of each process against a standard outside the industry" (Bounds, Yorks, Adams, & Ranney 1994). To effectively improve a business process to world–class quality, managers must find a firm that is recognized as a global leader, not just the industry ... Show more content on Helpwriting.net ... These processes are not performed in isolation. The end result relies heavily on the satisfactory completion of all processes and the communication of all functional areas involved. By viewing these processes as a whole, management can identify process inefficiencies. These inefficiencies may include delays or queuing at process bottlenecks, lack of control or checking, or places responsibility for process activities is not clear. The Total Quality Management model is limited in its scope of improvement. Total Quality Management establishes targets for performance rather than focusing on continuous improvement. This perspective is to narrow because it fails to consider the overall improvement process. To be effective, management must incorporate all aspects of the business into a dynamic improvement process. The fourth key to benchmarking is systematic external benchmarking. Once management has realized the importance of internal business processes and world–best practices, it is their responsibility to combine these two themes. Management must systematically examine its internal practices and performance in comparison to external benchmarks. The last key is benchmarking as a survival technique. It may effectively save a business from declaring bankruptcy. However, benchmarking should be used in organizations regardless of financial or economic status. Internal benchmarking is one of the most important aspects of benchmarking. ... Get more on HelpWriting.net ...
  • 44.
  • 45. Discussion Surrounding Global Alliances Operating in the... The international aviation industry is arguably one of the most competitive and cut–throat businesses in the world today. Characterised by high revenue but notoriously thin profit margins, modern international airlines are constantly searching for methods to gain advantages over their competitors and attract new customers. One of these methods which has become popular since the late 1990s is that of the global airline alliance. Today there are three major alliances in operation, each containing different member airlines. These alliances offer airline customers various advantages over travel with a traditional carrier. Nevertheless, these advantages have been criticised by some as being anti–competitive, there are several examples of ... Show more content on Helpwriting.net ... Another major airline alliance operating today is the Oneworld alliance. Founded on 1 February 1999 by giants such as British Airways, Cathay Pacific, and Qantas, it has expanded to include twelve member airlines, and has an additional twenty non–voting affiliate members, such as QantasLink, subsidiary of Qantas, and Dragonair, subsidiary of Cathay Pacific. Oneworld also won the Skytrax award for best airline alliance in 2010, and has won more international awards than the other two main alliances (Oneworld, 2011). However, some may argue that the quantity of awards received is irrelevant, and the awards by Skytrax are recognised by many as the leading airline awards. Oneworld is also a useful alliance for New Zealand based travellers, as Qantas' membership allows frequent travellers access to the benefits of this alliance. Skyteam was the last of the three major airline alliances to be founded, in June 2000. According to Rodrigue (2005), the Skyteam alliance holds 21 per cent of the market share, when measured by traffic, making it the second largest airline alliance operating today, after Star Alliance but before Oneworld. Skyteam is made up of airline heavyweights such as the merged Air France–KLM, in addition to Delta Airlines, Korean Air, and China Southern Airlines. Whilst the Skyteam alliance is large, it has also failed to secure any Skytrax airline alliance awards (Skytrax, 2011). This combined with the fact that there are currently no ... Get more on HelpWriting.net ...
  • 46.
  • 47. Qantas Mission Statement Description of Qantas: November 16, 1920 Paul McGinness, Hudson Fysh, Fergus McMaster and Arthur Baird established Qantas in Winton, Queensland. Qantas is an abbreviation for Queensland and Northern Territory Aerial Services Limited. Today it is Australia's largest domestic and international airline and was nationalised during 1947 after the Australian government purchased all shares in Qantas. Qantas is currently considered to be the world's leading long distance airline and one of the most powerful labels in Australia. Qantas is persistent in providing exceptional service to its customers and is at the front line of the international civil aviation industry. Services: Although Qantas is fundamentally operating as a passenger airline, ... Show more content on Helpwriting.net ... Customer service is a valuable influence on quality. Qantas delivers the expectations of customers by representing civil and accommodating staff members. Qantas has implemented a series of operational strategies to enhance the speed of their service. These vary from booking flights online, online check in, check in kiosks and Q Bag Tags. Dependability at Qantas is based on the consistency of on–time departures and arrivals. Flexibility is relevant to Qantas' responses to the changes in market demand. Flexibility is demonstrated through Jetstar's variable fare. Qantas offers customisation through its participation in the Oneworld Alliance, where it can provide its services to over 680 destinations in 134 countries. Qantas has worked on developing less costly and more efficient opportunities for its consumers by launching new discount airlines: Jetstar and Jetstar ... Get more on HelpWriting.net ...
