Case Study - EasyJet
Date Submitted: 11/21/2003 11:28:15
1. INTRODUCTION The airline industry had experienced a revolution since the deregulation conducted by the governments thought the world. The deregulation allowed companies to operate with fewer constraints than before and created many new opportunities. However, while the major big companies pursued "hub and spoke "strategies, and global alliances, a different approach or concept emerged and that is the no-frills airlines which used regional airports. (Piercy, 2000) Following the terrorist attack on September 11, 2001, a number of major
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to generate sales through direct Internet sites that traditional airlines or FSCs that extremely depend on their intermediaries' performance. (Please see Appendix 9.) It is also important to notice that LCCs tend to rely on only one supplier of aircraft due to the importance of airplane standardization, while this is not the case with traditional companies - the approach that resulted in high training, maintenance, operating, and other costs due to the lack of standardization. (ATKearney, 2002)
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