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Air Canada - Business Innovation Assignment

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Submitted By hinfunhyik
Words 1637
Pages 7
Sage
Consultants

January 19, 2012

Mr Olive Yue, CEO
Air Canada
135- 5980 Miller Rd
Richmond, BC V7B 1K2

Dear Mr. Yue,

Report on Changes and Trends in the Airline Industry

I am writing this report in response to your recent request to Sage Consulting to advise Air Canada on the emerging changes and trends in the airline industry. This report will address major issues rather than trivial ones.

Currently, the fierce rivalry between the different airlines means that Air Canada must continue to innovate in the ever-changing market place in order to stay relevant. Given that the airline industry is highly sensitive to changes in the wider economy, our company has performed in-depth research and analysis on the challenges and opportunities that these social changes may bring as well as the potential impact that they may have on Air Canada.

Furthermore, we have also investigated the innovative practices that are currently being developed by your competitors which Air Canada should be aware of. Based on the strengths and weakness of Air Canada, we have come up with recommendation on ways that your company can best adapt to these changes.

We hope that you and your senior management staff will find this detailed report to be useful and insighful. Thank you once again for choosing Sage Consulting Inc.

Sincerely.

Henry Fung
Senior Consultant
Sage Consultants Inc.
1055 Georgia Street – Suite 301
Vancouver, BC V6E 3H3
Telephone (604)-301-3001
Emerging Social Trends
Growing Asian market
Currently, the global airline industry continues to be impacted by the European debt crisis, which has substantially dampened the demand for flights taken by Europeans to Canada. The economic slowdown has seriously hurts Air Canada’s European market since approximately one-fifth of its revenues comes from transatlantic flights.

On the other hand,

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