  • 48.
  • 49. Qantas Analysis : Qantas And Jetstar Overview Qantas was found as Queensland and Northern Territory Aerial Services Limited in Winton, Queensland in 1920 (Qantas 2014). The company went through world wars and expanded drastically since then and is the world's second oldest airline covering more than 180 destinations including its code share partners. Since its privatisation in 1993, Qantas has become one of the most well–known and profitable airline globally. Qantas' main operation includes the transportation of customers domestically, regionally and internationally through their airline brands – Qantas and Jetstar. Their subsidiary operations comprise QantasLink, Qantas Freight Enterprises, Q Catering, Qantas Frequent Flyer and other specialised businesses while employing over 33,000 employees. Locally, Qantas Link and Jetstar operate over 5,000 flights weekly in all states, covering 56 regional and metropolitan destinations (Qantas 2014). The company's performance had been deteriorating over the past few years with the Underlying Profit before Tax (PBT) Loss of A$646million in the financial year ended 30 June 2014, down from the Underlying PBT Profit of A$552 in the financial year ended 30 June 2011. Qantas blamed the increasing loss to growing market record fuel costs (Qantas 2014). The landscape of Qantas globally is extremely competitive. As of 2010, there are 68 global airlines with more than 10 million passengers globally which Qantas ranked 28th top airline serving most passengers worldwide (OneWorld ... Get more on HelpWriting.net ...
  • 50.
  • 51. Essay on Qantas Case Study QANTAS CASE ANALYSIS REPORT MARK ANTHONY ANDRIJCICH STUDENT NUMBER – 10513924 MGMT3347 – STRATEGIC MANAGEMENT SEMESTER 2, 2011 TUTORIAL 4 – MONDAYS, 15:00 ROOM BUSN:161 – THE CULLITY TUTORIAL ROOM TUTOR – DOUG MOFFAT INDIVIADUAL CASE ANALYSIS REPORT TABLE OF CONTENTS EXECUTIVE SUMMARY....................................................3 EXTERNAL ANALYSIS OF QANTAS..............................4 ––Industry ––General Environment Analysis ––Six General Elements ––Demographic ––Economic ––Global ––Political/Legal –– Socio–Cultural ––Technological ––The Industry Environment ––Michael Porter's 5 Forces That Shape Strategy ––Competitive Environment INTERNAL ANALYSIS OF ... Show more content on Helpwriting.net ... It operates in the low–cost airline segment through Jetstar. It is also engaged in providing time bound freight services. Other services offered by Qantas include international and domestic holiday tours, catering, ground handling, and engineering and maintenance services. The company also offers group flight training, and leverages its infrastructure and competency for operational training. It also provides services for defense sector in aircraft and engine maintenance, among others. Qantas is headquartered in Mascot, New South Wales, Australia (Qantas 2011b). EXTERNAL ANALYSIS OF QANTAS INDUSTRY Qantas Airways Limited is in the airline and aviation industry–both domestic (Australian) and international. Its main business is the transportation of passengers using two complementary airline
  • 52. brands–Qantas and Jetstar (Qantas 2011a) GENERAL ENVIRONMENT ANALYSIS DEMOGRAPHIC Growing Size of the Middle Class. The size of the middle class is growing globally and many of them like to travel internationally as often as their work life and bank balance allows (Hanson 2010). ECONOMIC The Global Financial Crisis (GFC). The late–2000s financial crisis is considered by many economists to be the worst financial crisis since the Great Depression of the 1930's (Reuters 2009). The impact of the GFC on airlines has been severe, putting the industry in major trouble that may be prolonged (Hanson 20011, p. 439; Qantas 2009). ... Get more on HelpWriting.net ...
