Air transportation a management perspective pdf free download






















This will be the ideal introductory textbook for students of tourism and hospitality studying courses in aviation and air travel.

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Regular Articles in the European Journal of Tourism Research should normally be between 4 and 20 words. Major research articles of between 10 and 20 are highly welcome. Longer or shorter papers will also be considered.

The journal publishes also Research Notes of 1 — 2 words. Submitted papers must combine theoretical concepts with practical applications or empirical testing. There are no charges for publication. Download Traditions And Innovations In Contemporary Tourism books , This book presents significant theoretical and empirical studies of various aspects of hospitality and tourism from the perspectives of both tradition and innovation. The first part is dedicated to traditional tourism and hospitality issues ranging from tourism policy and planning and management practices, through cultural event marketing to the need for more intercultural communication.

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Although U. There is nothing strange about that, because two-thirds of the world market for large airliners exists outside the United States. They also give the U. In short, sharing American know-how might prove costly in the long run, because it further enhances the competitive posture of foreign companies. But sharing, it should be remembered, is a two-way street.

The huge size of the U. Traditionally, over 40 percent of commercial jets on order from U. Now more than ever, as they seek the export sales crucial to market leadership, manufacturers need the foundation of a strong U.

By the end of , the airline industry was in a tailspin. Civil aviation has a history of cycles, and with the slowdown of the economy in shipments began to tumble. Also, some economists are suggesting that business cycles in general should be less severe due to factors such as deregulation and global competition. Economic Growth. Economic growth has a tremendous impact on the civil aviation market.

During periods of economic growth, companies build and service new outlets, which leads to an increase in business travel. In addition, family incomes generally rise, which results in greater spending on leisure travel. The correlation between economic growth and air travel has been recognized by analysts for many years. A generally accepted rule of thumb holds that there is a 2. When prices are stable, interest rates tend to be low, and this encourages investment and business expansion.

When prices rise quickly, interest rates also climb. When this happens, airlines are faced with the unpleasant choice of either absorbing those higher costs or raising their fares. In , , , and , air carriers faced rising fuel and labor costs.

During the recent recessionary periods — and — , air carriers sustained huge losses. The passenger load factor is used to measure airline capacity utilization. If load factors are rising during a business cycle, this also suggests that airline revenues are improving. In a related issue, the airlines were required to meet low stage 3 noise levels in the United States by December 31, ; the date in Europe was April 1, Airline stocks were soaring and optimism prevailed as the carriers entered the new century.

The economy slowed down in the spring of and went into recession in , followed by the tragedy of September 11, Once again, the carriers experienced record losses in and Massive employee furloughs took place during these years. By the end of the industry was in shambles. A Cyclical Industry. The civil aviation market is cyclical.

This is important to recognize to fully understand the environment surrounding transport orders and deliveries. Since , orders for U. This creates a time lag between order and delivery dates that can last well over a year. Also, in the retail industry, there are many suppliers. Building a commercial transport takes an enormous investment, limiting the number of manufacturers in the business. For example, it took Boeing two years to double its production rate for all models.

These situations can create an imbalance between demand and supply that causes orders and deliveries to swing abruptly. Yet there is also a behavioral side to these cycles. This creates a surge in orders that can push back delivery dates even further. This is being accomplished by adapting computer-aided design and manufacturing technologies that obviate the need to build mock-ups.

Future Trends in Air Transport. The air transport sector has shown a strong tendency to recover from each downturn with renewed vigor. Transport deliveries have been rising for the past 40 years. This suggests that deliveries will continue to climb in the future. In fact, transport manufacturers and analysts alike project that deliveries will almost double over the next two decades. The key assumption here is that the international economy will continue to grow.

Historically, the economic cycle of the general aviation industry closely paralleled that of the national economy. This relationship changed during the s and early s. Other analysts cited changing life-styles, tax laws, and foreign competition as further reasons for the sluggish sales performance of recent years. The general aviation industry has undergone deep and broad structural changes.

The major independent manufacturers have been taken over by conglomerates. Textron acquired Cessna from General Dynamics, and Beech is now Raytheon, taking the name of its parent company.

In fact, they use less fuel per seat-mile than any other form of air transportation. A Boeing gets This has been particularly true in recent years with the establishment of hub airports by the major carriers. Only those routes that generate high load factors will continue to be viable, which means that the trend will be toward decreased airline service. The upward turn in units shipped and particularly dollar volume has ushered in a new wave of optimism to the general aviation sector.

Unquestionably, general aviation is here to stay, but as in the air transport segment, manufacturers will continue to experience ups and downs with changes in the economic cycle, just as they have in the past. Sales of U. It should be noted that much of U. Today, lightweight, single-engine models dominate U. Overall, foreign manufacturers should continue to increase their share of the total world market even as U.

