Airline Industry

This book presents a comprehensive overview of airline industry strategies, operations and security. This research has analyzed internal differences between members of global airline alliances in terms of passenger-perceived service quality.

A F INANCIAL H ISTORY AND A NALYSIS OF THE U.S. A IRLINE I NDUSTRY

I NTRODUCTION

In addition, other previous literature examines the effect of air crashes on individual airlines, but not the industry as a whole. This provides an experimental setting to test the financial impact of this transition on the industry as a whole.

The Paradox of the Airline Industry

Finally, in Chapter 5, I use the unique characteristics of the airline industry to examine two capital structure issues. In this study, I examine the airline industry from two broad perspectives: the corporation and the investor.

The Pre-Regulation Period (1914-1938)

The Period of Regulation (1938-1978)

The CAB had regulatory power over entry, exit, service, and price within the industry. In addition to the entry requirements, no airline is allowed to leave the market without permission from the CAB.

The Post-Regulation Period (1978-2001)

On 1 January 1985, the CAB ceased operations and responsibility for industry control was transferred to the Department of Transport for the period 1985–1988. The purpose of the Airline Deregulation Act of 1978 was to increase competition in the industry.

The Post-Terrorist Period (2001 - Present)

E ARNINGS B EHAVIOR AND D IVIDENDS IN THE A IRLINE I NDUSTRY

2000 also saw a new wave of proposed mergers, beginning with United's proposed purchase of US Air. This deal was ultimately disapproved by the Justice Department, and with the exception of the US purchase of TWA, there were no major mergers.

Earnings Behavior in the Airline Industry

Elton, Gruber, and Blake (1996) and others note that studying only surviving mutual funds introduces a positive bias in fund performance—the purpose of which is generally to determine the effect on investors' wealth of the allocation of wealth to the funds. . The next terms on the right-hand side are the change in scaled profitability from t-2 to t-1 and from t-3 to t-2 (ie the main change in scaled profitability), followed by an error term.

Figure 3. Profitability by Broad Industry Groups.

Dividends in the Airline Industry

T HE R ISKS OF A IRLINE O WNERSHIP

The findings of Baker (1999) and Moyer, Rao, and Tripathy (1992) imply that, consistent with the above findings, the variability of dividend payers' share prices should be higher during the period of deregulation. Pre and post refer to the closing dates used to define the period of regulation and deregulation respectively.

Table 5. Dividends Paid by Each Airline – 1929-2003

Prior Literature

Data and Methodology

To equalize the number of time periods between the pre- and post-event periods, the pre-event period is defined as June 1999 to August 2001. The dummy variable has the value 1 in the deregulation period, 0 in the regulation period, 1 in the post-crash period, 0 otherwise, and 1 in period after September 11, 0 otherwise.

Results

Moreover, contrary to the results of testing the industry's total risk, market risk does not appear to change significantly with deregulation. Consequently, the industry's market risk does not appear to differ significantly from the market portfolio.

Table 8. The Effect of Deregulation on Stock Return Volatility

Summary and Implications

F INANCING D ECISIONS IN THE A IRLINE I NDUSTRY

Leverage, Economic Regulation and Shareholder Wealth

To help understand the history of debt use in the airline industry, I first investigate how debt ratios have changed over time. Correlation between current forward debt ratios (ADR) and equity return modified debt ratios (IDR) for the entire period.

Does the Use of Operating Leases Create Value?

S UMMARY , I MPLICATIONS AND E XTENSIONS

In comparison, operating leases are simple as the tax benefits of such arrangements simply come in the form of deducting the lease payments. More specifically, because of the industry's well-known use of lease financing, I test the relationship between the use of operating leases and airline operating profits.

C ONCEPT FOR O PERATIONS R ECOVERY

I NTRODUCTION

Unfortunately, the majority of disruptions are difficult to predict (for example, those caused by meteorological conditions or aircraft malfunctions). This section presents: (i) the reasons why we adopted software agents and the multi-agent system (MAS) paradigm; (ii) the MAS architecture including the specific agents, roles and protocols as well as some relevant agent characteristics such as autonomy and social awareness; (iii) decision mechanisms, including cost criteria and negotiation protocols and (iv) examples of the problem-solving algorithms used.

