...The Size and Growth of GEG Airport ABSTRACT This paper is going to explain the size and growth of Spokane international airport (GEG) by developing an empirical model. I will use the data from 1993 to 2009 on the airport, which includes passengers, local measures of income and population, and CPI to explain the development of GEG. This paper will include 7 parts: introduction and background, conceptual model, empirical model, data section, empirical results, summary and conclusion, and references. Keywords: Airport size, growth, and patterns. JEL Codes: L93 Introduction and Background In the following paper, I will specifically study Spokane International Airport using the knowledge that I have learn from Economics 320 and 421 classes to develop conceptual and empirical models that explain its size and growth. To do this, I will focus on the factors that could influence the income of the airport, which may contain the number of passengers, employers and airplanes, local population and cpi, weather and the relationships among them. For society, the result of this paper could make a clearer idea for people about airport industry; for the owners of airports, this paper may influence the management and marketing of airports and help them to earn more income; for my own, this paper can help me better understand what I have learn in this class and how to use the knowledge to work in future position. Spokane International Airport, which airport code...
Words: 1514 - Pages: 7
...Economic Benefits from Air Transport in Nigeria Nigeria country report Acknowledgements Oxford Economics gratefully acknowledge the help that we received from the International Air Transport Association (IATA) in preparation of this report. Through a survey conducted by IATA many organisations across the aviation industry supplied us with data that has formed an integral part of our analysis. In addition, the Airports Council International (ACI) very kindly provided us data on the economic activities at airports. We would like to thank all these organisations for their generosity in supplying this data, without which this report could not have been written. A note on the data reported in the report Unless otherwise stated, the numbers reported in this report relate to the calendar year 2010. Oxford Economics 2012 v1.1 2 Nigeria country report Contents Facts & figures.......................................................................................... 4 1 1.1 1.2 Consumer benefits for passengers and shippers ......................... 7 Consumer benefits ..................................................................................... 7 Estimated consumer benefits ..................................................................... 8 2 2.1 2.2 2.3 Enabling long-term economic growth............................................ 9 Connectivity and the cost of air transport services .................................... 9 How aviation...
Words: 9743 - Pages: 39
...and Environment in a Globalising World 10-12 November 2008, Guadalajara, Mexico The Impacts of Globalisation on International Air Transport Activity Past trends and future perspectives Ken Button, School of George Mason University, USA NOTE FROM THE SECRETARIAT This paper was prepared by Prof. Ken Button of School of George Mason University, USA, as a contribution to the OECD/ITF Global Forum on Transport and Environment in a Globalising World that will be held 10-12 November 2008 in Guadalajara, Mexico. The paper discusses the impacts of increased globalisation on international air traffic activity – past trends and future perspectives. 2 TABLE OF CONTENTS NOTE FROM THE SECRETARIAT .............................................................................................................2 THE IMPACT OF GLOBALIZATION ON INTERNATIONAL AIR TRANSPORT ACTIVITY - PAST TRENDS AND FUTURE PERSPECTIVE ....................................................................................................5 1. 2. 3. Introduction ..........................................................................................................................................5 Globalization and internationalization ..................................................................................................5 The Basic Features of International Air Transportation .......................................................................6 3.1 Historical perspective ...............
Words: 4313 - Pages: 18
...NATIONAL AVIATION UNIVERSITY Air Transportation Management Department TERM PAPER On discipline“Basis of systems theory and management” Topic: «Airport as a complex system on the example of Boryspil» Kyiv 2012 NATIONAL AVIATION UNIVERSITY Department of air transportation organization TASK for course paper preparation student Roksolana Novytska Topic of the term paper: “Airport as a complex system”_______________________ 1. Period of term paper preparation: since ________2012 year till_______2012 year. 2. Stages of term paper preparation: * … 3. The task was given by________________________________(_______________________) (signature) (name) “______”____________2012year. 6. The task taken for solving _____________________ (signature of student) The term paper grade ______________________________________ The head of the commission: ________________________________________________”___”__________2012 year. Members of the commission: ___________________________________________________________ Abstract Total volume of course work is 37 pages. Contains 22 figures and 5 references. The aim of the thesis is to investigate Boryspil airport in terms of Systems analysis course. The work includes theoretical studies of all aspects...