The transfer process has been hampered by the lack of an aggregated market such as that provided by the federal government or the airlines in aerospace work. In nonaerospace activity, the industry has operated largely on a single-project, single-location basis, working with individual federal, state, and local government agencies and other customers to transfer technology in such areas as medical instrumentation, hospital management, mass transportation, public safety, environmental protection, and energy.

Despite the lack of an aggregated market, the results have been impressive in terms of industry sales volume, particularly in most recent years. The key words are italicized: common carrier and compensation or hire.

A citizen may be an individual or a corporation. A common carrier is a person or company in the business of transporting the public or goods for a fee. Contribution to the Economy Over the past 60 years, the air transportation industry has become an increasingly important part of the U.

In , U. They also might be familiar with some of the support elements—baggage services, travel agents, and others. With economic deregulation of airlines in the late s, air cargo networks were able to facilitate just-intime shipping, providing expanded services at lower costs. Optimization of just-in-time shipping allows short production and development cycle times and eliminates excessive inventory in the logistics chain, regardless of facility location.

One-stop shopping has become extremely important to businesses in their selection of logistics service providers and air cargo carriers. The major integrated carriers provide seamless trucking, warehousing, and distribution service functions in addition to air cargo. As of early , this is the most recent study. Using data, the study examined the impact of civil aviation, which included: 1.

Scheduled and unscheduled commercial passenger and cargo operations including cargo-only transportation 2. General aviation including business aviation and air taxi operations 3. Their related manufacturers, servicing, and support including pilot and maintenance technician training 4.

Their supply chains indirect impacts 5. The direct, indirect, and induced impacts of related industries, such as travel and tourism, for which air transportation provides an enabling function Economic Impact Types and Causes.

The impacts were divided into three types: direct impacts, indirect impacts, and induced impacts see Table They include expenditures by travelers who arrive by air, travel agents, business aviation, and others. Note: In , total U. Because of rounding, totals and subtotals may not add precisely. Civil aviation including related industries represented Although general aviation accounted for only 12 percent of the total, it generated nearly 1.

Certain values are associated with this timeliness: 1. Quicker on-the-spot decisions and action 2. Less fatigue associated with travel 3. Greater mobility and usefulness of trained, experienced executives, engineers, technicians, troubleshooters, and sales personnel 4.

Decentralized production and distribution 5. The mile New York—Chicago trip took 17 hours each way on the fastest rail routing. The same trip today can be made in a couple of hours. By , one-third of U. The impact of the air age on personal and pleasure travel has been at least as great as it has been on business travel.

And airline fares remain a bargain compared to the price increases of other products and services over the past 50 years. In , only a few wealthy individuals traveled to places like Florida or Hawaii, much less to Europe. The industry is a vital factor in four particular areas of the U. What are they? How has the aerospace industry changed since the s?

What are the unique characteristics of the aerospace industry? Describe the aerospace industry in terms of its major products and its sales during the s and early s. What are related aerospace products and services? Describe the outlook for the civil aviation market in the early s.

Why has Boeing accused Airbus Industrie of unfair competition? What is the outlook for helicopter sales? Discuss the impact of the air transportation industry on the U. Aviation Trends in the New Millennium. Burlington, VT: Ashgate, Anderson, John D. Introduction to Flight. New York: McGraw-Hill, Alexandria, Va.

Graham, Brian. Geography and Air Transport. Lopez, Virginia C. Washington, D. Phillips, Almarin. Lexington, Mass. Rendall, David. Schriever, Bernard A. On January 1, , the mayor of St. Financed by P. A humble beginning for the now-giant industry.

The development of large bombing planes during World War I demonstrated that the airplane could be used for fast commercial and mail transportation. One round trip was made every day except Sunday, and an intermediate stop in Philadelphia enabled the receipt and discharge of mail and the servicing of the planes.

Safety and carrying capacity were the principal qualities sought when selecting or remodeling the planes. The Weather Bureau of the Department of Agriculture was enlisted to provide the pilots with adequate weather information. By , domestic air mail service in the United States had progressed to the point that the feasibility of regular service had been adequately demonstrated. Facilities for air transportation had been established, and the desirability of continued direct government operation or private operation under contract with the government was widely discussed.

The U. The Kelly Act authorized the postmaster general to enter into contracts with private citizens or companies for the transportation of mail by air. This pleased the secretary of commerce, Herbert Hoover, who was a strong proponent of aviation. From these, the department chose the operators of 12 feeder, or CAM contract air mail , routes linking cities throughout the nation see Figure This service was later incorporated as the Boeing Air Transport Company.

CAM 5 Minneapolis—St. Cheyenne, Wyo. Airline feeder routes were contracted to private operators in The transcontinental express sections were set up in , and commercial air travel across the United States became a reality.