S UMMARY OF R ELATED W ORK

Operations Recovery
Other Application Domains

This chapter is organized as follows: In Section 2, we present a comparative overview of related work on operational recovery and a brief summary of the current use of software agent technology in other domains. As we said at the beginning of this section, the examples above are an incomplete and very short list of using the multi-agent system paradigm, just to give an idea that this technology is capable of handling very complex and critical problems grab.

A IRLINE O PERATIONS C ONTROL

Airline Scheduling Problem
AOCC Organization
Typical Problems
Current Disruption Management Process
Main Costs Involved
Current Tools and Systems

He performs part of this role at airports, and for larger companies he is part of the HCC organization. It is now important to understand the typical problems that arise during the conduct of an air operation.

Table 1. Comparative summary of research regarding operations recovery

Introduction
Why an Agent and Multi-Agent System Paradigm?
MAS Architecture
Decision Mechanisms
Quality Operational Costs
Problem Solving Algorithms

As shown in Figure 6 (section 4.3), the aircraft and crew dimension each have a team of specialized agents. Generates the successor to the initial solution (how a successor is generated is described below).

Figure 5. New concept for integrated Airline Control Centre.

E XPERIMENTAL S ETUP

In this equation, cc represents the crew cost calculated according to Equation 4 (Table 3), excW represents the crew replacement penalty, nExc represents the number of crew. In the case without agent quality, an agent-based approach was used without considering the quality cost, as presented in Equation 7 in Table 3 .

R ESULTS AND D ISCUSSION

With our approach, we got 6 minutes of delay in base A, 6 in base B and the same value in base C (average values). But what should happen when we have two solutions to the same problem, with the same delay and direct operating costs.

C ONCLUSION

An integrated decision support tool for airline schedule recovery during irregular operations, European Journal of Operational Research, Vol. Using heuristics to solve the specific problem of aircraft recovery, Central European Journal of Operations Research, Vol.

O UTSOURCING S TRATEGIES OF F ULL -S ERVICE

T HEORETICAL P ERSPECTIVES

Plane Acquisition and Ownership
Engineering and Aircraft Maintenance
Customer Sales and Ticketing
In-Flight Catering
Corporate Identity and Brand Management

Assessing the relative costs or strategic benefits of outsourcing in the aviation industry is therefore likely to be challenging. On the other hand, the production of the food is not complicated and the task is routine and imitable.

Table 1. Sample of Seven International Airlines

Deregulation and LCC Spread
Ryanair History
Success Factors
Network Structure

Ryanair became the airline with the most crude and extreme interpretation of the idea of low cost. Specifically, in relation to Ryanair, among the 1,886 routes offered, 1,638 do not represent direct competitors. The remaining 248 lines comprise slightly more than 14.6% of the total traffic in terms of KAS.

Table 11. Deregulation process: major steps

Methodological Aspects
Empirical Findings

Top ten domestic featured the highest average price offered more than two months prior to departure. First ten non-domestic flights marked by the highest average price offered during two months before departure.

Figure 5. Routes distribution according to route length.

M EASURING AND B ENCHMARKING A IRPORT

E NVELOPMENT A NALYSIS (DEA) AND

S TOCHASTIC F RONTIER A NALYSIS (SFA)

B ACKGROUND
M ODEL V ARIABLES
T HE D ATA E NVELOPMENT A NALYSIS M ODEL

The Characteristics of the DEA Model
An Illustration of a DEA Model

T HE S TOCHASTIC F RONTIER A NALYSIS M ODEL 1. The Characteristics of the SFA Model

An Illustration of an SFA Model
The Model
Interpretation of the Model Outputs

C ONCLUSION
A PPENDIX Sampled Airports

2008: 33) ask the question "whether the two techniques tell consistent stories when applied to the same data". They believed that "The higher the quality of the data, the greater the agreement between the two sets of efficacy estimates." An Analysis of the Operational Efficiency of Major Airports in the United States”, Journal of Operations Management.

