Wait a second!
More handpicked essays just for you.
More handpicked essays just for you.
aviation industry topic
Don’t take our word for it - see why 10 million students trust us with their essay needs.
Recommended: aviation industry topic
The domestic environment for Delta Airlines is the United States. In the US airline industry, there are more than 100 passenger airlines that operate over 11 million flight departures per year. Delta Airlines is one of the largest in the airline industry and can carry over one-third of the world’s total air traffic. “The US airline industry reported over $160 billion in total revenues, with approximately 545,000 employees and over 8,000 aircraft operating 31,000 flights per day” (Airline Industry Overview, n.d.). There are many economic impacts that can affect the airline industry and range from its direct effects on employment, company profitability and net worth to the indirect effects on the aircraft manufacturing industry, airports, and tourism industries. The economic impacts also extend to virtually every industry that the ability to travel by air generates. The commercial airline industry contributes about 8 percent of the US Gross Domestic Product, according to recent estimates (Airline Industry Overview, n.d.). One of the twentieth century’s key thinkers is W.W. Rostow. He developed the five stages of economic growth in which all countries must pass to become developed. These stages are traditional society, preconditions to take-off, take-off, drive to maturity, and high mass consumption. His theory suggests that all countries start at one of these stages and eventually climb upward through each stage as they become more developed (Jacobs, J., n.d.). Delta Airlines is in Stage 5, mass consumption, according to Rostow’s stages of development. Rostow believed that the last stage was occupied by mainly Western countries, in particular the United States. When a country finally reaches the last stage of development,... ... middle of paper ... ...f John Kenneth Galbraith. Review of Political Economy, 17(2), 177. Retrieved March 21, 2014, from https://www.academia.edu/3150353/The_economic_contributions_of_John_Kenneth_Galbraith Jacobs, J. (n.d.). Rostow’s Stages of Growth Development Model. About.com Geography. Retrieved March 20, 2014, from http://geography.about.com/od/economic-geography/a/Rostow-S-Stages-Of-Growth-Development-Model.htm Search All Jobs. (n.d.). Delta. Retrieved March 22, 2014, from http://www.deltajobs.net/travel_and_benefits.htm Stricklin, R. (n.d.). Building Innovative Corporate Learning Beyond the Workplace. eLearn Magazine, an ACM Publication. Retrieved March 21, 2014, from http://elearnmag.acm.org/archive.cfm?aid=2134470 Airline Industry Overview. (n.d.). Global Airline Industry Program. Retrieved March 20, 2014, from http://web.mit.edu/airlines/analysis/analysis_airline_industry.html
Delta Airlines have transformed over the decades. They started out as a crop dusting company, blossomed into an airline company, fought litigations, went bankrupt, then resurrected it and merged with Northwest Airlines to become one of the biggest airline companies in the world. Their aircraft, operations, and cities and countries that they service have transformed and blossomed as well.
Delta Airlines has been a vibrant company in the airline industry, with great success over the years. Delta airlines started as a crops dusting company to serving more than 572 destinations, in 65 countries on six continents (Allan, H., David. H. ,2012). Delta airline moved its headquarters from Monroe, Louisiana to the city of Atlanta, Georgia. The great management strategies have portrayed from time to time to be fruitful even in the verge of a recession. With these consistency in delivery of services, it is clear that the company is out to outdo its competitors and turn out to be the greatest airline in the world.
Delta (DAL) is one of the oldest and leading firms operating in international arena, its business involves air transportation and cargo throughout the United States and around the world. The company has its headquartered in Atlanta, Georgia. The global route network serves the majority domestic and international market. The airline serves over 180 million customers in 64 countries with industry leading customer support and operational excellence. By ensuring positive economic performance. Delta also has the highest profit share in air transportation industry by taking approximately 57% of the entire industry profits. K. Yamanouchi (2017) stated that Delta’s IOS also has the second highest market share in the transportation OS sector.
During economic downturns demand for air travel is affected and consumers may choose other modes of travel. If conditions economically don’t improve overtime Delta could possibly see a financial crisis. With increased terrorist attacks the airline industry can also see a downturn due to consumers risk being increased with air travel giving it negative perceptions. If an epidemic occurs with disease this will also have a negative affect on airlines due to close exposure on planes. Most severe diseases are contagious and can spread rapidly throughout the workforce and the consumers aboard ("Delta Air Lines Inc. Annual SEC Filing,"
On the surface, the players in the U.S. Airline Industry appear to be in an enviable industry filled with glamorous perks and a solid business model. However, analysis paints a different story. Digging deeper reveals significant issues with little possibility for industry wide solutions, therefore making the industry unattractive.
Delta flight will business worldwide with 503 urban centers with 94 nations around the world and is also the best flight inside U. s.Talk about. It offers a superior great support to customer and everyday desires 109, 000 foods along with appetizers, 151, 000 baby bottles associated with mineral water, 87, 000 can associated with soft drinks, along with 219, 000 pounds associated with glaciers to fulfill customer desires. Delta flight is a good along with challenging opponent with flight business.