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  • 54. Cathay Pacific Pest Analysis Essay Strategic Analysis of Cathay Pacific Airways Ltd. 1. Introduction Cathay Pacific Airways Ltd. (hereafter as C.P.) was established in the 1940's in Hong Kong and has been well–known as proficiency and security. Meanwhile, it remains notably dedicating on its domestic market Hong Kong, besides, it will present other supplementary 72 brand–new aircraft by 2024 (Cathay Pacific Annual Report, 2015). There are maximum 33, 000 employees simultaneously collaborate cross–broadly, and approximately 25,000 of them are in Hong Kong. It is on the list of the program "The Stock Exchange of Hong Kong Limited", as Air China and Swire Pacific represent a considerable proportion of its stocks. C.P. and its subsidiary Dragonair joint function 52 routes in Mainland China, they are both under the confederation of Oneworld to serve for surpassing 1,000 destinations (Cathay Pacific Annual Report, 2015). In this report, the author will scrutinize C.P. through both internal and external circumstances, categorize the two contemporary strategies and indicate an optimized strategy could be conceivably optional to actualize its core competency. 2. External analysis 2.1 PEST analysis Political Chui in China Daily newspaper (2015) pointed out, in order to deliver the message of anti–China, terrorists will deploy ... Show more content on Helpwriting.net ... According to Cornwell and Reporter (2015), Qantas established an extra–large alliance with Emirates, in mutual returns, Qantas has expanded beyond 70 new destinations; Emirates has been capable of accessing approximately 50 settings in Australia. Further, SIA and C.P. had trapped into the vicious discount campaign competition (Leo, 2014). In 2015, SIA had also formulated joint– venture with Tata establishing Vistara in New Delhi and Mumbai in India (The Straits Times, 2015). And SIA might implement the alliance strategy to strengthen its competency since it started with Air New Zealand (Leo, ... Get more on HelpWriting.net ...
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  • 56. Airline Alliance Advantages Airline alliance can be defined as an agreement that consist of multiple independent airline to partner up or collaborate in various streamline costs activities and expanding market penetration and global reach (Hu, Caldentey, & Vulcano, 2013). Nowadays there is a lot of Airline Alliance in the globe that serve in many different regions throughout the world with the purpose to expands each existing airline in the alliance network by using the code–sharing, reciprocal agreements, frequent flyers programme and many other more (Pitfield, 2007). Currently there are three main Airline Alliance that consist of numerous number of airlines in each alliance. The Airline Alliance are Skyteam, Oneworld, and Sky Alliances. As stated before each one of the alliance have the same purpose which is code sharing, frequent flyers programme and many other more. The rise of the airline alliances has given significant positive impacts towards the industry, passengers and the airline itself. According to Pitfield (2007), the airline alliances give serious impact in term of passenger traffic, market shares and concentration. The rise of the airline alliance has given advantages and privileged to the airlines. Some of the advantages of an airline that joined alliance, it will able the airline to use code sharing within the alliance member itself. For example, the member of One World will cooperate with one another in through extensive and even the frequent flyer programs (Fan, Langlois, Geissler, ... Get more on HelpWriting.net ...
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  • 58. U.s Airways And American Airlines On October 17, 2015, two of the largest airlines officially became one after two years of negotiations. These negotiations came under great scrutiny, whilst pulling one airline out of Chapter 11 bankruptcy. Continuing to use the American Airlines name, U.S Airways and American Airlines became the largest airline in the world. American Airlines was founded in the 1930's, under the name of American Airways, after acquiring 80 small airline carriers (Koenig 2011), mainly used for mail services. Charles Lindbergh was noted as flying the first American Airlines flight, which carried mail from St. Louis, MO to Chicago, IL (American Airlines 2016). After nearly 10 year of flying mail, the name was changed to American Airlines, and became the first airline to fly passengers from New York to Chicago, in a Douglas DC–3; this was the "plane that changed the entire airline industry, switching revenue sources from mail to passengers (American Airlines 2016). American Airlines continued to revolutionize passenger flight service, by offering non–stop transcontinental flights across the United States in 1953. In 1981, American Airlines joined other major airlines in the hub–and–spoke system, and created their first hub at Dallas/Fort Worth International Airport, the same location as their headquarters. They expanded to new hubs throughout the 1980's to other cities throughout the United States, Europe and Japan. In a joint effort to create an airline alliance, American Airlines ... Get more on HelpWriting.net ...
