Pan Am World Airways
Michael Darden
Southeastern Oklahoma State University
AVIA 3293
Abstract
Pan American World Airways was an airline that knew no boundaries. With a bet on a flight from Key West, Florida to the Havana, Cuba, Juan Trippe started what is remembered today a legendary airline. Pan American Airways opened up the world to new locations that would have been thought of only accessible to the noble, wealthy and famous. Juan Trippe’s vision was to offer luxurious travel for the everyday man (and woman). He was always looking into the future of the business and betting the farm in many risks some say were “reckless”. “Trippe had been a continuous innovator, but the sad irony is that he failed to re-invent his company for the leaner, far more competitive age he had done so much to shape: the age of travel for Everyman” (Branson, 1998, p. 3). Pan American World Airways
History
“In its day, its
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Airplanes and air travel had always fascinated Juan Trippe and with family inheritance, he gave the airline industry a shot. Pan Am started with a few unsuccessful business ventures by Trippe after World War 1. “In 1927, facing a Post Office deadline for the commencement of mail carriage, Pan Am had no working equipment for its sole airmail contract between Key West and Havana. Fortunately for Pan Am, a pilot with his Fairchild seaplane arrived at Key West and was willing to carry the mail to Cuba for the start up operation. It is fitting that Pan Am’s first flight would be over water, since the airline would pioneer overseas routes throughout its history” (Grace, 2011, para. 3). These small “air taxi” services were merged and formed what is new know as Pan American Airways. Trippe’s bet of starting an airline based off of utilizing the Air Mail Act of 1925 gave him the revenue to venture into passenger world-wide
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Juan “Terry” Trippe was an innovator in aviation, business, and even in sociology. The very same techniques he used to build his business from the ground up and the jets he and his engineers worked tirelessly to design are still in use today. Though Pan American Airways is dead as a company, the legend of the most notorious and first of its kind airline company will live in the heart and soul of aviation and American history forever.
Superheroes and villains are not commonly associated with airlines, but in the article “A Tale of Two Airlines” by Christopher Elliot, it is put into a different perspective. The two airlines in question are Spirit and Southwest. Although both have some similarities, they both have considerably different views on how to treat customers. Southwest practices treating customers with respect, while fares may be a little higher. Spirit’s beliefs are to treat customers “like cargo” with lower fares. With their friendly attendants and better overall customer interaction, this appoints Southwest as the hero, making Spirit our villain. Elliot makes his point by exclaiming the “heroes” should be rewarded with a higher multitude of passengers and the “villains” should not be granted this satisfaction.
The airline industry not only transports passengers across the country and world but it also moves cargo from location to location. The largest segment for the airlines is general commercial passengers and business travelers. In 2004, there were 15 major airlines with 12 of those being mainly passenger carriers, the remaining three being cargo carriers. In addition to the large airlines (Delta, United, American, Southwest, Northwest), there are numerous low-cost regional carriers that have tapped into the larger carriers’ customer base. These smaller companies generally fly from smaller airports and serve a smaller amount of destination cities. Calling them a no-frills air carrier would not be far from the truth. Their goal is to move customers f...
This is the historic background of an American Airline company called the Southwest Airlines Co. based in Dallas which still exists and operates with great success between 57 cities in 26 states of the US, by over 300 airplanes , providing primarily short-haul, high frequency, point to point, low fare service . Through this essay we will see an analysis of the company’s advantages and disadvantages through a SWOT Analysis. We will try to localize the problems of the company at the time and in the case of a future expansion, and we will try to give a number of alternative solutions and chose one of them. The Southwest Airlines is a company that has done its first movements in the airline world in 1971 after many efforts for its opening through legal battles with competitors that did not believe that there was any particular reason why the another airline company should exist among all the others already existing. The different things that the new airline company provided were many and very interesting. The idea started from two friends Rolling King, and investment advisor, and Herb Kelleher, his lawyer, who met in order to discuss the idea of Rolling King for a low-fare, no- frills airline to fly between three major cities in Texas. The outcome of this discussion was in reality the decision of the two men to go for something that they believed would work, even though they were not positive about that. After all the legal battles between the two men and the airline companies of Texas at the time who believed it was not necessary for another airline company to enter the market, battles that prevented the operation of the company for three whole years, Southwest Airlines Co. had become a reality. Other legal battles followed in the future that justified the Southwest Airlines but left the company broke, while during the first year of its operations made losses and the earnings for the next half a year were balancing with costs. Gladly the recovery came soon and by 1978 Southwest Airlines was one of the most profitable in the country. Later on, Southwest Airlines Co. managed to provide airline transportation in eight more cities in Texas and dominated the Texas market, with low prices and frequent departures. Today the Southwest Airlines Co. is a very big domestic airline company, the fourth in the US. We will now have a small analysis of the company’s environme...
