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Airline Consolidatoin - Term Papers

Airline Consolidatoin

The current trend in the commercial airline industry is toward low cost, no frills passenger service. The commercial passenger airline industry has been a vital part of the world economy since the early part of the 20th century. While the industry has gone through periods of rapid growth, consolidation and recently turbulent times due to world economic uncertainties have occurred. Recent developments in consolidation of several U.S airline companies has set the stage for the return to profitability for the new large, leaner commercial airline carriers. Airline and transportation officials have for many years had conflicting views about the value of consolidating with other airlines and ...

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three megacarriers there would be fewer flights, poor service and higher fares. Many experts in the airline industry believe that the consolidation of airlines could be a terrible strategy to regain financial stability. James Oberstar, Chairman of the House Committee on Transportation and Infrastructure believes consolidation would mean reduction in choice for passengers, fewer jobs in the industry, and higher fares. Oberstar expresses his fear that the future may bring only several mega carriers, making it almost impossible for new competition to gain power in the industry. By creating fewer airline companies, destinations would decrease and the availability of seats would cause concern for leisure travelers and frequent flyers. George Hobica, the founder or airfarewatchdog.com and a travel journalist, explains how the pilots are worried about the consolidation of airlines and how it will affect their seniority. Hobica describes how a captain at one airline might become a ...

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Airline Consolidatoin. (2011, April 19). Retrieved April 26, 2024, from http://www.essayworld.com/essays/Airline-Consolidatoin/98205

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PAPER DETAILS

Added: 4/19/2011 02:28:30 PM
Submitted By: mantybeast119
Category: Business
Type: Premium Paper
Words: 1036
Pages: 4

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