Situation Following the Deregulation in 1978‚ a competitive price war ensued among the airline industry as a direct result of the new freedom for airlines to set their own fares as well as route entry and exits. This gave rise to the operating structure of the airlines as it exists today‚ consisting of the point-to-point system and the hub and spoke system. With this came the change of focus for major airlines to non-stop‚ cross-country routes in densely populated cities‚ which‚ in a regulated environment
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bankruptcy airlines‚ excess capacity‚ a very capital intensive business and too many years as regulated airlines. In fact‚ during the Gulf war and recession in 1990-92‚ it took them four years to return to profit‚ even though traffic recovered within a year. The industry experienced a profit slump. From 1994 to 1997‚ airlines have had to recognize the need for radical change to ensure their survival and prosperity‚ after what happened last in the last four years. Many have tried to cut costs aggressively
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Introduction Singapore Airlines (SIA) has developed into one of the most respected travel brands around the world. Its mission statement: "Singapore Airlines is a global company dedicated to providing air transportation services of the highest quality and to maximizing returns for the benefit of its shareholders and employees". Singapore Airlines has grown from a regional airline into one of the world ’s leading carriers. They have a young‚ efficient fleet‚ an educated staff attuned to quality‚
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Selection of and Justification for Alternatives Competition There is no doubt the advent of readily-obtainable pricing and availability for airline travel via the internet has changed competition drastically. Not only are customers able to search and select flight times and destinations from each individual airline’s own website‚ but they now also have the ability to compare everything regarding the flights from plane types‚ durations‚ layovers‚ connecting flights‚ additional fees and fares on
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would survive this restructuring. NOTE 1. Source: Jupiter Communications‚ 2000. WESTjET AIRLINES (A): THE CULTURE THAT BREEDS A PASSION To SuccEED Prepared by Ken Mark under the supervision of Professor Gerard Seijts Copyright© 2001‚ lvey Management Services INTRODUCTION It was April 17‚ 2001‚ and WestJet ’s market capitalization had just surpassed that of Air Canada ’s‚ the country ’s leading airline. "We ’re in the hospitality business and our culture is everything to us‚" stated Don Bell
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Task Three: Budget Airlines CONTENTS • Who and what are budget airlines • Marketing environment - Micro environment - Macro environment • Sources of information • Segmentation • Targeting • Positioning • Marketing mix – price • Questions Budget Airline Definition Budget airlines don’t have free meals and entertainment • Budget airlines don’t issue tickets • Budget airlines have only one class – budget class
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difficult to do so. There are also two main different types of mindsets: fixed and growth. A fixed mindset is described as understanding intelligence‚ talents‚ and abilities as static characteristics of an individual’s nature. People who adhere to a fixed mindset believe that these characteristics are not able to change or develop and thus consider themselves to be at their best at all times. Therefore‚ individuals with a fixed mindset attempt to appear as infallible in an effort to prolong cognitive
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Continental airlines case The biggest challenge that the continental Airlines is grappling with is with regards to their operational efficiency. Their previous decision of oursourcing key functions like reservations‚ payroll and EDS were causing a delay in flow of information thus hindering data based decision making in the company. Most decision thus were being made not by what data said but by the “hunch” or “intuition” which often proved wrong. Lack of real time data‚ complex system of booking
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evaluate the adaptation of the marketing mix (MM) of two airlines with respect to a certain marketing tactic. Therefore‚ Etihad Airways‚ the national carrier of the United Arab Emirates (UAE) and the South African low-cost carrier Mango have been chosen for the comparison. Hence‚ brand positioning and awareness will be appraised as a marketing tactic for both airlines. Secondly‚ this report will compare and evaluate how these two airlines adapt product and promotion as part of the MM in order
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VARIABLE-RATE PREFERRED STOCK Preferred stock has frequently been issued in connection with mergers and acquisitions. Often the preferred stock is issued with a conversion feature‚ so in the long run there is a probability it will become common stock capital. Preferred stock allows the acquired firm’s owners a prior claim relative to common stock and reasonably definite dividends while simultaneously giving the acquiring firm a form of leverage without strapping it with the rigid obligations of
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