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Potential competition of Airline Fleet Planning

Category: Corporate Governance Paper Type: Report Writing Reference: IEEE Words: 350

            The increasing dynamism in the aviation industry has brought about complex reconfiguration in business frameworks of airlines.  The market of the aviation industry is characterized by diverse players with complex business models and high capacity carriers.  These large capacity carriers create a kind of monopoly since the low carriers cannot match to the capacity and capital requirements for inception [6]. The market share that will be attained by this airline will result from its business model and its low-cost carriers. A320 will allow for venturing into new markets and different geographical conditions, hence allow for a market niche. Airbus A320 will serve international and regional markets while meeting the demands of the domestic market.  This airline will face competition from international established airlines such as the hybrid carriers, which offers a different line of services.  Different airlines are continually improving their business models to suit the demands of the customers. Value proposal is increasing with different product offerings on board so as to enhance competition. With this increasingly competitive environment, it’s imperative for the proposed airline to increase its competitiveness through service delivery and lower prices offering using the business models described herein.

References of Airline Fleet Planning

[1]

D. Kindström, "Towards a service-based business model–Key aspects for future competitive advantage," European management journal, pp. 28(6), pp.479-490., 2010.

[2]

P. Clark, Buying the big jets: fleet planning for airlines. Routledge, 2017.

[3]

M. Rosskopf, S. Lehner and V. Gollnick , "Economic–environmental trade-offs in long-term airline fleet planning," Journal of Air Transport Management, pp. 34, pp.109-115., 2014.

[4]

L. J. L. A. G. M. L. F. Timothy, "Airline Planning and Schedule," in Quantative Problem Solving Methods in the Airline Industry, Springer, 2012, pp. 462-654.

[5]

G. David , "Airline Business Models and Networks: Regulation, Competition and," Review of Network Economics ·, January 2006.

 

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