The longest-running airline carrier, Delta Air Lines, is ranked number 68 on the Fortune Global 500 companies and is one of the leading commercial airlines in world. However, Delta’s upbringing into the industry was much different than other airline companies due to the fact that Delta started out as a crop-dusting operation, known as Huff Daland Dusters. The man behind this operation, located in Monroe, Louisiana, was an agricultural scientist and pilot by the name of Collet Everman Woolman (Delta Air Lines, Inc). In 1928, the company sold the crop-dusting service and began Delta Air service. During World War II, Delta had contracts with the War Department for transporting troops and mail between Peru and Ecuador. Soon after, Delta began passenger …show more content…
They also have improved their economy seating by redesigning chairs for better comfort, which has allowed them to add three additional inches of legroom ("Delta Airlines: Flying High in a Competitive Industry”).
Employee loyalty has been key to Delta’s success. For example, in 1982 the company was going through financial struggles and in order to help, their employees took a voluntary pay cut. The company used the proceeds to purchase their first 767 aircraft, which they called “Spirit of Delta” ("Delta Airlines: Flying High in a Competitive Industry”).
Another key to Delta’s continuous success is the using through its use of code sharing. Code sharing enables a flight operated by once particular airline to be marketed for multiple other airlines. Delta is currently in an alliance with Continental and Northwest airlines.
Among all other strategies listed above, having a main-hub location in the most traveled airport in the world certainly plays to Delta’s advantage. Delta controls majority of the concourses located within the Hartsfield-Jackson Atlanta International Airport, allowing Delta to maintain a distinct advantage over its competitors. Appendix D illustrates Delta’s domination in the airline
Delta Airlines in a major American airline company headquartered in Atlanta, Georgia, United States. The company was founded on May 30, 1924. They operate as an extensive domestic and international network. Delta currently operates a fleet of more than 700 aircraft and they employ approximately 80,000 people. In 2011 they were the world’s largest airline in terms of fleet size. Delta Airlines is a very successful company. Part of what makes them so successful is expansion, making good decisions in route selection and hubs location, being service oriented, having a strong operation management, being reactive in terms of prices, and offering low fares.
Delta airlines have multilateral and formed alliances with other airlines. This is beneficial since the airline is able to gain access to international airlines. By forming alliance, the airlines share
While Frontier and Delta are both popular choices of airlines for Americans, Delta has become more of a household name because of their friendlier service, more comfortable cabins, and their limited extras fees. Frontier airline still is a worthy competitor by being cheaper, but they also have many added on fees for things that are free with Delta. Overall, Delta knows how to take better care of their customers and make sure everyone is satisfied.
Delta Airlines initially started out as a very small crop dusting operation named Huff Daland Dusters in 1942 (Delta, 2016). Today, Delta has become one of the largest global airlines with serving more than 160 million travelers each year (Delta, 2016). Delta airlines provide both domestic and international flights to customers to 318 destinations over a span of six continents. They also have nine domestic hubs and three international hubs (Delta, 2016).
This paper will give a historical overview of the company, discuss the ingredients to the company success, offer some financial strengths and present a final conclusion. Section I: Southwest's History Twenty-seven years ago, Rollin King, a San Antonio entrepreneur who owned a small commuter air service, and Kelleher, who was a lawyer at the time, got together and decided to start a different kind of airline. They began with one simple notion. If you get your passengers to their destinations when they want to get there, on time, at the lowest possible fares, and make certain they have a good time doing it, people will fly your airline. And you know what? They were right. Within those 27 years, Southwest Airlines became the fifth largest major airline in America. Today, they have flown over 50 million passengers a year to 54 cities all over the southwest and beyond. They do it over 2,300 times a day with over 267 of the newest jets in the nation and fly only one type aircraft; the B-737. The average age of their fleet is only 8.4 years and they own over sixty percent of them. In May 1988, they were the first airline to win the coveted U.S. Department of Transportation Triple Crown for a month - Best On-time Record, Best Baggage Handling, and Fewest Customer Complaints. Since then, they've won it
Delta Airlines is the largest airline carrier on the Atlantic Coast. In terms of scheduled passengers carried they were world’s largest airline with 277.6 billion in 2013. Also the second largest
The Delta airlines serve more than 170 million customers each year.the survey conducted by Business travel news annually the delta airlines came No.1 for four continues years.
