Case Study: Independence Air

2472 Words Mar 22nd, 2013 10 Pages
MBAA 642 | INDEPNDENCE AIR | ASSIGNMENT 9 - AIRLINE CASE STUDY | | Alois Nyandoro | 3/14/2013 |

Dr. Bruce Ellis |

A brief history
Independence Air started as Atlantic Coast Airline (ACA) on 15 December 1989. It operated as a feeder service as United Express for United Airlines and Delta Connection for Delta Airlines. United withdrew from the contract after ACA labor and management objected to a request for concessions for a lower fee-for-departure agreement. Consequently, ACA reinvented itself as a low cost carrier known as Independence Air and began operations on 16 June 2004. Independence Air was based at Washington Dulles International Airport.
In February, 2005 (slightly over 6 months after inception), one of Independence
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Room in which to stretch the legs while seated.


space to move one's legs comfortably, as in a car

legroom n →
..... Click the link for more information. than ever before. The regional jets provided for fast boarding and deplaning due to their planeside “carry-on baggage “check-in-leave” your carry-on at the doorway of the aircraft and they'll be there waiting for you when you arrive” There were no middle seats, everyone gets either an aisle or window seat. Independence Air later that year introduced live satellite TV in every seatback seat·back also seat back
The back of a chair or other type of seating. of its Airbus 319 aircraft.
Independence Air products coupled with their customer focus proved very popular and earned them second position in customer satisfaction among 16 domestic airlines in the nationally recognized Market Matrix Hospitality Index. This was the first time Independence Air was listed in the Airline Customer Satisfaction survey. (Source; Independence Air).
Cost Structure
Independence Air started operations with 50-seater regional jets. According to Bombadier (the manufacturer), the operating cost per available seat mile for a typical US regional airline using a CRJ 200 in a 50 seat configuration is 10.7 cents. To put this in perspective, Southwest operating B737-700, in 137 seat configuration, operating cost per available seat mile is 7.6 cents. Skeen, Independence Air CEO’s

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