In the meantime passenger service could only improve. Known as the Air Mail Act of , it empowered the postmaster general to consolidate air mail routes if he thought that would serve the public interest. In May, he invited the heads of the larger airlines to Washington for a series of meetings that came to be called the Spoils Conference. United a fusion of mostly west coast CAM companies would get the northern route; Avco the Aviation Corporation, a holding company that later became American Airlines would get the southern route.

Western had also shown considerable interest in passenger travel, although its route was for only the most rugged of individuals. Hanshue agreed to the establishment of a new airline named Transcontinental and Western Air Express, in which TAT and Western held the majority of stock. When Black heard the story, he quickly added air mail contracts to his investigation. Roosevelt to a point that all prior contracts were immediately canceled.

It was pure punitive politics, but at least the Army was out of the mail business. The act authorized new one-year contracts that were subject to review before renewal. The Interstate Commerce Commission was involved as a regulator of rates, and the secretary of commerce was empowered to specify what equipment was suitable for each route. To placate smaller airlines anxious to acquire portions of the big routes, Postmaster General Farley added a provision that barred all prior contract holders from bidding anew.

Obviously, this meant the end of the airlines as an industry. The government that had created them under Brown was now preparing to destroy them under Farley. Farley privately advised all the airlines to reorganize, which is how American Airlines, Eastern Airlines, and United Airlines all came to be. A new era had dawned, one in which the airlines would guide their own destinies. The Turning Point for the Airlines Certain aspects of the industry were looking up.

Unfortunately for Boeing, their search took them to a small manufacturer headed up by Donald Douglas. Boeing sold 75 of the s—but that was all. United soon switched to the Douglas airplanes as well, in order to remain competitive with American and TWA. But if the had been built with the proper engine, there might never have been a Douglas airplane to consider. Its development also introduced the importance of operating costs to airline managers, who were mostly new to the business and therefore willing to try new ideas.

The Arrival of the Professional Airline Manager Once the Air Mail Act had become law, a new group of managers emerged who would prove to be the most dominant personalities thus far in the short history of air travel. The pioneers had been long on courage, but they came up short when it came to business acumen.

Curiously, few of the leaders we now associate with their respective companies actually founded their airlines. For example, William A. The president of Eastern was Ernest P.

And TWA was about to elect Jack Frye as president, but he was only a vice-president for the month period preceding his election. The industry needed strong leadership at this point in its development, and these individuals would enjoy some of the longest and most successful tenures in U. This group of dynamic individuals seemed to share one outstanding trait—the ability to take risks against great odds and keep going in the face of adversity.

And between and , the adversity was great indeed. The airlines had a fatality rate 1, times that of the railroads and times that of buses; in , the carriers had accidents, 16 of them fatal. And not until the s did passenger revenues exceed the income from mail payments.

Considering their awful safety record at the time, it is hard to fault the decisions that led to the changes, but few would ever have guessed at the eventual outcome. They had seen the need for such a practice and had hastened to take action.

The government was now irretrievably involved in the direct operation of the airlines. An immediate investigation was launched into the safety function of the Bureau of Air Commerce.

Crane invented a system for totally automatic landings and successfully tested the devices at Wright Field in Ohio. It seems surprising now to realize that so many major technological advances were available so early.

Roosevelt solicited and received recommendations for a new, inclusive body of regulations. When World War II broke out, Roosevelt made arrangements to nationalize the airlines, and had it not been for the strong opposition of the Air Transport Association ATA , this arrangement might well have become permanent.

The order was rescinded. Production was converted overnight: the DC-3 became the C and was even more legendary in its accomplishments as a military airplane than in its civilian counterpart. At the beginning of the war, U. The C the military designation for the DC-4 had its beginnings back in as the DC-4E, an abortive design that combined the forward end of a DC-3 with four engines and a triple tail. The immediate postwar era was a stagnant time for the airlines. President Harry S.

Trunk routes were already taken by the prewar companies, but many feeder routes were up for grabs. The established carriers viewed with horror the thought of government subsidies for new feeder lines, arguing that they should provide the feeder service. Overexpansion furnished enough trouble for the airlines, but the nonscheduled airlines that sprang up all over the nation provided more. Aviation records fell as new and improved models of Constellations, DC-6s, and DC-7s with reciprocating power plants appeared.

The result was the deHavilland Comet jetliner. In February , the investigators determined that metal fatigue in the hull had led to explosive decompression. Airplanes quickly became machines of awesome complexity, requiring systems no one person could ever entirely understand.

Landings became routine at 42 terminal airports used by 12 of the airlines. In , three engineers at the Bell Telephone Laboratories invented the transistor, while distance-measuring equipment DME and very high frequency VHF omnirange loomed as the answer to a need for improved air navigation aids.

