Research Paper (undergraduate) from the year 2017 in the subject Business economics - Business Management, Corporate Governance, grade: 2.1, Cardiff Metropolitan University, language: English, abstract: The purpose of this paper is to answer three questions of the case study. The text is strictly associated with the prosperity of alliances; therefore the term “strategic alliance” will be explained in the first instance. Furthermore, the business tool such as PESTLE, which is utilized to analyse the airline environment will be highlighted. It will be proven that the airlines prosperity strictly depends on political, legal, economic, social, technological and environmental factors. In addition, the alternative strategy for airlines such as mergers will be introduced. The examples of the airline mergers such as Delta-Northwest and Air France-KLM will be emphasized. Finally, the shared management, which is applied by Star Alliance, will be critically evaluated.

Bachelor Thesis from the year 2008 in the subject Business economics - Business Management, Corporate Governance, grade: 1,9, European Business School - International University Schloß Reichartshausen Oestrich-Winkel (Chair of Strategic Aviation Management), course: Bacheloarbeit, language: English, abstract: "Companies are just beginning to learn what nations have always known: in a complex, uncertain world filled with dangerous opponents, it is best not to go it alone" (Ohmae, 1989, p. 143). This statement emphasises the significant developments in firms' corporate strategy in the 1980s. As a response to the rise of globalisation, and thus, increased competition, companies throughout the world started collaborating with partners with interfirm cooperation. Their cooperative practices, though, were not equally relevant in all branches, but concentrated mainly on industries that were affected most by the in-creasing environmental dynamic and complexity. Therefore, firms in various industries, such as the automotive or telecommunication industry, established alliances with their competitors in order to stay competitive and to jointly expand into world markets. However, the aviation industry, in particular, has experienced downright alliance frenzy since that time. With the gradual liberalisation of international air transport, collabora-tions between carriers have steadily gained importance. Therefore, airline alliances have developed from purely horizontal links into more complex and integrated strategic alliances. These strategic alliances have been established mainly to bypass existing regula-tory restrictions and to adapt to customers' altered preferences by extending the airlines' networks. However, with the incidents that occurred during the first years of the 21st century, such as the terrorist acts of 9/11, partner airlines were forced to react to the changed external conditions. This development highlights the high dependence of air-lines and their strateg

This book provides a comprehensive overview of current strategic challenges and measures required to meet those challenges in a dynamic industry. Experts from aviation practice and management, in addition to acknowledged scholars, contribute to this volume and combine academic expertise with economic and business perspectives in an unprecedented way for the aviation field. The focus is not restricted to passenger airlines. The five parts of the book additionally include chapters on alliance management and formation, strategic issues for air freight carriers and airport companies, as well as impacts the airline industry exerts on its environment. The book combines both concepts and results from recent academic research with applications and case studies from major industry players. Readership includes academics, students on advanced aviation courses, senior aviation professionals in airline, airport and supplier companies, international organizations and governmental agencies.

"This paper began with a brief history of the development of the airplane and the airline industry in the United States and Europe. Use of aircraft for mail delivery and passenger travel was discussed as well as political environments and stages of development which led to the emergence of airlines themselves. As airlines developed and international travel became common, international political considerations of this activity were examined. This activity impacted the development of use of strategic alliances in the airline industry. Market-based economics were discussed, and the permitted level of cooperative effort among the airlines was examined from a historical and current point of view. To determine the impact of strategic alliances in the air transport industry, a detailed examination of the structure and operational aspects of two member airlines in a newly formed alliance was conducted using historical and current information from industry sources in English and French. Each member airline, Delta Air Lines, and Air France, was examined with comparative reasoning in order to evaluate their operations in a standardized fashion. The analysis chapter, an evaluation of the effectiveness of the strategic alliances the member airlines had formed, was conducted using objective, industry-wide criteria. This analysis led to a conclusion that strategic alliances in the air transport industry are beneficial and essential to provide an Anywhere to Everywhere service to customers."--Abstract

Strategic airline alliances are an important topic in airline management today, stimulated by poor access of international airlines to large domestic markets such as the USA and EU and the increasing importance of network scope. Outright mergers of international airlines have proved to be difficult for political, cultural and legal reasons, making alliances the best available form to strengthen strategic positions and streamline networks. However, there are a number of difficulties associated with an alliance such as long-term stability, political climate, cultural conflict and how much capital alliance partners should sink into the integration. The main purpose of the book is to convey in an accessible form to a wide audience, the results of recent academic research on strategic airline alliances. The authors systematically cover: policy, regulation and consumer issues; management, marketing and strategic issues; the mechanics of airline alliances; the airline alliance group as an organisation in its own right; different forms of alliances and clusters; success and failure factors of airline alliances. The book successfully: - provides an analytical framework for understanding the dynamics of airline alliance groups - examines both the level of the individual airline and the alliance group itself - applies recent insights from organisation theory. The readership includes airline managers, policy-makers, academic researchers and others interested in evolving multilateral alliances. It can also be used as a course book both in aviation management training and in more general modules on alliances for advanced students in air transport management.

The world's commercial aviation industry comprises a complex and highly diverse range of businesses with different forms of governance, ownership, management structure and organisational philosophies. The essays in this Volume address issues of market structure, focusing particularly on changes in the aviation industry that have resulted from policies of deregulation, as well as revenue, cost and pricing, airline mergers and acquisitions and the reasons for and characteristics of global airline alliances. One of the most significant developments in aviation business strategy over the last four decades has been the emergence and expansion of low cost carriers and the implications that this business model has had for the sector in terms of competition, route offering, service innovation and profitability. Central to these discussions are issues of cost and the need to manage yields. This raises the issue of pricing, elasticity, and price discrimination, all of which are of relevance to passenger airlines, air cargo operators and airports. Policies of air service deregulation and liberalisation have fundamentally changed the market structure of airlines and airports. As a result of new airlines entering the market place, many incumbent carriers sought to protect and grow their market share by reconfiguring their network into a hub and spoke operation and merging with, or acquiring their competitors. Another strategy airlines can use to increase their network presence, market power, and obtain enhanced economies of scale and scope is to enter into a strategic alliance with another carrier. Membership of an alliance enables a firm to access new markets that would previously have been difficult and/or expensive to operate into and help to overcome (at least in part) ownership restrictions, a lack of traffic rights to a particular country and markets with limited demand. Deregulation and liberalisation have also changed the competitive nature of the airline market and led to a change in the ownership and control of airports and airlines with many moving from the public to the private sector. The increasingly competitive and contestable market, combined with commercial imperatives to generate a return on investment, means that airlines and airports are incentivised to grow their business through marketing and enhanced customer loyalty. Airlines helped to pioneer the development of customer loyalty schemes and the resulting frequent flyer programmes have become a standard aspect of many full service airline operators' product offerings. However, increased competition and business model innovation have prompted a reconfiguration of these schemes with some low cost operators now incorporating elements of frequent flyer schemes.

This book focuses on the major issues that will affect the airline industry in this new millennium. It tells of an industry working on low margins and of cut-throat competition resulting from 'open skies'. Among the issues discussed are: * the low-cost airline * the impact of electronic commerce * the debate on global airline alliances * privatizing state-owned airlines * the creation of a Trans Atlantic Common Aviation area Most importantly, the book carefully analyzes the strategies that are needed for airlines to succeed in the twenty-first century. This is essential reading for anyone interested in aviation.