All Strategy articles – Page 1180
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Pragmatic progress
To combat the global presence of British Airways, British Midland is forming its own worldwide network through alliances. Yet at the same time its sister regional airlines are being franchised to BA. In an interview with Sara Guild, British Midland's managing director Austin Reid explains the group's strategy over alliances ...
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Sense stems Pacific pride
South Pacific island governments are finally taking steps to stem the flow of red ink that has bedevilled most of their tiny national airlines for the past decade. At presstime, aviation officials from the dozen isolated nations were studying a comprehensive new report designed to set them back ...
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Making the right moves
Understanding how to adapt their strategies to a rapidly changing 'newgame' environment may be one of the most important lessons for airline managers in the 1990s. Dr John Steffens proposes a suitable framework. It should be a basic premise in any industry that new games require new rules. And the ...
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MAS makes more moves
Malaysia Helicopter Services is continuing its rapid expansion of global aviation interest, but the launch of its latest joint venture may sour relations between Cambodia and Thailand. MHS has taken a 40 per cent stake in Royal Air Cambodge, stepping into the breach left by Singapore Airlines, which ...
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Saginaw ghost
A mystery from the past may have relevance for the present. David Learmount/LONDON When Capt. Harvey "Hoot" Gibson's aircraft, a Trans World Airlines Boeing 727-100, suddenly rolled out of control and dived 32,000ft (10,000m), Gibson had to pull more than 5g before recovering control at ...
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Longhaul freedom
Christopher Chataway, chairman of the UK Civil Aviation Authority, examines the obstacles to competition on longhaul routes and suggests how to overcome them. Drawing from a recent CAA report, he highlights bilaterals, EU bloc negotiations, problems faced by smaller airlines, corporate discounts, fare levels, and airline collusion. Longhaul aviation ...
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PAL faces home threat
Faltering deregulation in the Philippines will receive a boost this month with the startup of the first serious domestic competition for the country's flag carrier. Grand International Airways (GrandAir), set up by a group of former senior Philippine Airlines officials, will operate two Airbus A300s on a four ...
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Washington eyes safety standards
As US airlines assess the damage inflicted by the high-profile debate on safety, concerns are growing that the subject could provoke a political battle of wills, with aviation caught in the middle again. By Mead Jennings. Most US citizens are familiar with the statistics: more than 40,000 people die ...
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United expands shuttle operations
SHUTTLE BY UNITED is to expand its frequencies in eight US West Coast city-pairs and connect San Francisco, California, with Phoenix, Arizona, beginning in early February. The short-haul discounted air service has expanded from its initial 184 daily departures when it started operations in October 1994, to 342 ...
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North-South divide
Southern European carriers will struggle as recovery continues in the north. The efforts of the southern European majors in bridging the divide with their resurgent northern counterparts will dominate the aviation calender in the year to come. Any restructuring will be heavily influenced by the attitude of a new-look ...
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Deciphering key codes
Results of the US Department of Transportation's analysis of codesharing are being portrayed as a reaffirmation of US international aviation policy, which promotes crossborder airline alliance-building. However, many aviation officials are questioning the methodology of the study and its findings. The econometric analysis, performed by Gellman Research Associates, ...
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Playing catch-up
Look for some progress in Africa and more competition in the Middle East. After years in the doldrums, African aviation looks set for an upturn in fortunes in 1995. Political instability and financial hardship will ensure the negatives still outweigh the positives, but any form of progress will provide the ...
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Virgin bucks Oz trend
Virgin Atlantic appears intent on bucking the trend on the highly competitive Kangaroo route. As the UK carrier threatens legal action to gain access, the incumbents are reassessing their independent approach on the route. Virgin's threat follows hard on the heels of a cooperation deal with Malaysia Airlines, ...
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Mexico feels the peso bite
The catastrophic devaluation of the peso against the US dollar at the end of December has made matters worse for the Mexican airline industry. The economically precarious Aeromexico-Mexicana consortium, now being run by its creditor banks, is especially at risk. The good news being trumpeted for Mexican carriers ...
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Bid for freedom
Increased private ownership could help Pakistan International Airlines deal with the challenges imposed by new home-grown competition and loosen restrictions imposed by the country's social objectives. Mark Blacklock reports.Pakistan has been plagued in the past by political patronage, with even middle managers in the public sector fearing for their jobs ...
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Bargain carriers establish hubs away from bases
US LOW-COST CARRIERS, Midway and ValuJet Airlines, are establishing new hubs. Chicago-based Midway has reached agreement with American Airlines to lease gates at Raleigh-Durham International Airport, North Carolina, while Atlanta-based ValuJet has begun operations from Washington Dulles International Airport. Midway plans to shift most of its operations from ...
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ANZ weighs Oz options
Air New Zealand is believed to be close to deciding on a bold strategic move towards domestic operations in Australia, despite Canberra's shock decision late last year to abandon the proposed Australia-New Zealand single aviation market. Sources say ANZ majority shareholder Brierley Investments Ltd is considering two options, ...
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Altered images
What is happening with the Southwest wannabees? Both Continental Lite and ValuJet shadow Southwest's style, but neither is a true mirror image. Mead Jennings reports on the differences that have spelled one's success and the other's failure. Two airlines, one concept. Launched at a brief interval from one another, ...
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Samsung purchase plan alarms KAL and Asiana
SOUTH KOREAN industrial conglomerate Samsung is seeking to purchase two long-range wide-body passenger aircraft, ostensibly for company use, but raising the fears of Korean Air (KAL) and Asiana that it intends to establish a rival third national carrier. Samsung is understood to be discussing the purchase of ...