I. Summary After the tragic events of September 11, 2001, security of the aviation industry became of paramount concern for the public and the United States government. Consequently, the travailing public became afraid to fly significantly impacting the airline industry financially and threatened the financial viability of many airlines. II. Problem: Ensure the safety of public while travailing by air and the viability of the airlines. III. Significance of the problem: Dozens of airline, Hundreds of airports, and millions of travelers every year need protection. Until 9/11 airlines were responsible for security on their aircraft. Similarly, airport security was managed by municipalities they were located in or by the airlines servicing them. …show more content…
Development of Alternative Actions Alternative Action 1: Enact federal legislation to improve airport security. Advantages. A central government organization can set a set of standards for airline and airports to follow. Manpower trained in airport and aviation security can man the airports to ensure safety. Disadvantages. A new government organization with thousands of personnel would need to be created, manned, organized, trained, and disbursed throughout the United States costing billions of dollars initially as well as annually. Alternative Action 2: Enact federal legislation to ensure the safety and stabilization of the airlines in the form of loan guarantees, insurance, and liability. Advantages. Ensure the disruption of the airlines on 9/11 and the days following do no put undue financial strain on the airlines. Use it as a tool to archive greater security in the airline industry. Limit the liability of the air carriers involved in the events of 9/11. Disadvantages. If under funded and over regulated the act may be insufficient to ensure the survival of all the airlines. V. Recommendation. Enact both proposals to ensure the safety of the public and the survival of the airline
As the 19 hijackers made their way through the three East coast airports, on September 11, 2001, planning on executing the world’s worst terrorist attack in history, they test the U.S airport security. At almost every step along the way, airport security posed no challenge to the 19 terrorist hijackers. Not to their ability to purchase tickets, to pass security checkpoints while carrying knives, and other objects that be used as weapons on them. Not one step of airport security posed as a challenge or threat to the terrorist. If airport security was more advanced and carful as it is now, the hijackers would have never made their way on to the
The immediate financial repercussions of the terrorist attacks were astronomical. Makinen (2002) reports airlines received a $15 billion federal aid package. Additionally, insurance ...
The Airline Industry is a fascinating market. It has been one of the few industries to reach astounding milestones. For example, over 200 airlines have gone out of business since deregulation occurred in 1978. Currently, more than 50% of the airlines in the industry are operating under Chapter 11 regulations. Since 9/11, four of the six large carriers have filed for and are currently under bankruptcy court protection. Since 9/11 the industry has lost over $30 billion dollars, and this loss continues to increase. Despite the fact that the airline industry is in a state of despair, JetBlue has become the golden example, a glimpse of what the industry could be.
September 11, a turning point in the United States history. This event caused various negative impacts on the aviation industry. It changed the way airports and airlines organized themselves completely. The effect was so strong that it caused bankruptcies, people to lose their jobs, changes in how flights were made and flew, and security checking’s. This day also created fear and psychological issues on individuals concerning anything to do with flying on an airplane. In other words, this day was a catastrophe in the aviation industry in the US.
After World War II there was an excess of aircraft and trained pilots in the United States, which significantly increase in private and commercial flights. An increase in the use of private aircraft and large passenger planes meant an increase in the possibly of aircraft safety incidents. Even though safety measures had been put in place to tend to large number of aircraft in the skies, in late 1950’s there were two unfortunate accidents that finally led to legislation that would be a major change to the world of aviation that affects us even today. The introduction of the Federal Aviation Act of 1958 spurred several changes in aviation that eventually led to the creation of the Federal Aviation Administration.
According to the International Air Transport Association, 2001 was only the second year in the history of civil aviation in which international traffic declined. Overall, it is believed that the IATA membership of airlines collectively lost more than US$12 billion during this time (Dixon, 2002).
INTRODUCTION I. Attention Getter: Aviation is a vital part of our nation. Not only does this industry entail a significant amount of the economy directly, but it indirectly affects the entire economy, since without it there would be millions of businesses affected. Employees would not be able to fly to meetings, cargo would not be able to be quickly shipped, Amazon Prime would not even be able to provide two day service, and lifesaving organs for dying patients would not be able to be transported in time. And now, aviation is under a new threat that is massively reducing the amount of pilots available to fly.
Along with the low stock index numbers of September 17th, the airline industry and travel stocks were also rocked. One of several airlines announcing layoffs, US Airways said that they would be terminating 11,000 jobs. These heavy losses were contributed to airlines “being grounded last week [week of September 11th], plus passengers have been apprehensive to fly, in the wake of the hijackings” (Stock Markets Reopen 1).
The final decision would then be to have the engineers and manufacturers are at the uppermost authority in aerospace decision making with regards to ethics. They should have the primary responsibility to inform the government, at any cost and at any concern as to the safety and well being of passengers who fly. Engineers and manufacturers are the ones who create aerospace vehicles, so they should be the ones to decide on the extent of their safety, and the safety of all who use them.
Airport Security Before and After September 11, 2001 Airports and airlines have seen a lot of changes over the years. Many new air routes have been added leading to more one-way flights which make for easier travel. Timetables were the best way to look up your flight dates and times before the internet really evolved in the 1990s. Airports are like small cities these days with restaurants and bars, chapels, retail stores and spas. Technologies have upgraded, making air travel more comfortable and enjoyable with reclining seats and in-flight movies.
The main opportunities that the scheduled air transportation will have in the next five years are the possible decrease of TSA agents at airports, technology increasing the safety and comfort of the flights for the passengers and ...
“Federal Aviation Administration.” Federal Profiles for Students. Ed. Keele S. Sisung. Detroit: Gale Group 1999. Opposing Viewpoints in Context. Web. 14 January. 2014.
1- Issues The main issue of this case is the lack of profits of the airline industry, an industry that should be more than profitable due to the large amount of customers, the necessity of using airlines’ services and the high prices charged by most of these airlines. What we are going to deal with is, why is this happening? And how is American airlines dealing with this problem?. To be able to discuss how American airlines wants to regain profitability, we must identify and analyse different issues such as, the company’s background, the airline industry as a whole, the demand for air travel, the marketing strategies, the distribution systems, pricing policies etc.
This will lead to the limitations on the number of routes the international carriers fly, flight schedules, fares, etc. The past five years witnessed an increase in the cost of fuel, leading many airlines into bankruptcies, which resulted in consequences such as the $30 billion loss faced by the US airline industry as estimated by the US Airport Transport Association. One of the major political factor of globalization that affected airline industry was 9/11. In order to deter future terrorist threats, several security rules and regulations were enforced, which led to the increased cost of aviation operators to administer the fundamental training and personnel to follow these rules. Additionally, the post 9/11 period saw a decline in passenger and consumer requirements, negatively affecting the airline profits. There was a revenue drop of dollar 22 billion and three years were taken to recover them. But these revenues were dropped by 14% during the global financial crisis during the years 2008 and 2009, which was reclaimed to a large extend in the following year. The 9/11 period brought forward a huge global impact such as decline in traffic, revenues and profitability, increase in oil price and bankruptcies,
The airline industry is very susceptible to changes in the political environment as it has a great bearing on the travel habits of its customers. An unstable political environment causes uncertainty in the minds of the air travellers, regarding travelling to a particular country.