F . WARREN MCFARLAN
Tale of Two Airlines in The Network Age: Or Why The Spirit of King George III Is Alive and Well!
As Professor Roger McPherson’s wait to go through the security process a second time dragged on into its third hour on this Spring day in 2002, (all passengers had to be rescreened upon the discovery that one of the airport screening machines was unplugged) he was reminded of another delayed business trip and the role that information technology played in the story.
At 5:30pm on February 15, 1995, 200 feet off the ground, Professor Roger McPherson gazed anxiously through the fog as his airplane moved to touch down at Hartsfield Airport in Atlanta, more than 1 hour and 15 minutes late. He had 30 minutes to catch his
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Flying to the United Kingdom to connect to Frankfurt would be a hassle and unnecessary since the purpose of stopping in the United Kingdom was now totally negated. Glancing up at the departure board, McPherson was surprised to see a 7:55pm boarding departure for a plane to Frankfurt, nine gates away. Pulling into the gate at 8:02pm, he discovered several things:
1. The plane was at the gate, and with commendable dispatch the gate agent relieved him of his London boarding pass and his London-to-Frankfurt ticket and hustled him onto the plane minutes before the door closed.
2. The cabin attendant, giving him his favorite drink, explained that because of favorable tail winds across the Atlantic and the fact that eight passengers (plus now McPherson and one other) had very tight connections, they had decided to hold the plane for 15 minutes to get the extra passengers and still arrive on schedule. The note of pride in the cabin attendant 's voice was evident.
One-and-a-half hours later, appropriately wined and dined, McPherson drifted off to sleep, reflecting on what a remarkable case study had played out in front of him in the previous two hours. Information technology, operations strategy, management control, an empowered (also unempowered) work force, and service management had been interwoven into a tableau. A revised format for his speech in Frankfurt began to emerge.
“A Tale of Two Airlines” is an article written by Christopher Elliott to educate to economy on travel planning. He was born on May 31, 1960. He is a journalist and consumer advocate who writes for people who want to become more informed travelers (www.nbcnews.com/id/10912488/ns/travel/t/Christopher-elliott/#.Vc_RIO9RGM8). He is known for his many articles with the National Geographic Traveler Magazine and being a travel columnist with the Washington Post and USA Today. A Tale of Two Airlines or is Good Vs Evil in the air; Southwest Airline vs Spirit Airlines.
Soon after takeoff, after having his cigarette, bourbon, and a soda, Cooper handed a note to one of the two stewardesses on the plane (Warchol 1; “D.B. Cooper” 1). The stewardess, Florence Schaffner, planned to read it later until one of the other passengers urged her to take
1. United Airlines is owned by the UAL Corporation and was incorporated on December 30, 1968. The actual company was formed may years before this actually in 1925 and was a private mail carrying service between Pasco, Washington, and Elko, Nevada, and from these humble beginnings they formed a were able to start a company that would come to be a global leader in the airline service. From the 1960’s to the 1980’s the company had 6 different presidents and started to expand and venture into different aspects of business other then airlines and were unable to have any success. These companies that they purchased were not a success and were later resold.
JetBlue Airways, the latest entrant in the airlines industry has gone through the initial stages (entrepreneurial and collectivity) of the organizational life cycle rapidly under the successful leadership of David Neelman. JetBlue Airways is currently in the formalization stage of the life cycle where in it needs to create procedures and control systems to effectively manage its growth. Also as it proceeds to grow further to reach the elaboration stage, JetBlue needs to continue to align itself with the environment in order to maintain its sustained growth.
On November nineteen, nineteen hundred and ninety six a United Express Beechcraft nineteen hundred took off from Chicago. After an intermediate stop at Burlington, Iowa the aircraft took off again for Quincy, Illinois at four forty PM. As the Beechcraft was approaching Quincy, two aircraft were ready for departure. Beechcraft King Air and Piper Cherokee were taxiing to runway zero four. Since Quincy is an uncontrolled airport, all three aircraft used a common traffic advisory frequency (CTAF). As the United Express Beechcraft was getting ready to land on runway thirteen, it was under the impression that the King
For the engine cost, there is also a positive correlation thus; increase in this cost may also vary in the increase in average age of fleet per hour. However, on this cost, only 61% is determined in the regression equation. Like in the airframe cost, there will be additional 2.6 in cost for every hour of average age in thousands.
