Abstract This paper discusses the airline industry within the US from the perspective of post deregulation. The reasons underlying the shift to a deregulated environment are examined in detail as are the competitive forces of supply and demand as they relate to price elasticity. Finally, the overall economic model governing the industry post-deregulation is discussed and is followed by several conclusions and a recommendation supporting some form of mild regulation of the industry.
From the Paper "The airline industry has long been a dynamic and vibrant industry and one that has proved problematic to quantify in real terms from an economic perspective. The airline industry was deregulated in the United States (US) officially in 1978 with passage of the Airline Deregulation Act of 1978 passed by the US Congress (Dilger, 2003, p.46). The reasons for deregulation were varied but they primarily revolved around economic issues. While the airline industry might not have been a true monopoly in that there were a variety of industry competitors, it tended to behave monopolistically in the sense that it, in effect, was an oligopoly."
This paper discusses the business strategies of the companies that make up the airline industry, which remains a high-cost business with low profit margins.
Abstract This paper explains that the airline industry remains on the brink of bankruptcy because of 9/11, the dramatic increase in the costs of fuel and increased security costs, which has led to the discretionary control of the airline industry by the Air Transportation Stabilization Board. The author points out that many U.S. airlines have formed international alliances to the benefit of the airlines and their customers; however, these airlines have not experienced a tremendous amount of growth in the last decade. The paper relates that the smaller, more regional airlines, such as Southwest Airlines and the no-frill airline Jet Blue, have developed strategies, which have increased their profits and competitiveness and have been copied by other U.S. and international airlines.
From the Paper "Southwest's success suggests that it can. JetBlue simply needs to focus on those things that separate it from the competition. While Southwest focused on affordability, JetBlue focuses on reliability. JetBlue has an operational recovery system, which allows planners to select goals before rerouting planes. "The software produces a solution and calculates its costs," after factoring in a plane's maintenance and fuel needs, the experience and availability of the flight crew, and FAA rules. The software will allow JetBlue to move into more markets without losing its reliability edge."
Abstract The paper explains that a bilateral air transport agreement (ATA) is a convention signed by two countries by which they allow one another unrestricted civil aviation within their national boundaries. They grant each other rights to transport and take on and off, passengers, mail and cargo on their air route and territory. The paper discusses how such an agreement has both positive and negative effects, but the paper reveals that the positive outnumber the negative ones and make the contract beneficial for the development of the airline industry, economy, tourism and international relationships. The paper explains that the majority of the bilateral air service agreements must have been beneficial for both parties, since once they expired, new alliances were negotiated and formed.
Outline:
Executive Summary
Opinions and Arguments in Favor of the ATA
Rights Granted to the Parties by the ATA
Protection Issues
Unfair Competition
Monopoly
Protectionist Policies
War and Natural Calamities
Opinions and Arguments Against ATA
Restricted Pricing
Suggested Solution
Frequency on a Route
Offshoring jobs in the Airline Industry
Conclusions
From the Paper "There are two main reasons that support the forming of bilateral air transport agreements. First, the governments of the countries involved in the alliance believe that an international agreement and partnership could help protect themselves from numerous enemies and unfair competition.
"The second argument has a rather administrative nature and it regards the air transport companies and the travelers. In this order of ideas, the airline companies would be granted access to several airports and would be able to compete on the air services market by promoting lower prices and higher quality. Clients would be able to choose from a wider range of air transport providers the company that best met their financial and quality demands. This way, customers would be able to choose "the lowest prices that are not discriminatory.""
Abstract This paper analyzes the effectiveness of the Transportation Security Administration with respect to airport security from September 11, 2001 to 2007. The paper discusses the problems with the TSA's improvements in airline security and shows how technology upgrades and increased personnel training are the most suitable solutions to improve the effectiveness of airport security in the United States.
Outline:
History
Problem
Stakeholders
Criteria
Alternatives
Impacts of Alternatives
Valuation and Tradeoff Identification
Political Feasibility and Implementation
From the Paper "Prior to the terrorist attacks of September 11, 2001, airport security efforts focused primarily on screening passengers and carry-on luggage with metal detectors and X-Ray machines. Following the tragedy, Congress ordered the Transportation Security Administration (TSA) to screen all checked baggage for explosives and random searches were added to security lines. Other enhancements to airline security post-9/11 included allowing pilots to arm themselves and placing air marshals on commercial flights. The new security measures and extra precautions have conflicted sharply with traveler efficiency and convenience, and pressure has built from the public to reduce this friction between safety and expediency."
Abstract In this article, the writer notes that the airline industry is characterized by a high level of competitive intensity and therefore Air Asia has to constantly reengineer its internal operations in order to build and maintain a competitive edge. In this respect, the strategic focus of the company is cost minimization. The writer discusses that the company is implementing the strategy of focus by targeting underserved markets while it is implementing the strategy of differentiation by adding value-added services to its repertoire. The writer looks at how Air Asia operates, focusing on the strategy of maximizing access to information. The writer points out that Air Asia locates opportunities for ensuring customer satisfaction through focusing on areas of the market which have not been targeted by competitors. The writer concludes that as a result, Air Asia manages to charge lower prices than many of its competitors while maintaining comparable standards of quality.