E VIDENCE -B ASED P ROCESS (EBP) C ONSIDERATIONS OF H YPOXIA DURING

F LIGHT FOR F LIGHT N URSES : T HE

A EROHEMODYNAMICS T HEORY R EVISITED

Her patient had recently had an MI, a condition further complicated by Chronic Obstructive Pulmonary Disease (COPD). Recalling the aerohemodynamics course she'd taken to become a flight nurse, Barb pondered the effects of hypoxia on her patient's condition as they ascended to 2,200 feet in an unpressurized plane.

Definition

The distance from the Earth is one of the aspects of the theory that determine how much and which of the variables will act on the body at a given altitude. Aerohemodynamics applies material from every aspect of the flight environment necessary to sustain life: oxygen, temperature, pressure and positional comfort.

Applicability to Broad Scope of Practice

Acceleration varies directly with the square of the airspeed and inversely with the radius of the turn (a = V2/r). Variables that influence the effect of G-forces are: Intensity of the force; Duration of power; rate of force applied; Place and area where force is applied to the body (Sredl, 1983 p. 30-31).

Nursing Challenges- Acceleration Stress

There are 3 types of acceleration force: Linear, Radial and Angular, giving rise to 3 types of G-forces: Positive, Negative and Transverse.

Barotrauma

Nursing Challenges

Thermostability

The nurse must be aware of temperature changes caused by the environment during the flight and must counter these stressors by using blankets, etc., because cold stress precipitates shock.

Gaseous Toxicities, Diffusion and Vacuolization

The nurse must recognize the limited availability of oxygen in the flight environment and be alert to subtle signs of oxygen deficiency. In the case of ozone poisoning, a community health perspective may be in order regarding nursing assessment because the throat irritation caused by ozone will affect ALL passengers and crew, not just one patient (as in the case of an MI) and thus identification of an external toxin more easily.

Radiation Exposure

Psychosocial Considerations

Aerohemodynamics Theory Effect Equation

Acceleration Force Changes

Motion Sickness Susceptibility

These weighted thermal thresholds respond to indicators in different body segments according to tissue compositions of core, muscle, fat, and skin (Xiaojiang, 2004). Different parts of the body have different heating and cooling requirements and need support systems in the outdoor environment in air to provide life-sustaining comfort levels (Xiaojiang, 2004).

Gaseous Toxicities

Changes in ambient pressure, which can trigger tissue damage known as barotrauma, are prominently seen in the ear (Klokker, 2005). Usually not a problem to climb; the need to equalize the pressure in the inner ear area during descent can cause tympanic membrane rupture if techniques such as the Valsalva maneuver or swallowing do not produce the desired pressure equalization (Klokker, 2005).

Table 1. Chart of hypoxic complications to physical compromise at altitude Medical Condition Hypoxic

Radiation and Other Safety Hazards

These relationships provide the framework for the empirical collections of facts, assumptions, hypotheses, and critical nursing thinking that make up Aerohemodynamic Theory.

C ORPORATE S OCIAL R ESPONSIBILITY

R EPORTING OF A SIAN A IRLINES

C ORPORATE S OCIAL R ESPONSIBILITY
M ETHOD
R ESULTS 1. CSR Reporting Formats

CSR Organization
The Marketplace
Workplace
Community
Environment

C ONCLUSION

Holmes and Watts, on behalf of the World Business Council for Sustainable Development (WBCSD), provide a fairly representative definition: "the continued commitment of businesses to behave ethically and contribute to economic development while improving the quality of life for the workforce and their families as well as for the local community and society as a whole‖ [5].In addition, all the selected airlines devote part of their annual reports to CSR-related information.

Table 1. CSR Reporting Formats Standalone

S ERVICE Q UALITY AND I NTERNAL

D IFFERENCES AMONG M EMBERS OF THE A IRLINE A LLIANCES

The topic of global airline alliances has received much attention in the literature in recent years. However, little attention has so far been paid to strategic airline alliances from the consumer perspective.