Airline Industry Essay

JetBlue Airways Corporation (JetBlue), often called “New York’s Hometown Airline,” operates in the airline industry. It was incorporated in August 1998, began service in February 2000 and by the end of 2013 had grown to become the fifth largest passenger carrier in the United States based on revenue passenger miles. According to the JetBlue website (2014) in 1999, David Neeleman announced his plans to launch a new airline, “New Air.” By the end of 2000 JetBlue had reported $100 million in revenue and by 2001 it posted a profit (JetBlue.com, 2014). Headquartered in Long Island City, New York, JetBlue is one of the leading carriers in Boston, Fort Lauderdale, Los Angeles, Orlando, and San Juan (JetBlue.com, 2014). With over 30 million passengers and more than 300,000 flights reported in 2013, JetBlue is one of the only two airlines that have reported increasing numbers in flight and passenger volumes year after year despite the adversities that exist in the airline industry (Bureau of Transportation, 2014). JetBlue is a low-cost carrier airline with high-end amenities. There are many airline companies around the world and in the United State. In fact, there are nine major low-cost carrier competitors that currently exist and operate in the United States: Spirit Airlines, Southwest Airlines, US Airways/American Airlines, Delta, United, Frontier, Alaska Airlines and Virgin America.

Northwest Airlines and American Airlines will be compared thoroughly in many aspects. Globalization, diversity, ethics and technology will be addressed in various ways. All four themes will be addressed through the strength, fit and adaptive ness of both company's cultures. The overall organizational culture of both Northwest Airlines and American Airlines will be clear.

The film Flight club which was original based on a novel by Chuck Palahniuk has been a movie that has gained a strong cult following. I myself have seen this film dozens of times but I’ve never looked at it through a psychological perspective, until now. The character in this film who remains unknown for the entirety of the film lives in a city that is dark and pretty run down. “This is your life and it’s ending one minute at a time”. This is a pretty famous quote from the beginning of the film that I’ve seen plenty of times and it really helps set the tone for how the movie is. The narrator of the story is an employee of a business which remains unknown, he’s an insomniac who appears to have constant fear

* "To expand operations and focus on corporate responsibility and make it an important part of the organisation"

In a televised interview on “CEO Exchange Mr. Don Carty, CEO of American Airlines discusses his frustration with labor cost. Now, American Airlines is facing a Chapter 11, bankruptcy filing. American Airlines is the world’s largest fleet of about 1,500 airplanes which serves international customers. Being the largest fleet, American Airlines employees around 113,300 employees that are overseen by three different unions. (“American Airlines – Wikipedia,”n.d.) The unions are made up of The Allied Pilots Association, The Association of Professional Flight Attendants and Transport Workers Union. The three unions had agreed to a 1.62 billion in annual concession, which was presented as retention bonuses and to protect the pensions for top executives. The concessions were said to keep the organization from filing bankruptcy, after a 1st quarter loss of $1.04 billion. (Under Fire for Perks, Chief Quits American Airlines – the New York Times, n.d.). Mr. Don Carty, CEO of American Airlines stated that there two major challenges. One which is better business motto “cost to premium is not bigger that our revenue to premium.” Identify the product elements that

American Airlines is a major legacy airline based in the United States. The airline has been operating in the air transportation industry, aerospace industry, and airline industry since it was first created***date***. The company offers several services to the public. Some of the services that the airline provides include air carrier services (domestic and international) and air cargo and mail transportation.

Delta Air Linesheadquartered in Atlanta Georgia, in the United States. Delta Airlines operates extensive domestic and international network serving all continents except Antarctica. Delta is the sixth-oldest operating airline by foundation date, and the oldest airline still operating in the United States. Delta Air Lines is one of the four founding members of the Sky team airline alliance, the other three being Korean Air France Air andAeromexico. The loyalty program for Delta Air Lines is Sky Miles.

1. Describe the various promotion elements that Southwest Airlines uses in its integrated marketing communications.

Pan American Airways grew dramatically and they used advertising as a key item in their growth strategy. Pic 1 shows some of the routes Pan American used to assist the Allies in World War 1 in 1941. This poster helped gain consumer confidence because it showed that if its safe for the military it should be safe for the typical consumer. It also allowed for a form of patriotism, by hinting at the ideal of fly with the company who supports our nation.

By October 2002, Southwest Airlines had apparently weathered the initial crisis to the airline industry that resulted from the September 11, 2001 ("9/11") terrorist attacks. Most of the large national carriers had experienced huge losses in demand, profitability and market share, while in contrast Southwest's low-fare operations had thrived, even in the face of declining earnings. Yet, only a year after the attacks, Southwest and the industry in general faced still unknown future changes to its operating environment. There was already a new dynamic of security becoming a priority consideration, and new governmental directives and taxes meant to ensure and maintain that security. This new security dynamic had already

Southwest uses a strategy that keeps their costs low, while maintaining similar value. Southwest’s strategy greatly helped them gain a competitive advantage in the U.S. domestic flights market because at the time, most other airlines offered flights at higher prices and with three different classes of airfare. This allowed Southwest to be the first movers into the idea of cost friendly flights. And because no one else could compete with Southwest’s low cost, their innovative idea allowed them to be cost leaders in this market. Southwest’s main policy is providing the cheapest flights with only one class of flight. They kept costs low through their use of cost drivers. And by keeping the costs low, Southwest created a competitive disadvantage

The next-generation of aircraft, including the Boeing 787 Dreamliner, Airbus A350 and Bombardier C Series, are 20% more fuel efficient per passenger kilometer than current generation aircraft. This is primarily achieved through more fuel-efficient engines and lighter airframes and supporting structures made of composite materials but is also achieved through more aerodynamic shapes, winglets, a "one-piece" fuselage and more advanced computer systems for optimizing routes and loading of the aircraft.

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

This paper evaluates the key financial challenges facing organizations in Risk Management, Managing International Acquisitions, and Managing Working Capital simulations. Secondly, an evaluation of Southwest Airlines (SWA) management of working capital and the optimal financial strategies employed is presented. Also evaluated are the potential improvements in financial performance along with long-term and short-term strategies. Lastly, considered in this paper is whether a merger or acquisition would affect SWA’s employed strategic outlook.

In this memo, I will discuss the analysis process, results and my recommendations about the Southwest Airline case.