Analysis of the Fast Food Industry Essay Example for Free

Analysis of the Fast Food industriousness EssayIntroductionAirline industry is the topic I researched in this abstract. Companies in this industry stick out scheduled domestic and international passenger transportation, mail and freight transportation. Major US companies include Ameri underside Airlines, Delta, Southwest, and United Continental, as well as the air operations of express delivery companies such(prenominal) as FedEx and UPS. The industry key survival computes argon efficient operations, reliability of services, and rubber. The drivers of swap are internet economy, globalization, and starting time cost competition. Based on the key survival factors and drivers of change, large companies enjoy economies of scale in buying and the ability to provide more extensive services. Small airlines can compete by serving local or regional routes. All the information was collected from online journals, news, and research and report papers. The sources include industry re ports such as Hoover, Bloomberg, and Forbes. The data was organized by folders and then summarized into Words before putting in the paper. individually source was written in a sepa lay out Word file every time it was used. The analysis uses the Porters 5 forces and PEST analysis.Key Survival FactorsIn airline industry, demand depends passing on the health of the economy, which affects spending on business and leisure air give-up the ghost. Since many costs are fixed, efficient operations act as a core factor to determine the profitability of airlines companies. The primary operations of airlines include acquiring and maintaining airplanes and airport facilities, acquiring passengers and/or freight, managing staff, and operating flights. The flight equipment (airplanes) that an airline uses is polar to efficient operations. The next key survival factor for airline industry is safety. Air traffic is festering rapidly, airports are more congested, andwith two million passengers i n the United States boarding more than 30,000 flights every day, maintaining that safety record will be a challenge. Therefore, all airline companies should have a procedures encompassing the theory, investigation, sorting of flight failures, and the prevention of such failures through regulation, education, and training.The company could have lost the public image if they weart have a procedure in advance to response quickly enough in case of emergency. Last but not least, reliability of service is another key survival factor for airline industry. A positive public image could be developed among customers due to a study for reliable services, which can lead to more repeat business. Reliability in the airlines industry includes reports of mishandled baggage, the on-time arrival of flights, automatic boarding denials from overbooking flights, and passenger complaints. Those airlines that are able to control these elements could provide better service to the customer, and thus st rait more reliable service.Drivers of ChangeThe internet and e-commerce has completely altered the airlines distribution (the booking and ticketing of passengers for air set off). Nowadays, rifleers can book e-tickets on their flights through the airlines websites or a third-party website. This has al low-spiriteded airlines to eliminate paperwork, reduce operational expenses, and bypass travel agent commissions. Moreover, the potential in the global travel market makes airlines companies focus more on globalization. To allay international growth, U.S. airlines are lobbying for open skies treaties between the U.S. and other nations.These treaties are bilateral agreements that essentially deregulate travel between the involved countries, thus opening up certain markets to competition. The U.S. currently has signed more than 60 open skies treaties with nations around the globe. Finally, the rise of the low-cost carriers has forced a change in the competitive surroundings of the ai r travel industry. Southwest, and JetBlue implement low-cost strategies that allow them to offer relatively low airfares. These low fares change the entire industry and force rivals to lower their costs and decrease their fares in order to stay competitive. boilers suit AssessmentThe airline industry is currently not very attractive. Both business andtourist travel are reduced when the economy slows. Global aviation traffic typically rises and falls at in two ways the pace of economic output, so a change in the economy can double the touch for airlines. Because of relatively high fixed costs of airplanes, airport facilities, and labor, airlines cant easily adjust to reduced passenger traffic. Based on the financial results on Hoovers database, the industry has a very low growth rate of personal consumption expenditures as of 2014, and it was forecasted to grow at an annual compounded rate of 4 percent between 2014 and 2018.Works CitedMouawad, Jad, and Christopher Drew. Airline Ind ustry at Its Safest Since the Dawn of the Jet Age. The spic-and-span York Times. The New York Times, 11 Feb. 2013. Web. 16 Feb. 2015. . Competitive Environment of the Airline Industry. Competitive Environment of the Airline Industry. Web. 16 Feb. 2015. . Good times for the Airline Industry. The Economist. The Economist Newspaper, 27 Dec. 2013. Web. 16 Feb. 2015. . Fulton, Jeff. Airline Industry Key winner Factors. EHow. Demand Media, 29 July 2009. Web. 16 Feb. 2015. .