companies announced strategies to merge, developing by various specifications, the most significant and largest airline worldwide. The contract was supposed to be completed in the third quarter of 2013. Shareholders of AMR would get 72% of the enterprise and shareholders of US Airways would get the remaining 28%. The US Airways administration, inclusive of CEO Doug Parker, will certainly maintain most functional administrative rankings. On 27 March, 2013, Judge Sean Lane confirmed the merger. On July 12, US Airways stakeholders accepted the recommended merger (Lee & Geddie, 2006).
Benefits of the Merger
Airline companies merger promised to bring a number of benefits to stakeholders:
• With the American Airlines, US Airways also signed up with OneWorld Alliance; therefore, both can easily gain access to other’s coverage and network as well. This will trigger to a system and network progression for both airlines.
• The merger will provide much more alternatives and options for traveling in conjunction with regional, domestic, and overseas advantages because the collaboration assists almost 1000 destinations globally with additional 14000 plane journeys managing and operating beyond 150 nations (Lee & Geddie, 2006).
• Advanced connectability with 9 core international airports across U.S.A.
• US Airways and American Airlines dividend miles system enable the clients to appreciate the advantage of earning money and exchanging miles on both airlines. Moreover, the merger will make…
British Airways PLC, a British air-transport company, is branded as one of the largest airline in the world carrying approximately 36 million passengers a year. Its headquarters are established near Heathrow Airport in London.
In 1935, small UK air transport companies arose together to form British Airways. Later, the British Government joined British Airways with its competing airline firm, Imperial Airways to form British Overseas Airways Corporation (BOAC).
British European Airways (BEA), a…
Cathay Pacific is the largest airline of Hong Kong. The airline flies passenger and cargo to 200 destinations in 52 countries worldwide. Including: Los Angeles, London, France, Abu Dhabi, Amsterdam, Beijing, Dubai, Frankfurt, Mexico City and Miami.
The airline was founded on 24 September 1946 by Australian Sydney H. de Kantzow and American Roy C. Farrell. Cathay Pacific is known for making the first ever non stop transpolar flight over the north pole. The company is the third…
Business And Management Challenges
Report by Kim Donggue
1. Profile of Singapore Airlines
Singapore Airlines, or SIA, is the national airliner of Singapore which established on the year of 1972. With its home being located at Changi International Airport, according to their website, it currently has direct flight services to more than 60 destinations, 30 different countries worldwide. Singapore Airlines has Scoot, Tigerair and SilkAir as their subsidiaries. Current C.E.O. of Singapore Airlines…
MY analysis of the differential advantages/strengths and the weaknesses of the firm:
Strengths: American Airlines is the largest airline in the United States. This includes the number of airplanes, the number of total seats, and the number of passengers transported. This is the biggest reason they continue to make profits and break profit records for their company each quarter. (Forbes)
Weaknesses: American Airlines ranges on the more expensive side, and some people are willing to, and will…
The Evolution Of Drone Regulations
By Rakesh Sharma | November 3, 2015 — 10:16 PM EST
As drones become popular and find a wide variety of consumer and commercial operations, drone regulations are also taking flight. Several countries have already formalized or are in the process of formalizing rules and laws relating to drone operations. In turn, these new laws could pave the way for a thriving market in drones. (For more, see How Drones Are Changing The Business World.)
Singapore Airlines (SIA) was founded back in 1947 and was formerly known as Malayan Airways Limited. The airline has grown and is now widely known among many Singaporeans and others around the world. Currently, Singapore Airlines has a total of 111 fleets flying to 64 different destinations (Singapore Airlines, 2016). One of its closest competitors, Cathay Pacific (CP) has been in the industry since 1946 and has a total of 145 fleets flying up to 70 different destinations(Cathay Pacific, 2016).…
Introduction of Avianca Airlines
Avianca is the Colombian national airline carrier, founded on December 5th, 1919, and is the second oldest airline in the world after KLM airlines. (Timothy, 2013) Avianca is a historical airline created by a group of people from Colombia and Germany and was registered under the name of SCADTA meaning Sociedad Colombo Alemana de Transporte Aereo in the city of Barranquilla. (Avianca, 2017b) Transportes Aereos Centroamericanos (TACA) was founded in 1931 in…
The product offered by Cathay Pacific consists of various components, such as the cabin, and inflight entertainment. Cathay Pacific flight cabins feature various travel classes, such as first class, business class, premium economy class and economy class, priced at different price levels targeting different customers/ market segments.
Nine first class seats are available on the Boeing 777-300ERs, making it a very exclusive service to travellers. Decorated with fine leather and a burgundy…
Regularly ranked among the world's best airlines, the focus of Singapore Airlines (SIA) can be summed up in one word – customer.
The world of aviation is notoriously competitive, and with pressure growing from upstart budget carriers as well as fast-growing full-service airlines such as Qatar Airways and Emirates, premium carriers like SIA are seeing margins squeezed.
Because of the inherent characteristics of the service industry, for firms like Singapore Airlines,…