Delta Airlines Case Analysis Essay

1752 Words4 Pages

History In 1924, Delta airlines started off as a dusting crops operation. It was the first commercial agricultural flying company in existence. It now serves more than 350 destinations on six continents. This once tiny airline moved its headquarters from Monroe, Louisiana to the exciting city of Atlanta, Georgia. Delta has become one of the world’s largest airlines, and Atlanta has grown into an international city and a global gateway( have to reword) Current business situation Delta was named FORTUNE magazine’s top 50 World’s Most Admired Companies. Delta airlines is seen all around the world both domestically and internationally. It currently has 11 hubs including Atlanta, Cincinnati, Detroit, Minneapolis-St.Paul, New York-LaGuardia, Airlines create air pollution and consumers realize this doesn’t benefit their overall health. The increase in oil prices is a becoming a concern to help allocate costs with travel. One of the biggest reactions seen was the effect after 9/11. Air travel was seen as a fear associated with terrorism and this created many depressed consumers and a global recession. The airline industry lost revenue due to lost demand and high operational costs which resulted in employee layoffs and hurt many airlines. Political and Legal Airlines operate in a political environment that’s very regulated and restricted. Government intervention can be necessary to protect the passengers’ interests and airline operations’ safety measures. Economic Fluctuation in oil prices is another major factor that impacts airlines’ profitability. Social Delta airlines aims to target business travelers, middle and upper class consumers. It provides value to consumers by being known for its reliability, safety and comfort. As generations continue to change so does the demand for people traveling on airplane. This generation has been seen to have the highest demand for air One is Air-France and KLM and Alitalia, which operates mainly in North America and Europe.Virgin Non-stop routes between the United Kingdown and North America it has a joint venture agreement with Atlantic Airways. The transpacific joint venture is with Virgin Australia Airlines and routes between North America and Australia/New Zealand. In addition to its joint ventures Delta also holds an alliance with SkyTeam. The other members of SkyTeam are Aeroflot, Aerolíneas Argentinas, Aeroméxico, Air Europa, Air France, Alitalia, China Airlines, China Eastern, China Southern, CSA Czech Airlines, Garuda Indonesia, Kenya Airways, KLM, Korean Air, Middle East Airlines, Saudi Arabian Airlines, Tarom, Vietnam Airlines and Xiamen Airlines. Through alliance arrangements with other SkyTeam carriers, Delta is able to link its network with the route networks of the other member airlines, providing opportunities for increased connecting traffic while offering enhanced customer service through reciprocal codesharing and frequent flyer arrangements, airport lounge access programs and coordinated cargo operations. Domestically Delta, has frequent flyer program and airport lounge access arrangements with both Alaska Airlines and Hawaiian

More about Delta Airlines Case Analysis Essay

Open Document