Canadian low-cost carrier that was founded in 1996 by an entrepreneur Clive Beddoe. With an idea to start up a low-fare airline company, Beddoe quickly found a team of like-minded partners and WestJet Airlines was born. The role model for WestJet was Southwest Airlines and Morris Air, both operating in the United States. The main goal of the newfound company was to offer “affordable air travel coupled with good service” (WestJet handout, pg 52). Besides being a very successful low-fare carrier, WestJet
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THE AIRLINE INDUSTRY is in deep crisis. Losing over 100,000 jobs since September 11, 2001, and suffering major wage and benefit cuts, workers are in shock and looking for new leadership. The recent U.S. invasion and occupation of Iraq, the outbreak of the SARS epidemic and the economic downturn exacerbate the impact of the crisis on labor. Airline workers are in the forefront of discussions about their own industry and more general questions as political and social consciousness changes under
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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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customers a unique experience on every flight for each interaction they had with the airline (JetBlue Experience, 2005). When a new business is entering this market it has to decide how to compete with the other similar discount airlines, such as Southwest or AirTran and make their business stand out differently. Now that the business has chosen the advantage then it will have to come up with the resources to help build the business such as operating procedures, communication systems, and information
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Title of the case: United Airlines Time Context: 2003 Summary United Airlines is the world’s largest air carrier and the second largest in the U.S. United is owned and controlled by its parent company UAL Corporation. United has hubs in San Francisco, Chicago, Denver, Los Angeles, and Washington D.C. and also has key international gateways in Tokyo, London, Frankfurt, Miami, and Toronto. During 1995, United was experiencing profit and cash flow problems at that point and in order
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Office of Inspector General AVIATION INDUSTRY PERFORMANCE A Review of the Aviation Industry, 2008–2011 Number: CC-2012-029 Date Issued: September 24, 2012 Memorandum U.S. Department of Transportation Office of the Secretary of Transportation Office of Inspector General Subject: INFORMATION: Aviation Industry Performance: A Review of the Aviation Industry, 2008–2011 Controlled Correspondence No. 2012-029 Calvin L. Scovel III Inspector General The Secretary Acting Federal Aviation
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STRATEGY Compulsory formative assignment RYANAIR – THE LOW FARES AIRLINE CASE STUDY SummaryThe study case invites us to assess the success of Ryanair’s strategy in a highly competitive environment. For this purpose, we will successively evaluate its competitive positioning, its internal competencies, and its sustainability. We will conclude that Ryanair had followed until 2009 a low cost strategy, that its key resources and competences did satisfy such strategy in 2009 and that its principal
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MASTER BUSINESS STRATEGY CONSULTING , DELTA AIRLINES CASE To determine the profitability of the airline industry, we will do an industry analysis using Porter’s five-forces framework a) Rivalry among existing competitors Concentration The concentration and the number of competitors make very difficult any agreement about pricing. Diversity of competitors There are many competitors with approximately the same size, especially for the legacy carriers. Product differentiation
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money, and the airlines industry has tried to adjust to the increasing demand and by cutting and controlling costs (Thompson, Strickland, Gamble, 2009.pg c-53). David Neeleman founded jet Blue, after working for two other airlines (Morris Air and Southwest) in which he was not satisfied with their way of doing business to connect with customers needs. Neeleman was born in Sao Paulo Brazil in 1959 and has been customer focused. He wanted to lead an airline that would combine the low fares of a discount
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oppourtunity for research. This case study will analysis the budget airline through its business model, evironment and industry and finally focus on Ryanair’s strategy position in order to explore its sustainability in future. The framework is briefly illustrated by following figure. Figure 1: Brief Framework of this Case Study The budget airline business model The first company in history to suggest the budget airline business model to the world was Southwest Airlines (SWA) in Texas, USA.
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