  • 59.
  • 60. British Airways School of Management and Economics Business Administration (FE3101/IB3101) FE3101:1/IB3101:1 Basic Organization Theories Module Paper – Fall 2009 Structural Perspective: British Airways André Costa Choi Sin Man Jiyun Baek 0 1 – Introduction In different working fields, companies face the pressure of globalization, and they must find new ways to overcome this challenge. The following example, introduces the case of British Airways, which needs to deal with the globalization issue trying to reduce the operational costs, increase profits and provide suitable services to customers. According to British Airways annual report from 2008/2009, the airline carried more than 33 million passengers. It earned nearly £9 billion in revenue, a ... Show more content on Helpwriting.net ... The structural perspective aims to defeat lack of activity periods, doubts and dissatisfaction of employees about their role in works and companies in order to make organizations achieve short and long–run goals and results, increases their efficiency and maximize performance through specialization and division of labor and suitable forms of coordination, control and working best ways. Overall, the structure frame is the key element for profitable and sustainable organizations. Organizations works best when rationality prevails and they are ready to anticipate and deal with environment issues and other uncertainty problems. As mentioned, the main goal is create coordinate, balance and efficiency organizations which can thrive for many profitable years. Therefore, structure will work as a "blueprint" (Bolman and Deal, 2008) inside organizations. First of all, it is not possible to take one structure as ideal, whereas the structures are different from organization to organization, because each one has their own identity and strategy. Today, all of them face pressures of globalization, competition and other environment pressures outside and inside the organizations, therefore, organizations cross times where they have to "rethink" and
  • 61. reconsider new approach, perhaps through restructuring. These restructuring pressures, conducted by elements of the company environment should be considered as a main source of reaction to fight the ... Get more on HelpWriting.net ...
  • 62.
  • 63. Cathay Pacific Essay Body Background information Cathay Pacific, based in Hong Kong offers scheduled flights for passengers and cargo across 200 destinations in America, Australia, Asia, North America, Europe and Africa using a large fleet of varying sizes of planes focusing on widebody passenger airplanes, specifically inside the medium and small requirements set by Boeing. With 146 planes in their aircraft inventory, plus additional planes through orders, Cathay has made many investments, in order to build up Hong Kong as a global transport hub. As Cathay is one of the members of the oneworld alliance, they have member airlines with airberlin, American Airlines, British Airways, Finnair, Iberia, Japan Airlines, LATAM Airlines, Royal Jordanian, Sri Lankan Airlines, ... Show more content on Helpwriting.net ... The focus of this was to look at the growth of the market as well and to replace them with newer generations of aircraft for a more pleasant flight experience for its customers. The replacing planes would be the A320/1 Neo as well as the Boeing 737 Max. however, Jamie Carter, Manager of Aircraft Procurement & Trading at Cathay said that they would also look towards other options, "including aircraft coming off lease". This is a strategy that in September 2017, Cathay Pacific themselves announced that they would be delaying the delivery of longer haul aircrafts, and will instead, opt for smaller aircrafts. A HK$31.7 billion order was made for 32 short – haul aircrafts. As well as this, they are downsizing several of their Airbus planes, going from 26 Airbus A350–1000 planes, to 22 Airbus A350–1000 planes, ordering smaller A350–900 planes, increasing their inventory from 22 aircrafts to 28. In additional of ordering smaller planes, Cathay will delay the ordering of five more A350–1000s to 2021, one year after the expected ... Get more on HelpWriting.net ...
