This website uses cookies to ensure you have the best experience. Learn more

Analysis For Airline Industry.

7701 words - 31 pages

1.Executive SummaryAirline is a complex industry. It involves major capital requirements for aircraft, monitor by government regulations, restrictions and state policy, competitive reaction from other tourist transport and requiring high level of expertise to operate and manage. Airline facing increasing globalization, rising fuel prices, heavy repair & maintenance cost, raising labor costs, increasing competition and requirements for higher service levels and greater flexibility.The acceptance of China to World Trade Organization and Beijing's winning bid for 2008 Olympics is expected to have a beneficial effect on airline industry to Hong Kong. However, loosening regulation of China's airline industry, additional flying routes, stake, merger and alliances increase the competition of Hong Kong airline business.These significant changes in the market environment and fundamental shifts in customer demands are requiring the operator to re-focus competitive strategy. Apart from achieve low cost or differentiate it by enhancing product attributes in a way that adds value for the customer. Globalization, Airline Alliances, Frequent Flyer Programmes and Integration in tourism sector becomes a commonly adopted ways for airline operators to extend their capacity and market reach.An airline operators must strive to maximize the operational efficiency across the range of airline business processes, including process reservations and bookings, customer services, corporate image, travel experience and supply chain management.2. Airline Industry in Asia Pacific RegionFaced with rising aviation fuel prices, increasing competition and airline globalization, new openings into Asian countries and additional flying routes being launched, it has been an intensive competition for Airlines.Asian airlines are campaigning aggressively to ensure passengers have the latest technology and the best available service at their fingertips. Having dealt with the detrimental effects of the Asian economic crisis and embracing global competition, the Asian airline industry is growing. According to the Association of Asia Pacific Airlines, the recovery growth rate of air traffic on Asian-based airlines will reach 11-12 % in the short term, with figures expected to sit around 9% in the next 18 months. Passenger and freight loads have already indicated this anticipated boom in Asian airline travel, despite the 11% increase in airline tickets over the last three years.Several fresh initiatives throughout the course of the year are set to accelerate this growth. A new group of Asian and Pacific Airlines has formed to launch a joint on-line travel center for both business-to-customer and business-to-business services. Some airlines, including Qantas, Singapore Airlines and Malaysian Airlines, are using the web-based exchange to expand customer service and provide new technology-based solutions for assisting travel in the Asian region.Mergers and alliances have also played a...

Find Another Essay On Analysis for Airline Industry.

Southwest Airline Inc. case : "PEST" Analysis of Airlines Industry

1052 words - 4 pages measures. Political support can play a key role in the industry's search for markets abroad. Without it, an industry may face a difficult situation.Scanning the Political Environment in this case we find that Southwest sought to make use of the opportunity created by Airline Deregulation Act passed by the US Congress in 1978. This law permitted inter-state air flights. But Southwest's attempt to becoming an inter -state airline soon faced political

E Commerce. Impact of Internet for the airline industry

4056 words - 16 pages main links to tour operator systems and to travel agents, give a good insight into the current market situation and are the basis for the airlines' yield management, i.e. capacity planning and pricing.Figure 1: Traditional industry structure in the scheduled airline market.Source: www.wi.uni-muenster.de3.0 Porter's 5 Forces analysis of air services industry competitionFigure 2 - Source: Threat of new entrantsAt

Analyze the European airline industry, with implications for the budget sector, and especially Ryanair

9466 words - 38 pages Analyze the European airline industry, with implications for the budget sector, and especially RyanairbyHarryOur documents can be found on the following websites:www.essaydirect.comwww.hausarbeiten.dewww.diplomarbeiten24.dewww.wissen24.dewww.unterweisungen.deas well as on other partner-sites.Ryanair1. Analyse the European airline industry, with implications for thebudget sector, and especially Ryanair.2. Evaluate Ryanair's strengths and

Market structure, pricing, performance and strategies for the last ten years of the Malaysian Domestic Airline Industry

1314 words - 5 pages they will closely to take over the domestic airlines market. They have a very good price strategy to increasing their customer volume and gain more profit. That's why today there is a tight competition between Air Asia and Malaysia airlines to serve the domestic flight market.2. The market structure of Malaysian domestic airline IndustryThe Malaysian domestic airline industry is a services industry for transportation and cargo services. It has its