It was still about five hours until our flight and Alfred looked starved after going without food for an hour. We found a parking spot to abandon his car in until we came back from the trip. The bus to the terminal took a while, but it did not justify waking up so early for the 11 o’ clock flight. It wasn’t until we got inside that I found out just how much the airport has changed. We checked in our luggage and printed out our tickets at this machine that scanned our passports. We went up an escalator to find our gate, but before we could get to it there was this huge line we had to go through.
The airline business is an industry that is competitive and unique, focussing on consumer choice and the responsiveness of airlines to changes in the external business environment. For any airline, this environment can be very complex as it is ‘hard for them to fully understand and impossible for them to fully control’ (The Times, n.d. p1). Virgin Atlantic is an international airline that is based in the UK. It was started by the entrepreneur Richard Branson in 1982 and now flies to 30 destinations around the world (Virgin Atlantic Airways Ltd, 2011). By looking at
2. The London based Airline could have verified their passenger list and should have identified Prof. McPherson as a Gold card member and a loyal customer and should have taken any one of these actions based on the situation:
At the onset of the airline industry in the United States, major network airlines were the sole providers of air travel. This multifaceted industry was a difficult industry to break into as a consequence of “sophisticated customer segmentation, hub-and spoke models and costly information systems for reservations, fare wars and intense competition” (Thompson 2008). Shrinkage in airline ticket prices augmented the demand for airline travel. Many markets were simply deserted or over-looked by major network airlines; this is a region a fresh “second tier of service providers” could enter into. This endeavor proved to provide a consumer savings of billions per year. Thus in June of 1971, after a tumultuous battle with other Texas-based
JetBlue Airways, the latest entrant in the airlines industry has gone through the initial stages (entrepreneurial and collectivity) of the organizational life cycle rapidly under the successful leadership of David Neelman. JetBlue Airways is currently in the formalization stage of the life cycle where in it needs to create procedures and control systems to effectively manage its growth. Also as it proceeds to grow further to reach the elaboration stage, JetBlue needs to continue to align itself with the environment in order to maintain its sustained growth.
The airline industry can be considered an imperfect oligopoly. There are several large carriers that dominate long distance flights, and many small carriers that compete for short distance flights. Competition is fierce, and the return for most carriers is very low. Some airlines are trying to differentiate themselves, like JetBlue for example, by offering superior services at low prices. Other low cost airlines, like Southwest, offer low costs with no frills. Most airlines offer a frequent flyer programs in order to develop brand loyalty. In recent years there has also been several alliances formed between airlines. These alliances enable
Research topic: Southwest Airlines Company is looking to establish a global presence in either Vietnam or Spain. This research paper is to help analyze both countries and to determine which of the two countries Southwest Airlines Company should enter. The second purpose of this research paper is to determine how Southwest Airlines Company should enter the country. This paper proposes to answer four questions: Who is Southwest Airlines Company? What does Southwest Airlines Company do? Which country should Southwest Airlines Company enter; Vietnam, or Spain? How should Southwest enter that country; by investing in a facility, marketing products, or joint venture? The participants are students of Mount Washington College, Global Issues: Business, Government, & Society course BADM364, team B. Team B members are: Kyle Forbes, Adam Paquette, Nina Scarpino, Louie E. Watson, and Cheryl Kessler. Research methods applied include research and discussion to compare and analyze findings to determine which country makes the best fit for Southwest Airlines Co. global business strategy. The data analysis will compare each country’s history, economy, politics, government, culture, demographics, infrastructure, how business is done, and how Southwest has done business in
Southwest Airlines provides short haul, high frequency, point-to-point, low-fare services to and from 58 cities across the United States. The company is known for its low-cost fares and superior customer service in the airline industry. The company was started in 1971 with a motto still lived by today, "If you get your passengers to their destinations when they want to get there, on time, at the lowest possible fares, and make darn sure they have a good time doing it, people will fly your airline." This motto has been effective for the company because they recently reported their 58th straight quarterly profit.
Southwest was one of the most fuel sophistry airlines, but the continuing uprising fuel costs made the airline improve the fuel efficiency of its fleet by purchasing new Boeing 737-700s. They chose to purchase instead of rent to improve cash reserves and have less debt to total capitalization compared to other