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  • 65. ¥ Business Management : ¥ Us ¥ Operations refers to the transformation processes of business and may involve the production of goods or the delivery of services ¥ It is concerned with converting materials and labor into goods and services as efficiently as possible to maximize the profit and the administration of business practices to create the highest level of efficiency possible within an organization. ¥ When operations are managed well, it makes the function of all other departments easier, and likewise, when operations are managed poorly, all other departments suffer. ¥ Cost leadership is the minimization of costs in order to increase business efficiency and profitability ¥ Supplier rationalization assists in cost leadership through reducing the number of suppliers, this simplifies supply chain complexity and enables savings on economies of scale ¥ Economies of scale are cost savings arising from a business increasing its scale of operations. This is because per unit costs fall. When costs fall then cost leadership is increased. ¥ Due to the size of the business, costs must be minimised. ¥ Businesses achieve this through strategic alliances. This is an agreement between businesses that aims to reduce costs by setting goals and objectives while still remaining as independent businesses. ¥ QANTAS has been able to negotiate lower fuel costs than smaller airlines because they require far more extensive quantities of it. ¥ The benefits of strategic alliance an includes an increase in passenger ... Get more on HelpWriting.net ...
  • 66.
  • 67. International Travel Case Study The Top 5 Frequent Flyer Programs for International Travel Picking the right frequent flyer programs for your international travel depends on the region, the distance (short–haul/long–haul), and your own objectives. Are you looking to get status? Or do you favor cheap redemptions? Start by assessing your travel patterns and booking habits (deep–discounted economy vs. full–fare economy or business/first), and reviewing both the redemption side as well as earning ability of potential programs. Some programs however generally stand out by their number of partners, ease of achieving elite status, and overall value. Here's a rundown. Alaska Airlines MileagePlan MileagePlan is one of the best programs for international travel for both ... Show more content on Helpwriting.net ... United and Delta charge a premium for award travel on partner airlines (on which you eventually need to rely at some point for international travel). American has had really poor saver award availability recently, especially for international premium classes, which means British Airways is often the only transatlantic award option. And it comes with a hefty carrier surcharge. There is however one substantial downside to MileagePlan. Since Alaska isn't a member of any airline alliance, you usually won't get any elite benefits with their partners. Air Canada Aeroplan – Star Alliance Aeroplan isn't as good as it used to be, but can still offer reasonably priced redemptions on excellent carriers through the Star Alliance network – e.g. 55,000 miles without fuel surcharges from the US to Europe on Swiss. I would not call Aeroplan the best Star Alliance program overall, but it is a pretty good value for most. Elite status however is not especially easy to reach given the spending requirement, but it is a very useful program for redemption.
  • 68. You can transfer both American Express Membership Rewards and SPG points to Aeroplan at a 1:1 ratio. British Airways Executive Club – oneworld Again, it depends on your travel patterns, but Executive Club is an exceedingly useful program for specific flights. Availability is generally good, and status can be easy to achieve with some discounted premium cabin travel – bearing in mind that it would definitely involve ... Get more on HelpWriting.net ...
  • 69.
  • 70. Essay about Cathay Pacific Hbs Case Analysis Cathay Pacific Case Analysis 10/25/2007 Cathay Pacific (CP) is an interesting case because it is an example of a company attempting to work in isolation, vertically integrated and developing all their needs themselves. Truth is however; in today's interconnected economy a company working independently simply can not compete. The world has become too dynamic and contains too many other companies developing better solutions to rely solely on one's internal organization. Cathay eventually recognized this fact and turned to outsourcing to focus on its core competency, customer service and transportation. Outsourcing should only be implemented when a company's core competitive advantages are not affected and then when ... Show more content on Helpwriting.net ... As a manager, deciding whether to use third party solutions that impact your core competencies, those cost savings benefits must outweigh the investments costs. IBM becoming involved is a similar situation, the economy as a whole receives cost savings, which CP receives a portion of, but also competitors can immediately match those savings. When IBM took over the data centers in Sydney, it allowed IBM to import best practices from across the globe and also allowed the full capacity of the data centers to be utilized by serving additional clients. Best practices bring lower costs to an operation and higher capacity usage brings greater revenue, all good things but again CP only gets a portion and IBM receives the rest. While costs and benefits are the ultimate management decisions, a coherent strategy from management allows IT professionals to more accurately estimate these value decisions. This is the critical area where CP made its mistakes. Due to the financial situations caused from 9/11, the new airport and China taking back Hong Kong; CP shifted to survival mode and cut costs by outsourcing indiscriminately. This damaged the company a few years later, because many of those decisions were reversed with the EVOLVE IT strategy. Ultimately, CP did a poor IT job because all they did was recognize a problem, escalating ... Get more on HelpWriting.net ...
