Exploring Corporate Strategy CLASSIC CASE STUDIES Chaos in the skies – the airline industry pre- and post-9/11 Gary J. Stockport The case provides an opportunity to analyse the Airline Industry both pre- and post-9/11. It shows how one major event in the business environment can reshape many aspects in both the macro and competitive environment of an industry. In turn this requires a reshaping of strategies for most of the individual companies in the industry in order to cope with this new
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The European Airline industry has gone through a lot in the past century since the establishment of the first public airline after the World War I. Until a few decades ago most of these airlines were national and at least partially state owned, and most of the European countries had at least one, with direct government control. Significant change in this only came in the 1990’s with the appearance of the low cost airlines. While the business model existed for some time (first such in 1973 US), the
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Communication Southwest Airlines stated mission, vision, and values will be compared to what the companies enacted values, mission, and vision are. Also discussed are whether the proposed and enacted values are aligned, the extent to which communication is determined by the culture, how communication plays in the perception of the organization, how misalignment of the values may affect the perceptions and how conflicts may be used to improve communication. Mission, Vision, and Values Southwest airlines
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The supply chain in the travel industry changed with e-business. In the past, travel agencies have been supplied by services from airlines, air charter services, hotels, rental cars, and other travel services such as cruises etc. Most information has been provided earlier by phone and later by computer. The travel agency during this time played an important role. For customers it was impossible to book a flight or a hotel on their own. However, suppliers relied on travel agencies to get sales.
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competition, Airbus. They were also relying on foreign partners more than ever before to get every part ready in time for assembly. With the launch of their 25th model named the 787 Dreamliner, scheduled for delivery in 2008, Boeing promised to provide airlines with a fuel efficient aircraft and passengers with a modern, convenient airplane that will take them distances in comfort at competitive prices. A potential benefit of this new aircraft was to decrease fuel consumption by 20% making it more environmental
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comparable airlines. It also includes some advantages and disadvantages of a firm from going public. The multiples used to set IPO price were prices per share, earning per share, cash flow per share, total assets per share, and revenue per share of five comparable airlines. When looking to take a company public, investors first examine other comparable companies’ stock prices. The five Comparable airlines companies we chose are: Air Tran, Alaska Air, America West, Midwest, and Southwest Airline. The
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advertising undoubtedly resulting in increased profits. This paper will describe the four elements of the marketing mix (product, place, price, and promotion) and tell how each of the elements impacts an organization's marketing strategy and tactics. Southwest Airlines will be the organization used to describe the marketing mix in great detail. Let's begin by looking at the marketing mix. (Perreault, W.E., et al., 2004). Providing the correct marketing mix of goods/services can make the difference between
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Overview of Airline Industry Depreciation Policies, 12/22/99 CFRA believes that certain airline companies have recently obtained an earnings boost by extending the depreciable lives and increasing the residual values relating to operating aircraft. In addition, some airlines have recently recorded one-time write-downs and losses on the sale of aircraft, leading to questions about the proper depreciable life of aircraft. Typically, an airline’s aircraft depreciation expense is derived by initially
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UNITED AIRLINES SLEPT ANALYSIS Q1: What is meant by the external business environment and what are its main components? External environment refers to the environment that has an indirect influence on the business. The factors are uncontrollable by the business. The external environment of an organization is those factors outside the company that affect the company's ability to function. Some external elements can be manipulated by company marketing, while others require the organization to
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BRETT GODFREY: We certainly never intended and never will leave those people that have been supporters of us today, or historically, being the budget and backpacker end of the market. But the airline has certainly moved to now not just build that airline around those people but build that airline around the rest of the travelling market as well. PETER RYAN: Since then Virgin Blue has matched Qantas with flight lounges, live television on certain flights, internet bookings and self checks
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