Words: 9002 - Pages: 37
...MANAGERS INDUSTRY ANALYSIS PAPER:Airlines IndustryTable of Contents Executive Summary 1 I. Introduction 2 II. Market Structure 4 III. Industry Demand 5 IV. Cost Structure 6 V. Analysis of Competitive Forces (Porter’s Five Forces) 9 a) The Threat of Entry by New Competitors 9 b) The Intensity of Rivalry among Existing Competitors 10 c) Pressure from Substitute Products 11 d) The Bargaining Power of Buyers 11 e) The Bargaining Power of Suppliers 12 VI. Conclusion 12 VII. References 14 VIII. Appendices 16 | Executive Summary Due to the necessity of the services the Airline industry provide, its relevance has increased tremendously over the years, this relevance has induced higher demand and higher expectations in the industry. Thus, entering this industry comes with a big price, the cost associated with airline industry are enormous and with the current fuel and labor cost many airlines are facing their biggest challenge yet, as they all scramble to stay afloat, the pressure to meet passengers demand has never being higher due to the steepness of their demand curve. Airline deregulation was enacted by the government to help ease some of these issues that may arise in this industry, the government saw the need to regulate airline industry prices while still maintaining their services to passengers due to the continuous increase in demand of airline product with no many other options in some cases no other options for passengers. After conducting...
Words: 4189 - Pages: 17
...Strategic Management: Porter Analysis for Civil Aviation Industry Ajay Kr. Dhamija¤(N-1/MBA PT 2006-09) Abstract "The air transportation system has become essential to the economic progress for the citizens and businesses of this nation" The airline industry must: ² Be e±cient and technologically superior ² Have the ¯nancial strength to respond to rapid change and opportunity. ² E±ciently move people, products and services to markets, wherever they exist Airline industry in India is plagued with several problems. These include high aviation turbine fuel (ATF) prices, rising labor costs and shortage of skilled labor, rapid °eet expansion, and intense price competition among the players. But one of the major challenges facing Indian aviation industry is infrastructure constraint. Airline industry in India is plagued with several problems. These include high aviation turbine fuel (ATF) prices, rising labor costs and shortage of skilled labor, rapid °eet expansion, and intense price competition among the players. But one of the major challenges facing Indian aviation industry is infrastructure constraint. We present here the porter ¯ve force analysis of Civil Aviation Industry and hance try to ¯nd out whether it would be advantageous to enter into this industry or not. Keywords: Porter Analysis, Airline Industry , Available Seat Mile, Revenue Passenger Mile , Revenue per Available Seat Mile , Air Tra±c Liability , Load Factor , Threat of New Entrants , Bargaining...
Words: 2798 - Pages: 12
...INTRODUCTION Background in Brief Ryanair was established by the Ryan family with a staff of 25. Its first route was launched in 1985 with a 15-seat aircraft ferrying passengers between Waterford in Ireland and London. In 1986, Ryanair launched its route from Dublin to London to challenge British Airways and Aer Lingus, the two dominant airline carriers on that route, by offering fares at lower prices. With two routes in operation, Ryanair carried 82,000 passengers in its first full year of operation. By 1993 Ryanair has carried over 1 million passengers. In 1995 Ryanair overtook Aer Lingus and British Airways to become the biggest international scheduled route carrier in Europe. The Organization Today Ryanair now operates more than 1,500 flights per day from 57 bases on 1,500 low fare routes across 28 countries. It connects 178 destinations and operating a fleet of 305 new Boeing 737-800 aircraft. In 2012, Ryanair had a team of more than 8,500 employees and carried over 78 million passengers. Ryanair’s main business is to provide “low-fare-no filling” airline services. Ryanair also offers various ancillary services including in-flight sale of beverages and food, car hire services, internet-related services etc. To expend its network, Ryanair, which already owns 29.82% of Aer Lingus in 2012 announced its intention to acquire Aer Lingus by making an all cash offer of €1.30 per share for its entire share capital. Ryanair recorded a profit of €503 million in...
Words: 5386 - Pages: 22
...Value chain analysis at air asia Air Asia is the second Malaysian national airline which provides a totally different types of service called low cost no frills. Their vision is to provide affordable price to all worldwide travellers with minimum in-flight service.thier price is slightly lower than to any other full service airlines. Before 2001 Air Asia fails to capture market or attract new customer due to its poor operation against the full fledge service given by Malaysian airlines which was supported by Malaysian government. Turning point of Air Asia was in 2001 when this loss making company bought by Tony Fernandez. Air Asia re-launched in Malaysia in late Air Asia re-launched in Malaysia in late 2001, with low cost domestic airlines. Value Chain Analysis: PRIMARY ACTIVITIES: The primary activities in Porter’s Value Chain are as follows INBOUND LOGISTICS: As inbound logistics involves different categories in air line industry for example how to schedule flights, keeping an eye on their competitors that what strategy they are adopting how to sustain in market, and how to cut off their price as they manage fuel efficiency by purchasing it advance when prices are low, and how to plan routes as they mostly plan short routes so that their costs are low. OUTBOUND LOGISTICS: As air Asia mostly uses their operations through online as their ticketing process is totally online and customer can get their tickets book online and they can also print their boarding card from their...
