Chapter 2 E:Business: How Businesses Use Information Systems Student Objectives 1. Identify and describe the major features of a business that are important for understanding the role of information systems. 2. Describe the information systems supporting the major business functions: sales and marketing‚ manufacturing and production‚ finance and accounting‚ and human resources. 3. Evaluate the role played by systems serving the various levels of management in a business and their relationship
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and expectations‚ but don’t interfere in how people do their jobs”‚ lead by example ( “actions of executives”) ‚ focus on empowerment and trust‚ “ opportunity culture”‚ teamwork. Growth: Fleet size expansion; destinations expansion; alliance with JetBlue. Alternatives. Flying larger
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Situational Analysis: Internal factors: Strengths: Joint Venture with Japanese Airline Partnership with JetBlue Member of oneworld alliance International - Flies to North America‚ the Caribbean‚ South America‚ Europe and Asia Number of routes AAdvantage frequent flyer program Weaknesses: Older airplanes Unstable chairs on their airplanes Current financial situation External factors: Opportunities: Merge with another airline Reorganization of their company Successful retrenchment
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operating costs. Southwest has the lowest costs‚ adjusted for stage length‚ on a seat mile basis‚ of all the major airlines. Among the factors that contribute to its low cost structure are a single aircraft. Other major discount airlines‚ such as JetBlue (JBLU)‚ AirTran (AAI) and SkyWest (SKYW) are also in the mix‚ and represent some serious competition. Through out the analysis the company is to be compared to Skywest airlines‚ the airlines industry‚ and the S&P500 index . Southwest Airlines’ ROE
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subsidiary‚ is the threat to Delta’s bottom line by low-fare airlines who occupy important market share in that low-cost segment. Delta initially failed the establishment of Delta Express as a major low-fare airline and was not able to compete with JetBlue or Southwest Airline. The attempt to establish its own low-cost airline had not worked out as the Express line had not properly been seperated from the Delta mainline and still was too intertwined with the mainline to be considered a successful subsidiary
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Southwest Airlines Case Study 1. Company Overview Southwest airlines began in 1967 as a low-cost‚ low-fare‚ customer-friendly air service shuttling passengers between San Antonio‚ Dallas and Houston‚ Texas. Founded by Rollin King and Herb Kelleher‚ Southwest moved from a small commuter transport of 18 round trip flights within Texas to a bustling market share leader providing more domestic flights than any other airline within the industry. Within two years of its first flight the airline
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Table of Content Index of Illustrations Foreword IATA‚ business analyst and aircraft manufacturers agree that the demand for air transportation in means of passenger transportation will constantly rise over the next 20 years by 5%1 worldwide. Besides the obvious capacity constraints of airlines‚ airspace and airports‚ the expansion does also challenge the industry in respect of a topic that might not always be so obvious: the human being itself – the passenger! How do I deal with 500 potential
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Analysis of the Airline Industry Marketing Management Fall II December 8‚ 2003 Table of Contents Environment . .. 3 Demand . .. 6 Competition .. .. 7 Product .. .. 9 Pricing . 11 Placement/Distribution .. . 14 Promotion 16 Conclusions . 17 References
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BACKGROUND JetBlue envision to create high quality airline at low-fares‚ to accomplish this JetBlue is developing high technology (Paperless) to meet efficiency but also focused on service improvisation. Profile • Founder • Focus Area : David Neeleman : New York‚ Florida & California • Operations : February 11‚ 2000 • First Flight : Between New York’s JFK &Fort Lauderdale • Initial Capital : $130 million Mission Core Values Safety Caring Integrity Fun Passion
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Discussion Questions DRAGON SOUP AND EARNINGS MANAGEMENT For Case (A) 1. Using Excel sheet provided‚ and the recommended consequential disclosures as a basis for your analysis‚ what recommendations would you give Phillips on each of the items listed below? In each case‚ justify your recommendations and estimate how much the decision will change the true value of the company and its value in the eyes of an investor in a private company. a. The lease or buy decision‚ including whether to structure
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