Business Analysis for LAN Chile Airline

1298 words - 5 pages 1. Introduction:LAN Chile was the most successful Latin American airline of the late 1990's. Despite upheaval in the industry and failures of several other airlines in the region, LAN Chile had a record of success and international expansion that were the envy of the industry.The least aviation news report has shown that the success of Chile's flagship airline LanChile, which tripled third-quarter profits from a year ago, is due to a deregulated

PEST analysis for the car industry

2141 words - 9 pages analysis is a process of checking and analyzing information relating to the environment. The PEST analysis is a useful tool for understanding market growth or decline, and as such the position, potential and direction for a business as a business measurement tool. It involves monitoring the changes taking place in the environment and forecasting the future position. The PEST analysis could be a framework reviewing a strategy or position, direction of a

PEST Analysis for a Company in the Tourism Industry

2127 words - 9 pages The Tourism industry is one of the fastest growing industries in theworld. The World Travel and Tourism Council estimates that in 2004Travel and tourism is expected to generate* US$ 5,490.4 billion of economic activity* 10.4% of total GDP* 214,697,000 jobs or 8.1% of total employment* 12.2% of total exports [1]My task is to conduct a PEST analysis for a company within the Tourismindustry.Within the tourism industry, I have to select one area of

Airline Industry

1289 words - 5 pages any unforeseen terrorist activity. Economic forces The growth of airline industry in any country is directly proportional to the GDP growth of that country. The demand of the aviation industry is based on the elasticity of demand and the current market condition. (InnovativeThinker, 2007) Fuel is one of the basic requirements for the airline industry to remain operational. Fuel price increases negatively influence airlines in multiple ways

Airline Industry

1823 words - 7 pages Airline Industry The airline industry is extremely influenced by the elasticity of demand, externalities, wage inequality, monetary policies, and fiscal policies. The elasticity of demand is impacted solely on the current market conditions, and the consumer’s reason for travel. The September 11th tragedy has had a very damaging affect on the airline industry. It has impacted the fiscal and monetary policies, supply and

Airline industry

1888 words - 8 pages shown that planning and strategies which were applied after this tragic event has lead to a new great start for airline industry.B. Microenvironmental forces and likely effectsB. 1. CustomersThe airline industry has a main focus and that would be their customers and the satisfaction that is relayed to them. Their main concern is the people aboard. When a consumer thinks of an airline industry, it is usually consisted of the travel situation they are

The Airline Industry

1551 words - 6 pages Airline 1Final Project:Industry Research CompletionWIU/AXIA UNIVERSITYECO 301June 3, 2007Airline 2The U.S. airline industry has been in a chaotic state for a number of years. According to the Air Transport Association, the airline industry trade association, the loss from 1990 through 1994 was about $13 billion, while from 1995 through 2000, the airlines earned about $23 billion and then lost about $35 billion from 2001 through 2005. Early in

Similar Essays

Analysis And Recommendations For The Airline Industry

3119 words - 12 pages profit throughout the most influential factors that affect the industry.COMPETITIONRivalry among competitors within the airline industry is an extremely important aspect. With more competition within the industry, consumers will experience more benefits. Advantages such as lower ticket prices and less competition will cause potential financial problems for the consumers. As many of the major competitors within the industry actively take steps to

Airline Industry Analysis

2798 words - 11 pages Airline Industry AnalysisIndustry BackgroundThe terrorist attacks of September 11, 2001 brought about dramatic changes in the United States (U.S.) airline industry both in terms of short-term profitability and in standard operating procedures. In spite of the economy recovering from recession, the industry reported net profits of $5 billion in calendar year 1999 and $3 billion in 2000 (Smallen, 2002). These gains would quickly deteriorate in the

An Analysis Of The Airline Industry

1132 words - 5 pages My industry analysis will be about the airline industry. Nature of competition The airline industry is in a state of oligopoly, bordering onto the state of imperfect competition. The various aspects that have a bearing on the nature of competition will be covered subsequently. Imperfect information. There is imperfect information about the airline market. This can be gauged by the fact that airlines are never sure as to what is the exact

Scope For Competitive Advantage: Australian Airline Industry

613 words - 2 pages Scope for competitive advantage within Australian airline industry can be broadly classified as follows.Service: Apart from fulfilling the basic task of transporting people and their luggage between two or more points, the airline must decide which additional services create value for the customer and add to their bottom line. This is one of the most important factors that create scope for competitive advantage. An airline basically can make use