Words: 3546 - Pages: 15
...Economic Analysis on Budget Airline—Taking Ryanair as an example . 1. Introduction Ryanair Ltd. is a pioneered Irish low-cost airline, located in Dublin, Ireland. In 2013, Ryanair was both the largest European airline by scheduled passengers carried, and the busiest international airline by passenger numbers, according to its annual report in 2013. From its official website, data shows that Ryanair operates more than 1,600 daily flights from 72 bases, connecting 184 destinations in 30 countries and operating a fleet of more than 300 new Boeing 737-800 aircraft. The latest news about Ryanair could be found on its corporate website (http://corporate.ryanair.com), saying that “Ryanair has recently announced firm orders for a further 280 new Boeing 737 aircraft, as well as options for 100 more Boeing 737 MAX 200s, which will enable Ryanair to lower fares and grow traffic from 90m this year to over 150m p.a. in 2024. Ryanair currently has a team of more than 9,500 highly skilled aviation professionals, and has an industry leading 30-year safety record”. It is a very typical case for economic analysis. The tragic news about the wreckage of Airasia QZ8501 hit the world on 28th Dec 2014, which put the budget airline in the front of the storm again since it is not the first news about airline crash in 2014. Budget airline is elastic in terms of the speed to repose to the demand change and it makes efforts to sell out its all seat using differentiated...
Words: 3600 - Pages: 15
...Managerial Economics Term Paper DEMAND IN THE DOMESTIC AIRLINE INDUSTRY OF INDIA Submitted by: Akshata Shirodkar ePGP-02-002 This term paper explores the rational economics behind the demand and its affect on dynamic pricing in the domestic airline industry in India, where both of these vary often with time and units available. Based on the learning gained during microeconomics course, this paper analyses the current pricing strategies and norms practiced by the airline industry. Managerial Economics Term Paper Demand in the Domestic Airline Industry of India CONTENTS 1. INDUSTRY OVERVIEW ............................................................................................................................................... 3 1.1 MARKET SHARE ................................................................................................................................... 3 1.2 INDUSTRY GROWTH ............................................................................................................................ 4 1.3 CAPACITY VS DEMAND ........................................................................................................................ 5 2. AIRLINE INDUSTRY CUSTOMERS ............................................................................................................................... 5 2.1 CUSTOMER SEGMENTS ..............................................................................................................
Words: 5981 - Pages: 24
...| Dogfight over Europe: Ryanair (A) | Case Analysis | MGMT 480 BUSINESS PLANNING AND STRATEGYDR. Ayman Ismail DR. Iman Seoudi | Farah Amin | 10/22/2015 | I. External Environment Analysis A. PESTEL Trends Analysis Political and Legal: Deregulation of airline industry in the late 1970s. In the 1970s there was a general trend to deregulate the airline industry which had previously been mainly controlled by governments. So each government set fares rates, routes, customer service policies, entry and exit, intercarrier agreements, mergers, and consumer issues for its flag carriers as well as private businesses. However, in 1978, the US airline industry became partially deregulated through the Airline Deregulation Act. And even though this movement started in the US airline market it started to spread through European countries when the European commission proposed the deregulation in 19842. This would later result in less involvement of governments in policies of airline businesses. Oil Embargo in 1973–1974 As a result of the Arab-Israeli War in 1973, the US government decided to re-supply the Israeli military in its war against Arab countries. Consequently, Arab members of the Organization of Petroleum Exporting Countries (OPEC) imposed an embargo against the United States, which was extended to other European countries that supported the Israeli government. This embargo resulted in the ban of petroleum exports to those countries and introduced cuts in...
