5 pages/≈1375 words
Alaska Airline. History of the Airline (Essay Sample)
INSTRUCTIONS_week_7.doc INSTRUCTIONS – PLEASE READ Select a major US commercial air carrier and discuss how your selected airline relates to the selected topics listed below. Write a minimum of a 5 page paper (5 pages of text), using proper APA formatting and a minimum of 5 references from any source necessary to gather your information. Include a title page and reference page, not included in the page count. 60% of your grade will be based on the content, 30 % based on adherance to the formatting guidelines provided in the resources folder, and 10% based on spelling and grammar. DISCUSS ALL THE POINTS BELOW: - Explain the history of your airline and describe its economic, structural, and competitive characteristics pre and post deregulation. Identify the various route structure and product alternatives, the costs and benefits of each, and means for achieving product differentiation. - Identify the various airline departments and the role of each in planning, development, and execution of flight operations - Describe airline cost structure, the nature of fixed, variable, and controllable costs, and methods employed by your selected carrier to obtain sustainable competitive cost advantages over other carriers. - Discuss the methods of Revenue Management used by your selected air carrier and how it relates to other industries. source..
History of the Airline
Alaska Air Group is one of the major air groups in the United States and is based in Washington. The airline was formed in 1985 by the same company which acquired Horizon Air and Jet America Airlines. In 1987, Jet America Airlines and their workers were converted into Alaska Airlines. Alaska Airlines is autonomously operating and is not part of Jet America. The estimated number of employees for Alaska Air Group as at 2007 is about 9866 members of staff. However, this number has greatly reduced since 2008 and it has been difficult to determine the exact number of employees in Alaska Air Group (Alaska Airlines, 1989).
The aircraft that operates in this airline is the Boeing aircraft which is itself built in the United States. The aircraft has a seating capacity of 172 passengers. On the other hand, Horizon uses the Bombardier aircraft built in Canada for its operations. The seating capacity of the aircraft is about 76 passengers.
Scope Clauses do not give the reason for the separation of the two companies as it has been observed in other companies and their airlines such as Mesa Air Group and Freedom Airline and Shuttle America.
Alaska Air Group is the central company of the independently operated Alaska Airline and Horizon Air operations.
Major Route Structure and Product Alternatives
Alaska route system covers about 92 cities in the United States, Canada and Mexico. The roué structure of the air line covers areas which are even inaccessible by road such as Prudhoe Bay, Anchorage and Cordova. However, the route structure for the airline covered by the two subsidiaries is determined in terms of carriage e.g. passenger and cargo airline markets of the Pacific Northwest. The passenger carrier is mainly used in the cities of Seattle, Portland and Oregon.
Recently, Alaska Airlines have expanded extensively upon the routes covering Hawaii and other remote and secondary main cities and airports following the collapse of Aloha Airlines and ATA Airlines in 2008 (Satterfield, 2000).
Other alternative services that are offered on board include complimentary meals and snacks that are given to passengers in the first class and in the main cabin. In 2006, the airline came up with a programme where passenger were expected to buy their meals on board The program was referred to as ‘Northern Bite’ and was applicable for three hours in every flight. As a component of ‘Buy on Board’ the airline provides “picnic packs’ for a charge in coach class of all flights.
The airline also offers on board entertainment. In this case, the airline is recognized by the World Airline Entertainment Association (WAEA). In 2003, the airline introduced a portable, hard drive based video players, a variety of films and T.V programs that could be watched by passengers as they t...
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