The large multinational corporation I chose is Delta Airlines. Delta Air Lines, Inc. is a major American airline, with its headquarters and largest hub at Hartsfield–Jackson Atlanta International Airport in Atlanta, Georgia. Delta Airlines along with its subsidiaries and regional affiliates operate over 5,400 flights daily and serve an extensive domestic and international network that includes 319 destinations in 54 countries on six continents, as of October 2016. [1]
The SO category suggests three alternatives. The first alternative is to include airlines in India and China under the Sky Team alliance. By doing this, Delta can penetrate into untapped emerging markets and increase its presence. The reason we suggest India and China is because these countries were amongst the lowest to be affected by recession and Delta doesn’t have its prevalence in these regions (http://www.economist.com/node/15172941). Secondly, Delta can capitalize on creating its hubs in India strategically in the long run after gaining access to these markets. The airline will benefit from larger population in both the countries and the government in India encourages Foreign Direct Investment in comparison to China. The third strategy promote business traveler programs in the U.S. Business travelers spend more on their trips and are not as
This report provides an examinaion of the current structure, performance, stragergy and management of Delta Airlines, along with an industry analysis of the airline industry. The report uses current and past financial and statistical data for the company along with other up to date material to determine Delta's current market position and future potential.
Delta “focuses on shifting their cost structure from fixed to variable costs as much as possible.” (https://rctom.hbs.org/submission/delta-airlines-flying-high-in-a-competitive-industry/) Delta also understands the importance the importance of delivering top notch customer service to appeal to their principal demographic, business travelers. They have incorporated a training work-shop so employees have a better understanding of how to solve travel disruptions that customers deal with. Employees also learn how to help insure that baggage performance is up to par with a low amount of mishandled bags reports from customers. Delta has done this by incorporating a way for customers to track their bags using a mobile app. In the Business Travel News Delta has been ranked #1 by corporate flyers for four years in a row. I believe the business level strategies that Delta has incorporated have been a good choice for their business. Their strategies have helped them to gain a competitive advantage from customer service and great operating cost flexibility.
With Delta Airlines being one of the most successful airlines in the industry it currently has its
From the humble financial portfolio as a crop dusting outfit in the mid twentieth century, to the multi-billion dollar portfolio of a major airline in the twenty first century, Delta Air Lines has risen as a successful business. The airline industry is directly affected by outside economic conditions and is also cyclical in nature. These factors make it very difficult for airlines to make predictions to stay financially afloat. Delta has ridden the bumpy path of the last twenty years and managed to survive. In the past twenty years there has been many events that
Southwest Airlines is one of the most successful airlines in the United States. There has never been layoffs or strikes in the history of the company, although there were several times when layoffs could have been justified, including the months following the September 11, 2001 terrorist attacks. However, Southwest's Mission statement says “Above all, Employees will be provided the same concern, respect, and caring attitude within the organization that they are expected to share externally with every Southwest Customer.” (Southwest, 1988). The Airline has always believed that their corporate culture is one of the keys to their success. The culture recognizes that employees have emotional intelligence and that their
As with all airlines, Delta’s recent performance has been significantly impacted by industry shifts and external events. Terrorist attacks and escalating costs have significantly impacted Delta’s profitability in recent history (Rivkin 4). The company has also been losing valuable market share to the low-cost carrier Southwest Airlines throughout the southeast and specifically in the lucrative Florida market (Rivkin 8). JetBlue also began encroaching on key Delta routes, and this seems only likely to increase (Rivkin 9). Despite this, Delta has still performed better than any other legacy carrier (Rivkin 8). Still, recent history has brought several changes to this legacy carrier, and the company has turned its attention towards new competitive strategies.