In 1978, deregulation removed government control over fares and domestic routes. A slew of new entrants entered the market, but within 10 years, all but one airline (America West), had failed and ceased to exist. With long-term growth estimates of 4 percent for air travel, it's attractive for new firms to service the demand. It was as simple as having enough capital to lease a plane and passengers willing to pay for a seat on the plane. In recent news, the story about an 18-yr British...
As Frontier approached its 10th year of operation, Frontier officials realized an image shift was in order. The airline had established a reputation for friendly and reliable service, and reasonable airfares, mainly appealing to leisure travelers. But they reali...
In the airline industry, Southwest Airlines is considered a true innovator. By shaking up the rules of flying and improving upon inefficient industry norms, Southwest has quickly grown by leaps and bounds. From the very start, Southwest Airlines' goals were to make a profit, achieve job security for every employee, and make flying affordable for more people (Southwest,2007). Southwest has not strayed from these goals. It does not buy huge aircrafts, fly international routes or try to go head to head with the major carriers; and thanks to a great planning, Southwest airlines has become the most successful airline company in the U.S., if not the world.
The Southwest Airlines company and its culture is one that is often cited in today 's business classes. The airline is widely known to be “different” compared to many of its competitors, a result of its founding values and strong corporate culture. This culture developed early in Southwest’s history and was deeply entrenched due to the competitiveness of the airline industry, as well as due to some of the pressures experienced as a result regulatory issues and stiff competition.
Charles Lindbergh's extraordinary success catapulted the curiosity of millions of Americans about air travel. On the front page of The New York Times, Edwin L. James also wrote: “harbor craft, factories, fire sirens, and radio carry messages of the flier's victory throughout the city-Theaters halt while audiences cheer.” All Americans were awakened with the victorious news and with what it would mean to the world. After this significant day in history, thanks to Charles Lindbergh, nothing will ever be the same in the world of aviation. This man, an “American Idol” forever changed the way people viewed flight, impacted companies, the country, and even the world as a whole with his talent, intelligence, and bravery.
Tom, Y. (2009). The perennial crisis of the airline industry: Deregulation and innovation. (Order No. 3351230, The Claremont Graduate University). ProQuest Dissertations and Theses, , 662-n/a. Retrieved from http://search.proquest.com/docview/304861508?accountid=8364. (304861508).
1. Issues 2. American Airlines’ objectives 3. The airline industry 4. Market 5. Consumer needs 6. Brand image 7. Distribution system 8. Pricing 9. Marketing related strategies 10. Assumptions and risks
Air travel is a huge and tremendously flourishing industry. Globalization can be defined as the integration of national and local economics, culture and societies through a web of communication, transportation and trade. The current era considers globalization as the dominant driver of almost all business due to the influence or the international market. The emerging prosperity of the global aviation industry plays a substantial role in economic growth, tourism, global investment and world trade, which are the impacts of globalization. This essay portrays the negative and positive effects of this globalization on the airline industry.
It all started in 1971, when Rolling King and Herb Kelleher decided to challenge the existing rut of charging high prices for air travels. They considered the railways and roadways their competitors and decided to offer cheaper travel for smaller routes. The company was incorporated in 1967, apart from initial entry troubles, Southwest has been the only US airline to have earned profits since 1973. The eccentric company’s outlandish way of conducting themselves has been the sole reason for Southwest Airlines to succeed in a highly competitive and packed industry.
How many times have an average person flown in an airplane, did people ever think what the world would be like without them? Airplanes have provided people with opportunities to go all over the world to experience different cultures and places. They also create jobs for many people which contributes to how they boost the economy. In conclusion, they appear as a more clean way to travel, helping out the Earth. The airplane was one of the most important inventions due to it creating jobs, creating easier cultural access, causes economic boosts, and created less pollution than most means of travel and also has an interesting history.