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  • 72. Comparing Qantas And Fruity Fro-Yo As a strategic role of operations management, Qantas and Fruity Fro–yo both use cost leadership to gain customers through the low price, whilst Qantas also uses goods/service differentiation to gain a competitive advantage over the competition. After the 2011 shutdown, the quality of their service decreased, therefore demanding Qantas to improve their performance. Both Qantas and Fruity Fro– yo offer a variety of options to speed up processes whilst maintaining flexibility, a low cost and the ability to experience a product or service customised to a certain degree, without high costs towards the businesses. Qantas must ensure that they regain their status of a quality service by introducing new products or service design and development with ... Show more content on Helpwriting.net ... Dependability o Although Qantas has outperformed its rivals, over the past few years, Qantas's reliability has dropped due to mechanical failures, industrial disputes and the 2011 shutdown. o "Qantas is in a period of transformation as we make our business stronger and better" Flexibility o Due to seasonal demands such as holidays and special events, Qantas's performance objectives must remain flexible in order to adjust to major increases or decreases in customer demand. Customisation o Qantas offers customisation through its membership in the Oneworld Alliance and the alternative option of Jetstar. Qantas offers economy and business class on domestic flights and economy, premium economy, business and first class on international flights. Cost o Qantas keeps their costs as low as possible, whilst maintaining high levels of quality, speed, dependability ad flexibility that their customers expect. Qantas must consider the correct balance of quality, speed, dependability, flexibility, customisation and cost in order to maintain a balance of good/service differentiation and cost leadership. Fruity Fro–Yo: ... Get more on HelpWriting.net ...
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  • 74. SWOT Analysis Of British Airways The organisation chosen for this report is British Airways. This report will first provide an overview of the organisation. Then, British Airways competitiveness and internal and external factors influencing its performance would be evaluated and determined using competitive strategy models, namely SWOT analysis, PESTLE analysis and Porters Five Forces. Thirdly, the report also discusses the efficiency of the strategy by highlighting its core competencies and risk management strategy and, finally, conclusion and recommendations are provided based on the reports' findings. 1.2. COMPANY OVERVIEW British Airways (BA) was formed in 1974. BA is headquartered in Harmondsworth, UK. In terms of fleet size and international airlines, it is UK's largest airline and second in terms of the overall number of passenger it carries. Currently, BA operates under the International Airline Group, in which it one of the two parent company. BA's primarily operational routes are Europe and the USA; nevertheless, BA operates in 400 destinations worldwide. As of December 2014, BA has 43,120 employees. In addition to being a ... Show more content on Helpwriting.net ... Threat due to new entrants in the market: The threat of new entrants is low. Although there are minimal restrictions to entry because the UK airline industry is highly deregulated (Chernatony et al. 2010), there are several factors that are favourable for BA. The long–distance travel market from the UK is highly saturated, of which BA is a major player, while the short–distance market is also saturated by airlines such Easy Jet and Ryan air, which along with BA account for a large portion of the market (Steves 2010). Moreover, the biggest entry barrier in the airline industry is the cost factor (Azar and Brocks, 2010). The global economic recession weakened the overall air travel demand, which along with entry failures of Zoom and XL in 2008, could create doubts and negativity for new entrants (UK Airline Industry Analysis Researchomatic, 2012; Steves, ... Get more on HelpWriting.net ...
  • 75.
