LUFTHANSA CASE ANALYSIS Executive Summary Lufthansa CEO Herr Ruhnau was under-fired for his hedging decision on the purchase of 20 Boeing aircrafts which cost Lufthansa an additional DM 225M back in Jan. 1985. Some criticisms are valid to a certain degree given the strict covenants and guidelines Ruhnau had to work against however others are base-less such as forcing Ruhnau to step down as CEO. This case analysis will discuss the hedging alternatives Ruhnau considered‚ the decision that
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499-020016*201002 Friday‚ December 18‚ 2009 Assignment 5 Lufthanasa 1. What type of international strategy has the company chosen‚ and what means has it used to expand internationally? The type of international strategy that has been chosen by Lufthansa involves four phases‚ where the first three results to a global strategy and the final phase is a strategy monitoring system (2006). The first phase is project definition and mobilization‚ wherein the company reviews its project definition‚ builds
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Other Lufthansa: To Hedge or Not To Hedge The following is an MBA problem for which I am seeking a detailed answer in understandable English. (Note: I have had a problem in the past with answers that were substantively good but were hard for me to understand/figure out due to improper use of English grammar.) Case Synopsis: Heinz Ruhnau‚ Lufthansa ’s CEO‚ needed to determine how to deal with the foreign ex change risk resulting from the purchase of 20 new aircraft. Due to Lufthansa ’s recent
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Pacific and Lufthansa. This report examines each company’s financial performance and also provides recommendation for Malaysia Airlines in creating value for its shareholders. 1.2 Methodology This report adopts an extensive review from Malaysia Airlines annual reports‚ Cathay Pacific annual reports‚ Lufthansa annual reports‚ financial statements of those companies and trade publications. 1.3 Scope The companies discussed in this report are Malaysia Airlines‚ Cathay Pacific and Lufthansa. 1.4 Limitation
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Martina Rohm In-flight Service determines airline passengers’ decision Due to rapid changes and new trends in the aviation business‚ continuous product revision is required to respond to customer demand and to react to increasing competition. Lufthansa Consulting has developed a specialized in-flight service evaluation system which reviews and assesses the onboard product of airlines‚ in detail‚ and can be adapted to particular customer requests. The client receives a comprehensive analysis of
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ASTON BUSINESS SCHOOL POSTGRADUATE PROGRAMME CANDIDATE NUMBER: 685291 MODULE NUMBER: BSM634 MODULE TITLE: INTERNATIONAL BUSINESS RESEARCH LECTURER: Prof NIGEL DRIFFIELD POSTGRADUATE COURSE: MSс INTERNATIONAL BUSINESS SUBMISSION DATE: JANUARY 15th 2009 I declare that I have personally prepared this coursework and that it has not in whole or in part been submitted for any other degree or qualification
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Management is one of crucial internal factors. If Lufthansa wants to perform in a global way successfully‚ they have‚ firstly‚ to alter their HR strategy along with different cultures or retain some of their own culture and history. In this case‚ HRM systems in Lufthansa will be illustrated in terms of Hagan’s HRM theory‚ which embodied job design‚ staffing issues‚ training and development as well as rewards systems. I. Job design: The subsidiaries of Lufthansa have become more independent to design their
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An airline alliance is an agreement between two or more airlines to cooperate on a substantial level. The three largest alliances are the Star Alliance‚ SkyTeam and Oneworld. Alliances also form between cargo airlines‚ such as that of WOW Alliance‚ SkyTeam Cargo and ANA/UPS Alliance. Alliances provide a network of connectivity and convenience for international passengers and international packages. Benefits and costs Benefits can consist of: An extended and optimized network: this is often
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what means has it used to expand internationally? Lufthansa is one of the three airline companies world-wide‚ whose debt is rated as investment-grade. Since the World War II the industry has never earned its cost of capital over the business cycle and after the deregulation which increasing replaced the government-organized IATA cartel the situation got worse. The airline’s response to that and to globalization was to form alliances. Lufthansa join to the Star Alliance‚ and is the leading probably
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Transportation Research Part E 48 (2012) 853–862 Contents lists available at SciVerse ScienceDirect Transportation Research Part E journal homepage: www.elsevier.com/locate/tre Mergers and acquisitions in aviation – Management and economic perspectives on the size of airlines Rico Merkert a‚⇑‚ Peter S. Morrell b a b Institute of Transport and Logistics Studies‚ The University of Sydney‚ NSW 2006 Sydney‚ Australia Department of Air Transport‚ Cranfield University‚ Cranfield‚ MK43 0AL Bedfordshire
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