Outline:
Introduction
Evolution of E-commerce and M-commerce
Internal Environment Analysis
Strategy Formulation
Recommendations
Conclusion
From the Paper "Air Asia's application of Windows Vista can be extended to m-commerce because Microsoft has already developed operating systems for mobile phones. Therefore Microsoft will be in a position to create interoperability between e-commerce and m-commerce through the Air Asia gadget. Although m-commerce is wirelessly connected, it has the flexibility of being connected through e-commerce as well. This means that any solutions developed for e-commerce can be accessible through m-commerce. This will benefit the consumers because they will not have to be connected to the internet once the Windows Vista application is made compatible in the m-commerce platform. In this respect, the costs of conducting e-commerce applications are higher than m-commerce applications. E-commerce requires connectivity via a personal computer. With m-commerce the same amount of information can be processed through a cell phone."
Abstract This paper discusses reasons for exchange rate volatility and the negative effect it has on many aspects of doing business internationally. This volatility is shown to lead to ongoing problems of resource allocation, business strategy and risk management. The defensive and proactive responses of firms is discussed. American Airlines is looked at as an example. The paper concludes that it is important to assess risk, plan, make decisions and maintain flexibility wherever possible.
From the Paper "The number of variables affecting global businesses can make the effect of exchange rates on international business activity difficult to determine. The typical multinational firm may have operations in many countries, with many product lines and with competitors in yet other countries, creating quite a knot of factors to unravel.
Even within exchange rate considerations, there are two major factors: first is the impact of changes in the level of the exchange rate (the appreciation or depreciation of a currency's value) on a particular company or industry. The appreciation of the U.S. dollar by 50 percent between 1980-1985 coincided with an increase in the U.S. trade deficit to nearly $160 billion in 1987. Some U.S. companies were heavily hit and lost market share and profitability to foreign competitors. Foreign firms with dollar denominated costs were also hard-hit: Laker Airways, with fuel costs and aircraft financing in U.S. dollars went bankrupt during this time."
The paper discusses air rage to determine the causes and possible solutions to the problem. It also discusses the recent World Trade Center and Pentagon bombings and determines how that may affect air rage.
1,890 words (approx. 7.6 pages), 10 sources, 2001, $ 60.95
Abstract Air rage is a major safety problem today. The author looks at the primary causes of air rage. These include: alcohol consumption, hypoxia, long-haul flights and cramped seating. The the author looks at the possible cures and consequences for air rage. Lastly, the author examines the World Trade Center and Pentagon disasters to show how air rage solutions could have helped prevent them.
From the Paper "Air rage can best be defined as an action by anyone who fails to respect the rules and conduct onboard an aircraft, and includes that of any passenger who refuses to comply with the safety instructions while onboard the aircraft (Huang 2001). Air rage is more than a safety concern for the passenger, but also a significant safety concern for the airlines and the crew. In-flight incidents caused by enraged passengers involve various types of offenses including assault on crew members or other passengers, fights among intoxicated passengers, child molestation, sexual harassment, illegal consumption of drugs, refusal to stop smoking or consuming alcohol, and vandalizing seats or the cabin."
Abstract This paper examines technological disasters in the airline industry. In particular it looks at the British jet aircraft industry after the accidents. It allows us to gain insight into what people's conceptions were, and why certain events unfolded as they did. It shows us how people can learn from technological disasters, and even though they seem catastrophic at the time, they give us the necessary tools to insure that such disasters do not happen again.
From the paper:
"The Comet planes, operated predominantly by BOAC had established Britain as both a successful pioneer and leader in civil jet aviation. However, several American companies, including Boeing, were in hot pursuit of de-Havilland, fighting for their share of the new civil jet market. ?The Comets symbolized to Britons their nation's pre-eminence in jet aviation,? 5 and so the accidents came as a devastating blow, both in the short and long term. In the aftermath of the accidents, all Comets were grounded pending investigation, causing huge problems and losses."
Abstract A paper which investigates the steps taken by the authorities at Dallas/Fort Worth Airport to provide security for the more than 60 million people who pass through its doors each year. The paper shows procedures involved and the cost of this ongoing project.
From the Paper "Although these regulations are stated as a requirement for the airlines, it is unlikely they can be accomplished without the assistance of individual airports. After all, airports provide the facilities through which passengers and bags must pass to get to the airlines. DFW is spending $2.3 million to hire consultants to develop a plan for accommodating the estimated 80 bomb detection machines needed to comply with this new regulation. Since a layered approach is needed to meet these new regulations, DFW must continue to work with the industry, the federal government and the airlines, if airport security is going to be strengthened and enhanced sufficiently to allay the fears of the flying
public".
Abstract The author of this paper shows how the technologies critical to the U.S. for new weapons systems have become increasingly available in the global marketplace and thus are accessible to its potential adversaries as well. The paper provides an extensive review of the artificial intelligent systems currently used by the U.S. military aviation and their advantages.