  • 76. Case Study : American Airlines Group Comprehensive Case Study Analysis: American Airlines Group Company Overview Company's History In 1926, a young aviator named Charles A. Lindbergh took a single bag of mail from Chicago to St. Louis. Later that same day, Charles and two other pilots came back from St. Louis to Chicago with three plane loads of mail. This was the start of their contract to do airmail. In 1929, the consolidation of a bunch of smaller airmail pilots started and by 1930 they were known as American Airways, Inc. In 1934, American Airways Inc. became American Airlines, Inc. In 2013, the merger between U.S Airways and American Airlines Inc. became American Airlines Group. American Airlines is headquartered in Fort Worth, Texas near the Dallas/Fort Worth International Airport. American Airlines operating hubs include O 'Hare International Airport in Chicago, Dallas/Fort Worth, Los Angeles, Charlotte, Phoenix, Miami, Philadelphia, Washington, D.C. and John F. Kennedy International Airport in New York. American Airlines aligns their product strategy with market demand. American Airlines strives to stay competitive in the respective market by providing an extensive global network; collaborating with Oneworld Alliance; offering exceptional inflight amenities and highly personalized services. Some of the exceptional inflight offerings include inflight Wi–Fi, Entertainment on Demand, Premium Cabin Entertainment, upgraded amenity kits, slippers, and lighter weight duvets. ... Get more on HelpWriting.net ...
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  • 78. British Airways Business Environment Essay British Airways also known as BA is United Kingdom based airline. Based on fleet size, British airline is the largest airline of the United Kingdom. It is the second largest airline measured by passengers carried. In 1972, British Airways board was established by the government of United Kingdom for managing two nationalised airline corporations British European airways and British Overseas Airways Corporation along with two regional smaller airlines Northeast Airlines from Newcastle upon Tyne and Cambrian Airways from Cardiff. All four companies were merged in 1974 to form British Airways. In 1987, British Airways was privatised after being the state company for almost 13 years. With the acquisition of British Caledonian in 1987, Dan–Air ... Show more content on Helpwriting.net ... The external business environment includes a number of factors that are outside the company and that are beyond the control of the organisation. For the success of the organisation, effectively managing the internal strengths and operations of the business and identifying the potential threats and opportunities which exists in the external environment are the key factors. In the current business environment, it is important for the British Airways, as it is conducting its operations both on the national and international level to focus on its internal and external factors (Armstrong & Kotler, 2005). These internal and external factors possess direct and indirect impact on the profitability and business activities of British Airways. Therefore, for the effective management of British Airways, different analytical tools such as SWOT, PESTLE, Porter's five forces and Ansoff Matrix are used to analyse the factors that is affecting the company's operations. For British Airways, analytical tools such as PESTLE, Porter's five forces and Ansoff Matrix can be used to analyse the external environment, to help formulate the company such strategies that can facilitate the company in generation of increased profit both on the national and international level and that can help the company in gaining competitive edge in the market (Baines, et al., ... Get more on HelpWriting.net ...
  • 79.
  • 80. The Global Airline Alliances : An Important Part Of The... The Global Airline Alliances is an important part of the airline business industry in the 21st century, this includes: the increase of airline performances, provides great benefits for the employees, customers and for the marketing industry. There are three main alliances in aviation today, this includes, Star Alliance, Oneworld and Skyteam. Firstly, the definition of an alliance is referred by the Federal Aviation Administration (FAA) as "A merging of resources, operations, or financial interests between one corporation and another", (Global Alliances, 2014). The alliances are coordinated in a variety of ways, depending on their purposes. The Airline alliances work together with different airlines from different countries that are being strict with laws and regulations that they have to accept. The three most significant alliances that are still operating today are: Star Alliance, Oneworld and Skyteam. According to Fernandez de la Torre & Pablo E. (1999). The main purpose of alliance would be, "The alliances main objective is the increase of market coverage, through the strengthening of market position on certain routes and the reduction of costs are additional sources of competitive advantage they provide to the participating airlines." Alliances also assist by helping the smaller airline carriers in difficult financial circumstances. The Airline alliances are competing every day, it is alliance versus alliance, and to get things straight the airlines in an alliance do ... Get more on HelpWriting.net ...
