All Strategy articles – Page 1130
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Asia rife with labour strife
Industrial unrest is spreading across Asia-Pacific as the region's carriers react to a worrying economic slowdown and stiff competition, compounded by the global hike in fuel costs. At presstime, All Nippon Airways was at loggerheads with its cabin crew unions after wage negotiations broke down: a 24-hour strike ...
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Bespoke fortunes
Effective, efficient hubs are vital to most US majors' profitability. But do they operate in everybody's best interests and is stronger regulation needed? Karen Walker reports. You either love hubs or hate them. A government department has accused the US majors of continuing to use their hubs to raise fares ...
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Toughing out the boom
In 1997, can the major airlines improve on their performance in the boom year of 1996? Airline Business previews the main issues which will dominate airline executives' thinking in 1997. These are the good times, but life for the average airline manager does not appear to be getting any easier. ...
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Continental calls halt to merger talks
CONTINENTAL Airlines says that it has broken off merger talks with rival air carriers, believed to include Delta Air Lines. In a message to employees, Gordon Bethune, Continental's chairman and chief executive , disclosed that the fifth-ranked US airline had recently undertaken "preliminary" merger discussions with "many different ...
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China puts on the squeeze
China is having mixed success in its aviation policy. Despite easing the moratorium on aircraft orders, Beijing is now having to curb international capacity growth for fear of Chinese carriers losing out to their foreign counterparts. But the authorities are having more success in their drive for domestic consolidation. ...
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USAir wears Wolf clothing
In a move described as 'vintage Wolf', USAir will this year become US Airways, accompanied by a complete facelift. But below the cosmetic makeover, there are signs that the carrier's chairman is finally healing the longstanding rifts with labour. USAir chairman and CEO Stephen Wolf, who has master-minded ...
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Coded for no competition
A study on codesharing for the European Commission recommends ending the practice on nonstop routes and reducing the number of CRS listings for codeshare flights to one. These are two of the main findings of a study by Amsterdam-based consultants Strategem. Their report finds that codesharing by two ...
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Qatar conflict
Sheikh Hamad Ali Al-Thani, the former chief executive of Qatar Airways, claims that his departure from the airline followed moves by the board to co-operate rather than compete with Gulf Air, for which the chairman is Qatari general sales agent. Contrary to our report (Flight International, 10-17 December, 1996, P10), ...
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Delta dances Continental
The only certainty about suggestions of a merger between Delta Air Lines and Continental Airlines is that it would create the world's largest airline. Beyond that analysts remain split as to whether such a deal would make strategic sense. The only clear winner is David Bonderman, who leads Continental's controlling ...
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Global traders will win economic war
In the final years of this century, the new global 'geo-economics' has become the driving force of international relations and commerce. Autocratic regimes and domestically focused businesses are more likely to fail, or grow less slowly, than those which recognise the reality of the globalised economy. The days ...
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Iberia eyes Latin return
Iberia may repurchase its stake in Aerolineas Argentinas as early as June 1997 in a move that could recreate its Latin American airline stable. However, the carrier remains embroiled in a legal dispute in Chile over the future of Ladeco, in which it has a 35 ...
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SAS takes a vital step towards free-flight target
SAS has become the first airline to install a certifiable example of one of the most important items of equipment needed by the industry to achieve the goal of free flight. The MMI5000 cockpit display of traffic information (CDTI) was installed in a Fokker F28 for a certification ...
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A measure of Irala's intent
Iberia's new president has plenty of work to do if he is to fulfil his aim of privatising the carrier by 2000. Xabier de Irala talks to Mark Odell in the first major interview since his appointment. Xabier de Irala Estevez is a not only a newcomer to the airline ...
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In a long tradition
Every Boeing commercial airliner since the 707 has been extended at some stage, with two exceptions: the 747 and 757. It now seems that, after many years of study and debate, the 747 is about to be elongated into the -500 and -600 series and the 757is finally set to ...
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Wheeling out the service
For major airlines seeking high-margin travellers, customer service will be a key to profitability. Still, Philip Festa says pressures within the industry are threatening to squeeze carriers' service levels. Customer service is now the norm throughout almost all sectors of commerce: supermarkets, hotels, banks and fast food chains vie ...
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Silk purse
SilkAir has experienced more than its fair share of turbulence since its establishment in 1989 as Singapore's regional carrier. After years of sustained losses, the carrier is on course to make a full recovery and is planning for a brighter future. Following a wide-ranging restructuring of its fleet ...
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Struggle from the rubble
Kuwait Airways is banking on a successful programme of alliances and regional cooperation to reverse recent heavy losses. Doug Cameron reports from Kuwait City. Almost seven years after its liberation, Kuwait City retains an almost haunted look despite its renovation and its return as one of the major commercial centres ...
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Twin sales with a twist
The sale of significant minority state holdings in two of Europe's leading carriers has caused consternation in financial markets, albeit for different reasons. At presstime, the German government was hoping to sell off its remaining 35.7 per cent stake in Lufthansa before the end of the year, while ...
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Indian Airlines selects Saab 2000s for regional services
The Saab 2000 has emerged as the winner in the competition to supply the Indian Airlines low-cost division, Alliance Air, with a 50-seat regional airliner. Alliance is planning an initial acquisition of six aircraft. Alliance, launched in April with Boeing 737-200s transferred from its parent, had been evaluating ...