Words: 1520 - Pages: 7
...Name Instructor Course Date Emirates Airlines In the Middle East, Emirates Airlines is one of the market leaders in the air transport industry. It operates about 2,200 flights in a week across the whole world with its main hub in Dubai, UAE (Shaw 67). The company engages in offering commercial air transport services both in the UAE and internationally. This includes cargo, postal and passenger carriage services. Moreover, the company engages in offering retail and wholesale consumer goods, institutional and in-flight catering and hotel operations. Its headquarters is in Dubai where the coordination of all operations including flight takes place. The company was founded following the collapse of the Gulf Air in 1985 (Doganis, The Airline Business in the Twenty-first Century 56). It serves approximately 134 destinations in about 60 countries with a fleet size of 218. The mission of the airline mission is to deliver the best in-flight experience in the world. The values and visions of the company involve a stable and strong leadership team. The company believes in business ethics as the foundation of its success. It cares for both stakeholders and employees, the environment and the society it servers (Doganis, Flying Off Course: The Economics of International Airlines 75). The company plays a major role in shaping the future of the air transport industry. Given the associated dangers of terrorism in the Middle East, the airline airport surveillance and security is high...
Words: 1578 - Pages: 7
...the level of demand for air travel is correlated to the strength of the U.S. and global economies. According to the S&P, it is expected that an improving U.S. economy continues to drive improving air travel demand over the next few months beginning at the end of 2009. At the end of 2009, the reported traffic statistics at many major carriers showed improving demand and revenues . Therefore, it is reasonable that the U.S. airline industry could be undergoing the start of fundamental industry demand improvement. In addition, since the industry has already reduced capacity levels, it should be able to raise fares as passenger travel demand improves. Even though oil and jet fuel prices is up sharply from 52-week lows, they are still notably lower than in 2008 , which should ease cash usage throughout the group and allow good entry points into new fuel hedge positions, thereby offering protection if oil spikes again. According to S&P, the top 10 U.S. carriers lost about $5 billion in 2009, after a $4 billion loss in 2008, as the benefit of lower jet fuel costs was eroded by lower airfares and falling passenger levels. Results in 2008 were impacted by record high oil prices. Airlines have cut fares in response to weakening demand, but we think recent cuts to domestic and international supply could help restore some pricing power. For 2010, S&P estimates a net profit of about $2.0 billion for the top 10 U.S. major airlines Continental Airlines, Inc. –SWOT Analysis Continental...
Words: 2689 - Pages: 11
...COMPANY PROFILE Toyota Motor Corporation REFERENCE CODE: 2A89F017-6903-477A-A94B-628576B59972 PUBLICATION DATE: 9 Jul 2015 www.marketline.com COPYRIGHT MARKETLINE. THIS CONTENT IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED OR DISTRIBUTED. Toyota Motor Corporation TABLE OF CONTENTS TABLE OF CONTENTS Company Overview..............................................................................................3 Key Facts...............................................................................................................3 SWOT Analysis.....................................................................................................4 Toyota Motor Corporation © MarketLine Page 2 Toyota Motor Corporation Company Overview COMPANY OVERVIEW Toyota Motor Corporation (Toyota or "the company") is one of the leading auto manufacturers in the world. It is engaged in the manufacture and sale of motor vehicles. Toyota sells its vehicles in more than 170 countries and regions worldwide. The company has operations in Japan, North America, Europe and Asia. It is headquartered in Toyota City, Japan and employed 338,875 people as of March 31, 2014. The company recorded revenues of JPY25,691,911 million ($256,919.1 million) during the financial year ended March 2014 (FY2014), an increase of 16.4% over FY2013. The operating profit of the company was JPY2,292,112 million ($22,921.1 million) in FY2014, an increase of 73.5% over FY2013. The...
Words: 3228 - Pages: 13
...relationship with the customers and has led to quality service at affordable price. Policies The policies of Kulula.com were formulated, keeping in mind to attain customer loyalty of present and potential customers and has successfully established its image in both the corporate and the commercial world, which has resulted with achieving 10% - 15% of the domestic market share in the aviation industry of South Africa. Philosophy Kulula.com’s committed philosophy of ‘Now anyone can fly in South Africa’ to achieve its goals and objectives and ensure uncompromising standards of safety, comfort, reliability & service to its valued Customer & partners. PESTEL (International, Demographical) Analysis As airline industry is a large and growing industry, “PESTEL Framework Analysis” offers the analysis of political, economic, social and technological, issues that affects the strategic development of Kulula.com’s business and also identifies the influences of external environment and legal factors in which Kulula.com operates. Upon analyzing, results obtained can then be used to take advantage of opportunities and to make contingency plans for threats when...
Words: 4860 - Pages: 20