Many elements of Delta Airlines are described in detail, within this paper. There is a breakdown of the external and internal factors, using external and internal analysis. Porter’s Five forces are used to create the external analysis, and the key factors for Delta are power of buyers, and rivalry. Delta’s competitive advantages are identified as customer service, sustainability, brand image, strong strategic alliances, and corporate travel. Delta’s main issues are the low expansion in international markets, continuous changing of incentive program, and glitches within technology. Delta should expand more into the Chinese and African markets in order to gain market share within the airline industry.
When analyzing Delta, you do not have to search very far before quite possibly one its strongest attribute rears its head. Based on calendar 2000 data, Delta is the largest U.S. airline in terms of aircraft departures and passengers enplaned, and third largest as measured by operating revenues and revenue passenger miles flown. Delta is the leading U.S. airline in the transatlantic, offering the most daily flight departures, serving the largest number of nonstop markets and carrying more passengers than any other U.S. airline. Delta Air Lines transports more passengers worldwide than any other airline. Through a vast worldwide route system Delta has flown over 117 million passengers, more than any other airline in the world. Delta mainline, domestic and international service, Delta Express, Delta Shuttle, Delta Connection®, Delta Sky Team and Worldwide Partners operate 6,400 flights each day to over 450 cities in 98 countries.
Empirical growth models typically rely on changes in per capita GDP as their measure of economic growth although a number rely on levels of per capita income. As Hall and Jones (1999: 114) indicate, the results from both are relevant since ‘many of the predictions of growth theory can be successfully considered in a cross section context by examining the levels of income across countries’. The independent variables of these studies include a number of those that have been established as significant in the growth literature: initial per capita GDP to account for a conditional convergence mechanism or the catch up effect (namely the hypothesis that poorer countries – starting from a lower starting level of per capita income – grow more rapidly than wealthier ones), fertility rates/population growth and life expectancy to capture labour supply and levels of health; investment rates; human capital; various measures of the ...
As airline industry is a competitive marketplace, the airline companies use new technologies to improve their efficiency and decrease the overhead costs, including ‘advanced aircraft engine technology, IT solutions, and mobile technology’ (Cederholm 2014). The technology changes including technology improvement, new innovation and disruptive technology. The disruptive technology need to meet the characteristics of ‘simplicity, convenience, accessibility and affordability’ (Christensen 1995). The technology changes would bring both opportunities and threats to airline companies. Since Labour cost and fuel costs occupy 50% of most airlines operating cost (Groot 2014). Therefore, if new technologies could be disruptive in the two aspects, there will be important changes to current airline
Airline and travel industry profitability has been strapped by a series of events starting with a recession in business travel after the dotcom bust, followed by 9/11, the SARS epidemic, the Iraq wars, rising aviation turbine fuel prices, and the challenge from low-cost carriers. (Narayan Pandit, 2005) The fallout from rising fuel prices has been so extreme that any efficiency gains that airlines attempted to make could not make up for structural problems where labor costs remained high and low cost competition had continued to drive down yields or average fares at leading hub airports. In the last decade, US airlines alone had a yearly average of net losses of $9.1 billion (Coombs, 2011).
Southwest Airlines is one of the most successful airlines in the United States. There has never been layoffs or strikes in the history of the company, although there were several times when layoffs could have been justified, including the months following the September 11, 2001 terrorist attacks. However, Southwest's Mission statement says “Above all, Employees will be provided the same concern, respect, and caring attitude within the organization that they are expected to share externally with every Southwest Customer.” (Southwest, 1988). The Airline has always believed that their corporate culture is one of the keys to their success. The culture recognizes that employees have emotional intelligence and that their attitudes and morale are key to the teamwork and creative environment.
Tom, Y. (2009). The perennial crisis of the airline industry: Deregulation and innovation. (Order No. 3351230, The Claremont Graduate University). ProQuest Dissertations and Theses, , 662-n/a. Retrieved from http://search.proquest.com/docview/304861508?accountid=8364. (304861508).
Rostow's five stages of economic growth begin with the traditional society. As described by Rostow, the underdevelopment is naturalised in this structure with the evidence of constrained production means such as technology. In this part, the society applies subsistence economy that technically results in small margins of productivity such as hunter-gatherer society (Sahlins 1972:1) Undesired to do nature exploitation, Rostow viewed society at this stage as restrained from progress. The second phase following the previous stage is preconditions of take-off. Economic growth starting to take place and is essential to justify the means within good definition. The society begins to implement the manufacturing of products while at the same time foreign intervention by advanced societies such as through colonialism is needed to bring about change in one's society. The next step towards moder...
Air travel is a huge and tremendously flourishing industry. Globalization can be defined as the integration of national and local economics, culture and societies through a web of communication, transportation and trade. The current era considers globalization as the dominant driver of almost all business due to the influence or the international market. The emerging prosperity of the global aviation industry plays a substantial role in economic growth, tourism, global investment and world trade, which are the impacts of globalization. This essay portrays the negative and positive effects of this globalization on the airline industry.