Business Management

US airlines Industry Strategy and Case Analysis 2

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Word Count

2500 words


Strategic Management


2 Days

Assignment Criteria

  • Conduct a competitive forces analysis of the U.S. airline industry. What does this analysis tell you about the causes of low profitability in this industry?
  • The economic performance of the airline industry seems to be very cyclical. Why do you think this is the case?
  • Given your analysis, what strategies do you think an airline should adopt in order to improve its chances of being persistently profitable?

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Assignment Solution

There is a huge background behind the glory of US airlines. The journey was started in 1939. This industry has been grown up vividly in a short period. Numbers of airline mergers are associated and expanding successfully. The entire air travel industry has started playing a crucial role since the birth time of flight in 1903 (Barros, 2013). Gradually this invention brought about a revolution in travelling history. This revolution laid an integral impact on the US. It has led the essential of the US to contribute to renovating and take strategic adoption in this regard. Therefore, a big deal has been set in the history of airlines in the US.

This study upholds the relative factors that play a role in the integration of this industry. In order to intend prosperity in this industry, a number of challenges had been faced by different organisations. The challenges were about strategic conversion, innovation, and technical enhancement (Belobaba, 2015). A big part of the economy was also treated to be an important factor. Therefore, the relative obstacles and their outcome in relation to US Airlines have been portrayed in this study. A relative discussion and the probable strategy for the enhancement of prosperity have also been discussed in the study.

An overview of US airlines history:

This industry flourished over the entire market is very rapid growth. This is very specific and renowned in expanding an extensive network of air transportation. There are 86 airports as recorded in the US that is associated with handling more than 1,000,000 passengers in a year. This industry is very beneficial for the economy too as twelve out of the thirty busiest airports are situated in the US (Barros, 2013). The busiest airport in the world, Hartsfield-Jackson Atlanta International Airport is also situated here. In dealing with on-going transactions, this industry is indulged with multiple types of duties. Therefore, an up to date modification and innovation is at the core of this industry so that it might hold up the integrity.

In relation to the overview analysis, the major performers of this industry will come in focus. Alaska Group that is known as ALK is regarded to be the topmost performer of this group. The other important contributors are Delta Airlines that is DAL, JetBlue Airways (JBLU), Southwest Airlines (KUV), American Airlines (AAL) and last but not the least United Continental (UAL) (Brueckner, 2013).

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