Case Study : Some Budget Airlines

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.

The changes brought up labor unions in the United States over recent history has brought about a movement. This specific movement has shaped the way that employees and workers are treated in the workforce,and how they maintain their quality of life through this employment. Many people think that the labor unions’ influence has created a power struggle between management and union leaders. In many cases this can be considered true, as there have been countless feuds between management teams and labor unions, especially in recent history. In today’s times, on the one hand, some people believe the existence of unions are a necessity in order to ensure and promote employee freedom; while on the other hand some people view labor unions as just another problem in the line of employee success.

United Airlines and Continental Airlines, two major airlines companies, agreed to a merger that would create the world’s largest airline. Such important deal has a lot of problems to be dealt with, from technical, for example how to put the companies databases together, to more fundamental, like how the company should be ruled.

The labor union movement over the years has shaped the way individuals work and live for both the nicest and unpleasant. Some would think the unions influence has created a power struggle between management and union leaders. In today’s time, some citizens insist the existence of unions are a must to aid in employee freedom, while others view the labor unions as just another problem in the line of progress. The purpose of labor unions was for employed workers to come together and collectively agree on fundamental workplace objectives. The rise of the union came about after the Civil War- responding to the industrial economy. Surprisingly at the least unions became popular within the 1930-50’s and began to slowly decrease,

Being part of a union gives members the benefit of negotiating with their employer collectively, as part of a group; giving them more power than if they were to negotiate as individuals (Silverman, n.d.). Overall, unions demand fairness which can lead to the unions influencing and changing ‘managerial decision-making at the workplace level’ for decisions in which employees are affected (Verma 2005). Unions are also beneficial to have present in the workplace because their bargaining of better condition will often benefit non-members as the conditions negotiated with management are implemented across the organization with no regard to membership status. Management is also able to avoid union disagreement by benchmarking conditions to that of an already unionized workplace.

On February 29, 1996, WestJet Airlines came to life. They became the face of low-cost, short-haul, point-to-point airline for Western Canada. The organization began when entrepreneur Clive Beddoe, president of Hanover Group of Companies purchased an aircraft for personal use. Beddoe later made his aircraft available to other business people through Morgan Air, owned and operated by Tim Morgan. Tim Morgan, along with Calgary businessmen Don Bell and Mark Hill found an opportunity to start an airline. They all reached out to David Neelman, who was president of Morris Air and asked for assistance on writing the business plan for WestJet. They joined forces and WestJet Airlines came to life. They all held a different position and Beddoe was the president, chief executive officer, and chairman of the board of directors. Bell and Morgan were senior vice-presidents and Hill was the vice president. When WestJet first began, they only flew to Vancouver, Kelowna, Calgary, Edmonton, and Winnipeg. They now fly to 102 destinations in 19 different countries. In addition, they also increased the amount of aircraft they own. WestJet began in 1996 with just two aircraft and by August of 2000, they increased to 94 aircraft. Not only did they increase aircraft, but employees too. Their workforce expanded to 30,000 employees. On July 1999, WestJet hit a huge milestone when it completed its initial public offering of 2.5 million common shares. Clive Beddoe

From this perspective, trade union is perceived not necessary and the role of it is creating conflict, and it is seen an unwelcome intrusion into the organization from outside competing with management for the loyalty of employees (Rose, 2004). Trade unions exist either as the result of wickedness or perverseness of individual employees, or because of a failure of management to anticipate and incorporate worker needs and concerns (Bray, Deery, Walsh and Waring, 2005).

As NZCTU (2010) explains everyone deserves respectful and effective work conditions that offer choice, fairness, and protection. But employee rights are vulnerable to the whims of government and employers. People seek and join unions primarily to improve a problematic situation at work. The collective benefits provided such as support, enhanced pay and conditions, training and education, legal advice and monetary services are another (Tolich & Harcourt, 1999). As well as unions providing these benefits, people are more likely to join if their ideology is left wing oriented (Deery & De Cieri, 1991, as cited in Tolich & Harcourt, 1999). Evidence of this can be seen in Waddington and Whitson (1997) and Tolich and Harcourt’s (1999) studies which looked into why people join unions, with the general reason being, ‘support if I

This paper will review the case study of Delta Airlines which was suffering like all its competitors with rising fuel costs which averaged anywhere between 30 to 50 percent of its total operating costs. This paper will answer six questions which will help identify what the company did to handle the high cost of fuel. The questions that I will answer will include the following.

This proposal addresses the needed steps to be taken in order for Southwest Airlines to see continued growth in the airline industry. Southwest Airlines has been able to remain one of the most profitable airlines in the industry for an extended period of time. Even with the hindrance of the 2001 terrorist attacks involving airplanes and the U.S recession of 2008, Southwest has continued to see strong revenue growth. Meanwhile, other companies were experiencing major losses and in some cases folding. Southwest Airlines has capitalized on the company’s strength of being the top low cost

With 1988 operating income of $801 million on a revenue of $8.55 billion, American Airlines, Inc. (American), principal subsidiary of Dallas/Fort Worth-based AMR Corporation, was the largest airline in the United States. At year-end 1988 American operated 468 aircraft on 2,200 flights daily to 151 destinations in the United States, Bermuda, Canada, Mexico, the Caribbean, France, Great Britain, Japan, Mexico, Puerto Rico, Spain, Switzerland, Venezuela, and West Germany.

After overcoming significant struggles before launching their first revenue passenger flight, Southwest has emerged as one of the most profitable and popular airlines in the United States. Since its first commercial flight in 1971, Southwest has been servicing customers for 45 years while consistently turning a profit each year unlike its competitors. Southwest has also been able to uniquely withstand the brunt of various industry downturns including energy crises, the events and aftermath of September 11, 2001, and the 2008 recession.

The project requires the student to carry out a research, analysis and discussion on how a Singapore listed company can access to the country’s financial system and how it benefits the company in achieving its business objective. The research will cover the various types of financial services offered by financial intermediaries whom the corporation can access to.

Companies over the last decade, has recognized that their survival to a lesser or greater extent, depends either entirely or partially to appropriate information system. It is established, based on lesson learned from both failed and successful organizations, that an information system strategy are to support or aligned with, business strategy. Similarly the business strategy can influences the choice of Information System used in the organization. A business strategy entails futuristic organizational planning that result in companies gaining competitive advantage. It is direct linked to supporting area such as marketing, procurement, and information system. The case of Comair airline, even after acquisition by Delta

However some operators have reversed this, and are paid by local governments to land at some airports, as they expect to gain economic benefits from this.