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  • 82. Airline Industry Analysis Paper Airline industry analysis The airline industry is a typical capital–intensive, technology–intensive, experience–intensive and labor–intensive with a high–value industry, due to the characteristic of high additional value and the huge industrial linkage effect, it prompts every country all over the world support its airline industry to reach sustainability.(Lei, 2014) The biggest airplane manufacturer company in America, Boeing Company current market outlook(2016–2035) predicts that in the next twenty years the GDP growth rate will up to approximately 2.9%, the Revenue Passenger–Kilometers(RPKs) will up to 4.8%, and Freight Tonne–Kilometers (FTKs) will grow faster than the others two that will up to 5.9%, the Airbus company global market forecast ... Show more content on Helpwriting.net ... But under the alliance, it may erode companies profit (Tang &Tseng, 2010). Some scholars have argued against participating in the strategic alliance because it might bring the negative impact, hold that opinions, for instance, it is beneficial for airlines to ally with others companies, but it will harm for customer because they couldn't use the facilities in airplane which is not enroll in the membership of airline alliance. (Kuzminykh and Zufan.2014) Parkhe(1993) also believes that once join the alliance may lead to the airline companies become instability, poor performance, and premature dissolution, furthermore, strategic alliance will also bring about a high financial cost that it could lead to a bankrupt to the airline companies. (Morrish& Hamilton, ... Get more on HelpWriting.net ...
  • 83.
  • 84. American Airlines Case Study In 1946, American Airlines established its maintenance and engineering bases in Tulsa, Oklahoma. In 1953, American Airlines pioneered nonstop transcontinental service across the across the U.S. with the Douglas DC–7. During 1957, American opens the world's first special facility for flight attendant training, the American Airlines Stewardess College, in Dallas/Fort Worth. During January 1959, American Airlines introduces the Lockheed Electra, which is the first U.S.–designed turboprop plane. On December 3, 1964, American Airlines hires Dave Harris, the first African– American pilot for a commercial plane. In January 1970, American Airlines merged with Trans Caribbean Airways, gaining Caribbean routes. In 1974, American Airlines released their one–step automated check–in system, greatly increasing efficiency within the company for checking passengers in and getting them on to the correct planes. Then in 1975, American Airlines began marketing SABRE (Semi–Automatic Business Research Environment), which is a computer reservation system that was developed to automate the way American Airlines booked their reservations to traveling agencies in the U.S. After this, in 1979, American Airlines relocated their headquarters from New York City to Dallas/Fort Worth Texas, where it still resides today. On May 1st, 1981, American Airlines introduces AAdvantage®, the first airline loyalty program. On August 1st, 1983, America Airline West commences operations in Tempe, Arizona. ... Get more on HelpWriting.net ...
  • 85.
  • 86. Swot Analysis: Internal And SWOT Analysis Of American... Internal and external aspects of a company determines the success through strategic research, SWOT Analysis. SWOT is the strengths, weaknesses, opportunities, and threats. Competition arrives companies environments are force to change daily. The company uses this tool to gather information that would help solve problems and make decisions. Company Background American Airlines is one of the major American airlines who serves nearly 50 countries globally and also a member of the one world global alliance. The airline corporate headquarters are in Fort Worth, Texas. Over the years the airline expanded through the union or merger of 85 companies. Robertson Aircraft Corporation and Colonial Air Transport were the core of the foundation of this ... Show more content on Helpwriting.net ... Good hubs, loyalty programs, strong brand image, the largest airline fleet, good maintenance and infrastructure standard, are just to name a few. The regions dominant U.S. carrier came along with the company's innovative mind to buy routes that encourages spreading hubs in the most tourist attracted places. As hubs increase rewards become broader redeeming meaningful awards as you fly across the globe with American. American Airlines AAdvantage program awards miles and Elite Qualifying Dollars for every airline affiliated with the oneworld alliance. The many relationships with numerous car rental companies, hotel brands and cruise lines is what set them above the rest. Along with captivating that title they spread their brand image strongly from terminal kiosks, interior seats and logo to website along with the plane's finish. The company recently redesigned their logo taking a turn from an American image moving towards the American spirit. The reason behind the change was being a global flight servicer the old logo based on just American but also still portraying America without becoming blindly patriotic. There's over 959 planes in service and 247 on back order bringing the company to the largest operator of aircraft in the world. It operates the A321 aircraft which is the largest fleet but not being limited they operate the A319 fleet, Boeing 737 Next Generation, and much more. Furthermore, increasing the amount of passengers carried increasing the amount of revenue created for the company's ... Get more on HelpWriting.net ...