Orlando International Airport Essay

Another major issue was transportation. Over the summer I learned that public transportation is not cheap or convenient. Bus passes in Orlando cost upwards of $50 per month and even more if purchased weekly. Short drives that would normally take fifteen minutes

The United States carries over one third of the globe’s total traffic, where Over 1.5 billion passengers fly annually. Over the past 20 years, air travel has grown at an average of about 5% per year, the reason for annual change is usually differences in economic growth, and of course other environmental factors, such as the current war. As a rule, the annual growth in air travel has been about twice the annual growth in GDP. Deregulation, liberalization, and competition have essentially altered the management strategies and practices of airlines. Productivity improvements and cost management have been two of the greatest concerns for US airlines for the past twenty years. As a whole, the airline industry must continue to improve their specialization in terms of fleet utilization, pricing and revenue management, and schedule optimization.

American airline industry is steadily growing at an extremely strong rate. This growth comes with a number economic and social advantage. This contributes a great deal to the international inventory. The US airline industry is a major economic aspect in both the outcome on other related industries like tourism and manufacturing of aircraft and its own terms of operation. The airline industry is receiving massive media attention unlike other industries through participating and making of government policies. As Hoffman and Bateson (2011) show the major competitors include Southwest Airlines, Delta Airline, and United Airline.

Investors saw favorable returns from airlines in 2014. The airline industry’s average return on invested capital (ROIC) reached 5.4% in 2014, which is up from 3.7% in 2012, and 4.4% from 2013. All of the growth in the airline industry has occurred in spite of a decade of terrorist fears, a 1.8 billion annually fare hikes from 2002 through 2011, and the implementation of many risk management travel screening measures. As the years have passed after the 9/11 attacks, the fear of traveling and rise of fares has ceased due to the security measures and great customer service the airline industry as a whole provides travelers.

Most agreements permit airlines to fly from their home country to designated airports in the other country: some also extend the freedom to provide continuing service to a third country, or to another destination in the other country while carrying passengers from overseas. In the 1990s, "open skies" agreements became more common. These agreements take many of these regulatory powers from state governments and open up international routes to further competition. Open skies agreements have met some criticism, particularly within the European Union, whose airlines would be at a comparative disadvantage with the United States ' because of cabotage restrictions.

The charter market accounts for approximately 55% of Airport activities, whilst the scheduled market 45%. Future trends indicate that the gap may be narrowing as more scheduled and economy carries increasingly cater for leisure traffic. It is hoped that this will limit the effects of the volatility of the charter market, which can drop significantly of recession. Seasonal Factors

As the research data was collected, especially with the case study comparative analysis’ between the Texas airports, the statistical occurrences began to detail flight/economic improvements, not only at Love Field, but also at Austin, DFW, Houston, and San Antonio. As seen by the data below all the major airports saw an increase in airline ridership, flights and overall operations.

Airlines must operate within a low-margin, high-fixed-cost environment, making profitability particularly sensitive to decreases in volume, either from environmental factors (e.g., the September 11,2001 attacks) or from competition. Moreover, the airline business is labor-intensive. Labor costs as a percentage of revenues ranges from a low of about 25 percent for the low-fare airlines to almost 50

• As the years progressed the U.S. and many other nations entered into similar bilateral agreements. In 1992, the DOT initiated an “open skies” initiative to allow for more flexibility in route selection, capacity, fares, and frequency of flights. 3. What is the current status of the “Five Freedoms” in today’s international aviation

Daytona Beach International Airport has a wonderful and strong economic impact of the state of Florida. The aviation system in Florida allows the state to capitalize on an increasing global marketplace. By having the airport in the state of Florida, it allows the economy to grow and develop for both the state and the airport. Florida’s system of commercial service and general aviation at the Daytona Beach International Airport are important businesses. Aviation is a significant economic benefit to the state of Florida. The economic development at Daytona Beach includes: encourage the city to use its resources and to provide friendly business processes, develop sites and facilitate expansions and relocations, encourage Brown Field developments near ERAU, target new business

A drop in fares has been the best result of the Airline Deregulation Act of 1978. It has been the impetus for the increase in the number of flights, which in turn has spurred a drive for greater safety in airlines. But with the current airline market, this development has given us one negative. Since ticket prices have dropped to new lows, the realities of an industry which operates on such economies of scale dictates that only a few competitors have the capacity to operate within the market. This is not the desired effect of either political side on this issue, but it is an economic necessity with the environment that has been created, very similar to that of public utilities and phone companies.

McCarran International Airport (LAS) is the main commercial airport for the Las Vegas Valley and Clark County, Nevada. It is roughly 5 miles south of Las Vegas, NV in Clark County. LAS covers nearly 2,800 acres, with four runways and two terminals. LAS is owned by Clark County and operated by the Clark County Department of Aviation (DOA) (AirportIQ, 2015). The airport is named after former Nevada senator Pat McCarran (Hall-Patton, 2010). LAS is a focus city and the largest operating base for Allegiant Air and Southwest Airlines.

Since the airline industry is a direct product of market conditions, it is greatly affected by all externalities. Many people noticed a decline in travel after the September 11th tragedy occurred due to safety concerns. When there is a huge increase in fares that definitely interferes with the demand for travel; it causes the price of tickets to continue to rise since a clear correlation between supply and demand exists. When the economy is doing well in terms of the employment rate, and when the dollar is strong people have the tendency to travel more (Jerram,1998).

* 3-6PM is one of the busiest times of the day in terms of airline traffic and the number of people

Tourism also provides a vast amount of employment opportunities for locals, research has shown that tourism related jobs whether direct, indirect or induced account for more than 25% of jobs for the Caribbean. The many jobs created by tourism helps in reducing the unemployment rate and in turn increase the Gross Domestic Product and helps in further development