From the Paper "It is CIE's job to determine what these actions mean right now, in the current situation. This explanation is formed based on current understanding of intent, situations in the external world, and knowledge about acceptable behavior in the cockpit.
"Understanding crew intentions is really only one function of CIE that ensures human-centered RPA behavior. CIE also dynamically identifies conflicts between the current crew intentions and RPA activities as posted by RPA's internal Task Network Architecture (TNA) scheduler. The TNA is the mechanism that coordinates RPA aiding activities. CIE can identify potentially counterproductive RPA behaviors and transmit an indication of conflict and also type of conflict so that the RPA Task Network can possibly identify a way to complete its scheduled tasks without being counterproductive to the crew's objectives."
Abstract The following paper examines how the news media has been changed from a brave, controversy-seeking faction to a community of self-censoring, congress-fearing puppets of whom the politically powerful are the puppeteers. The writer argues that the media is not the same establishment that once looked for the extra, but it is merely a reserved, timid society, a society that has ignored its once unquenchable thirst for the truth in order to satisfy its hunger for the more material things, money and power.
From the Paper "It is a calm, cold morning in Maine and the news is blaring in one household. The family hears that there has been another violent plane crash. Little Jimmy is quaking in his shoes, because he knows that the story will be covered constantly for most of the week, if not longer. Violent images will be shown on the television that his parents bought for Jimmy's favorite educational television shows. Jimmy decides to change the channel, but almost all of the channels are covering the same information about the plane crash. Then, an image of a man who died in the crash appears on television. Little Jimmy bursts into tears. Jimmy grows up to detest the news, and to hate plane crashes. Why must the news cover tragedies so extensively?"
Abstract Short story about a serious plane crash and the events after and before.
From the Paper "Jake Fielding, of Billings, Montana, woke up from a deep sleep to catch his midnight shift at the huge Ford factory 30 miles south. Jake, a muscular man in his mid-30?s, had lost his job as an electrician eight months earlier and decided to make trucks for a living, although he dreaded the night shift. He ate a quick breakfast of bacon, eggs and toast, and slipped out the door."
Abstract The following paper discusses how SIA, today, is one of the leading airlines of the world with more than $1 billion in liquid assets, while all major airlines of the world are reporting heavy losses and some are entirely dependent on bailout packages. This paper examines the airline's benefits of the most sophisticated in-flight services, extraordinary corporate values and pleasant cabin crew and explores how this airline has managed to emerge stronger from the current economic crisis.
From the Paper "With Asian economies encountering the worst slow down in two decades, it is clear that most businesses are likely to suffer heavily. We have seen that with global economic decline, most industries in almost every part of the world is reporting significant losses and this process has also been accelerated by the September 11 attacks. In these negative times for businesses, it comes as a major surprise that some companies have not only managed to stay aloft but have also reported profits. One such firm is Singapore International Airlines. The corporation, which is the proud symbol of Singapore's success, has been in operation for ore than fifty years now and for last 28 years, SIA has been moving in the right direction with sound revenues every year."
This paper introduces and discusses the Pitts S-2B aircraft, and the history of the company that manufactures this aircraft, along with the inventor, Curtis H. Pitts.
Abstract The following paper examines how the Pitts planes revolutionized aerobatic performance and competition. The writer discusses how flying in the 60's was redefined with the introduction of the S1-S Pitts Special, a small, powerful and agile biplane that dominated the sport during the period. This paper argues that the tiny Pitts was a marked contrast to the large Yak-52 monoplane used by the USSR and other eastern block countries.
From the Paper "Pitts Specials, in all their varieties, are eager to please. And they respond well to a loving touch. They become transparent and take on the personality of the pilot, making him, or her, the composer. The Pitts lets them write the melody as they alone hear it" (Davisson).
While it is still a very popular training and show aircraft, the Pitts S-2B is no longer in production, is has been superceded by the Pitts S-2C. Replacement parts can still be purchased from Aviat Aircraft of Afton, Wyoming. ?To many pilots, their Pitts Special becomes more than an airplane. It becomes a living, breathing entity that completes them both as people and as pilots. Maybe that's the real gift of Curtis Pitts. It's not so much the victories, as what he has added to so many lives. Few people make that kind of contribution to the world. But then, few people have designed the likes of a Pitts Special.?
Abstract The paper discusses Pitts Special planes which are used specifically in aerobatic competitions and have been in operation since 1943 when Curtis Pitts designed his first special plane. The paper examines the features and purpose of Pitts S-2B which is one of the modern versions of the original Pitts Special aircraft.
From the Paper "The range of Pitts Special then grew steadily and some other models were made available which were all used for aerobatic competitions and thus quickly gained popularity in the industry for their unique features and designs. Not only were these planes stronger than many other counterparts, their designs were also developed keeping in mind their purpose. This colorful range therefore attracted media and public attention when they participated in national air-shows and exhibitions. But it is important to know that Pitts Special range became more popular during the 1960s era when Curtis Pitts developed some constructions sets and sold them to amateurs for a price of $125 per set."