Str 581 Week 4

Air Canada is Canada 's largest full-service airline and the largest provider of scheduled passenger services in the Canadian market, the Canada-U.S. trans-border market and in the international market to and from Canada. In 2010, Air Canada improved its reputation as one of the world’s leading international air carriers. Significant progress was made on executing and delivering on its four key priorities and this, coupled with improving economic conditions, allowed Air Canada to record operating income of $407 million in 2010, a $677 million improvement from 2009. Air Canada’s financial strategy is to continue to improve both the level and sustainability of its

Air Canada has been in the business of air transport for an extended period of time. Due to the experience and the exposure of the carrier in the field, it has made a commendable progress through many strategies as well as customer proximity. One of the approaches taken by the airline involves the identification as well as an implementation of cost reduction initiatives in a bid to increase revenue from its operations (Air Canada, 2016). It is also attempting to connect with the existing carriers across the world to connect the current customers to the international world. This approach has been adopted to increase its competitive advantage over other existing airlines.

Over 35 years ago, Rollin King and Herb Kelleher decided to create a different type of airline. They began with the simple notion: If you get your passengers to their destinations when they want to get there, on time and at the lowest possible fares, and make darn sure they have a good time doing it, people will fly your airline. They were right (Southwest Airlines, 2004)!

Due to the growing competition and diminishing market share, companies are opting for different strategies to achieve their survival objectives as well as growth. Companies are thus executing grand strategies to provide their businesses with a clear direction for its strategic actions. These strategies, therefore, aim at both short term and long term sustainability and growth, and they include innovation, market development, product development, and concentration.

American airlines is a corporation that exhibits all of the characteristics of a firm in an industry where good tactical management is the key to success. This company and its regional airline partner American eagle serve almost 250 cities around the world and operate more than 3600 daily flights. Its goal is to provide safe, dependable and friendly air transportation along with related services, making a great effort to transform any experience into a positive one. All of the services that this company has and the image that they are trying to keep in every day activities make each day an inevitable challenge for its employees.

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.

Strategy formulation has been acknowledged as one of the most crucial factors of ensuring the long-term growth of the business. However, the manner in which strategy is formulated, and most importantly, the nature of the strategy chosen for the company determines its future position in the marketplace (Grant, 2005).

Air Asia leading airline was established with the dream of making flying possible for everyone. Since 2001, Air Asia has swiftly broken travel norms around the globe and has risen to become the world’s best. With a route network that spans through to over 20 countries, Air Asia continues to pave the way for low-cost aviation through our innovative solutions, efficient processes and a passionate approach to business. Together with our associate companies, Air Asia X, Thai Air Asia, Indonesia Air Asia, Philippines Air Asia and Japan Air Asia.

Airline for America started purpose is to foster a business and regulatory environment that ensure safe and secure transportation and enables U.S. airlines to flourish, stimulating economic growth locally, nationally and globally. They are with the U.S Congress about state legislatures, they are U.S. department of Transportation, Federal Aviation Administration, and U.S. department of Homeland Security, and for security they also included Transportation Security Administration and Customs and Border Protection. The member of the airlines are Alaska Airlines, American Airlines, Atlas Air, FedEx Express, Hawaiian airlines, JetBlue airways, southwest, united and UPS.

Part 1 Overview and Fiscal Analysis - One of the prime examples of the new paradigm in the airline industry is Jet Blue, an American low-cost, no-frills airline. Its main base is JFK international airport in Queens, NY. The airline's main destinations are U.S. hubs, flights to the Caribbean and Bahamas, and some to Central and South America. It is a non-union airline with a fleet of just under 200 craft, with another 50 ordered. The primary strategy for Jet Blue is the customer value proposition. The airline is not fancy, does not try to offer a number of amenities, only has a few routes, and is primarily trying to base ridership on low-cost fares. Revenue for 2011 was $4.5 billion, with operating income of $322 million and net income of $86 million. The company has a total of over $7 billion in assets showing that 2011 was a good year for the airline, even though revenues were slightly lower than the previous year (Jet Blue Annouces 2011 Annual Profit, 2012).

In conclusion American Airlines continues to be the epitome of what utilizing all the knowledge and technology advances that one has to conquer success in the given field. And is the ideal example of what best practices

The commercial airline selected for the business trip is Alaska Airlines. The airline is the ideal carrier because Seattle is Alaska Airline’s hub, making it the best choice for both trips. It’s important to point put today that commercial airlines face an overwhelming high volume of travelers. With more and more passengers traveling via commercial airlines, one of challenges business travelers face today is the longer wait times through the TSA security check point, delayed flights, overbooked flights, and even flight cancellations. This in return can cost a business a deal, increase business travel time, and add to the travel cost. For many business travelers’ time is money.

Everyone had a childhood dream. Whether it was being an astronaut, a princess, a firefighter, or a pilot. Not everyone got to be what they wanted as a child, because of a change in plans or just harsh reality, although some do. As for Bradley Tilden, he got into the airline industry because of his childhood dream. He went to high school a few short miles away from the company’s headquarters where he could watch the planes take off and land. During his college years at Pacific Lutheran University, he had a job with Amtrak that was able to provide him with a little more money than he needed for the schooling. With that money he learned to fly, but he thought he could never become a commercial pilot, so he became an accountant. Unexpectedly one of his friends needed to need to leave Alaska Air Group to have a baby, and he was given the opportunity of a lifetime. Since May 15, 2012 Brad has been the chief executive officer of Alaska Air Group. Alaska Air Group contains Alaska Airlines and Horizon Air. Brad has been the president of Alaska Airlines since December of 2008. He had been the chief financial officer of Alaska Air Group from 2000 to 2008 and was the executive vice president of finance and planning from 2002 to 2008. Alaska Air Group has about 13,000 people employed making it the seventh-largest airline in the United States for passenger traffic, and the top airline for the west coast (Brad Tilden: Keeping an Airline Flying).

Upon review on a profile of a successful company we see Southwest Airlines as a prime example. Their ability to recognize weakness in their management system and adjust strategies has allowed them to emerge as a leader in the US airline industry. Southwest is the largest US low fare carrier with low fare rates, no additional fees and excellent customer service. Southwest Airlines currently has one of the most innovative management practices in the US to date. A review of the critical elements of Southwest Airlines proves to be effective and innovative.

JetBlue was innovative in leveraging latest technologies. It sells only electronic tickets, reducing paper, postage and processing expenses. In addition, it sells tickets only through its own website, the only low-cost distribution channel available. JetBlue operated “Open Skies” software to handle Electronic ticketing, Internet booking and Revenue Management. It costs 25cents per e-ticket as compared to $25 to process a paper ticket. JetBlue’s website was responsible for 75% of ticket sales. Since it did not go through other online reservation systems like Expedia and Orbitz, it saved money on booking