But when Lockheed tried the same approach with its Electra turboprop, the result was one of the most expensive recall campaigns ever. Lockheed eventually redesigned the wings and engine nacelles on of the airplanes. Boeing had never really prospered in the commercial business since the DCs had stolen the thunder from its The and , though praiseworthy for their implementation of revolutionary features, had not really been successful. The air force tested the plane and bought it.

Boeing then approached the airlines, proposing a jet airliner based on the Boeing jet tanker. The airlines were lukewarm to the proposal and declined to invest any money in research. Once more, Boeing risked its own funds, this time to develop the Boeing It marked the end of one era, and the beginning of another. The challenges were enormous, not only for the airlines, for whom 30 years of parts and maintenance experience became obsolete overnight, but also for the government, because safe operations were their responsibility.

Suddenly, it was a crowded sky, and the outcry for reform was loud and clear. The answers, of course, were sought in technology. If a pair of conceptually obsolete piston airliners could have a midair collision, what would happen with jets, which went 50 percent faster?

It also paved the way for the next major piece of legislation. President Dwight D. Eisenhower pressed for passage, and the FAA was born. It was American Airlines that began service between the coasts a year later. Once again, Pan Am led the way by introducing jumbo-jet service across the Atlantic in January The Boeing was unmatched.

More than a thousand s have already been built, and production continues. Wisely, other manufacturers did not try to challenge Boeing head-on. The tri-jet Douglas DC and the Lockheed L, under development at the same time as the , were only about three-quarters of its size. Production of the TriStar was disrupted by the bankruptcy of its engine manufacturer, Rolls-Royce.

The basic design of this twin-engined variant on the widebodied principle took shape in the late s. The wings for what became the A series were built by a European consortium of airframe manufacturers. Both the and the used the fuselage cross section of the series, giving short-range customers amenities similar to those found on the longer trips. During this era, the airlines passed from a period of high risk to a period of virtually no risk at all.

Over the years, U. The number of U. Internationally, limited service was provided in by a handful of scheduled U. By , these numbers had increased to 21 U. The number of passengers domestic and international carried by U. In addition, in , foreign airlines carried some 16 million passengers to or from the United States. With increases in average length of journey, there was an even greater growth in U. The air transport industry also became a major employer.

Total direct airline employment increased from about 13, to well over , Accompanying these developments were quantum improvements in safety, speed, comfort, and overall convenience for the users of air service. At the same time, technological advances combined with economies of scale to produce lower unit costs, helping make it possible to hold the line on prices over this year period. The air transport industry also met the congressional objective of assisting the national defense. Subsequently, they helped break the Berlin blockade, provided important contributions in the Korean and Vietnam wars, and furnished emergency and evacuation assistance in dozens of other critical situations around the globe.

And this contributed, in no small measure, to the worldwide supremacy of the U. All of this was accomplished through private enterprise with an early phaseout of government subsidies except for limited types of service in the public interest. And in international service, there was a steady and substantial increase in the number of operators U.

This year period also saw changes in the structure of the U. During the same period, new categories of carriers, as well as new carriers, were licensed, including 8 local-service and 3 all-cargo companies, and 10 charter airlines.

Despite problems and inadequacies, few could reasonably deny the brilliant success of the regulatory scheme. There was a high level of public satisfaction with U. It is interesting to note that ATA computations of rate of return on investment showed, for example, positive returns of 1. The rationale for regulation is rooted in the economic and physical characteristics of the air transport industry. The major reasons are listed here: 1. To stabilize the industry. He is President and CEO of Airline Visions, an industry leading aviation advisory and futurist firm specializing in business, strategy, and marketing plans for new-entrant and established airlines.

Prior to the above role, Dr Wensveen was Partner of the Americas and Executive Vice President, Airline Start-ups, at Mango Aviation Partners responsible for overseeing airline start-up and airline restructuring projects from concept through launch of commercial operations. Dr Wensveen was Global Head of Airline Services at Radixx International, where he was responsible for building and overseeing the advisory services division.

Prior to this role, he held an executive position at InterVISTAS-ga2, where he was responsible for developing international partnership agreements for air carriers worldwide.

While at MAXjet, he led partnership negotiations and set up of the European infrastructure. From to , Dr Wensveen was employed as Professor of Airline Management with the College of Business at Embry-Riddle Aeronautical University where he instructed airline management and operations courses.

Written in an easy-to-read, easy-to-understand style, the Eighth Edition modernizes the text focusing on newly emerging management trends, innovative technology, and an increased emphasis on global changes in the industry that will change the future of aviation. New and updated material has been added throughout the text including mini case examples and supplemental presentation materials for each chapter.

Air Transportation: A Management Perspective is suitable for almost all aviation programs that feature business and management. Its student-friendly structure and style make it highly suitable for modular courses and distance-learning programs, or for self-directed study and continuing personal professional development.

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