Ribbons in the Sky The Airline Transportation Industry

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Presentation transcript:

Ribbons in the Sky The Airline Transportation Industry Chapter 2

The Aviation System Aviation = the industry that builds and flies aircrafts Military aviation = aircraft flown by a nation’s air force and military Civil aviation = industry that flies the public from place to place Domestic service International service

Aviation Regulatory Agencies The Federal Aviation Administration (FAA) The Air Transport Association (ATA) The Airlines Reporting Corporation (ARC) The Department of Transportation (DOT) The International Air Transport Association (IATA) The International Airlines Travel Agent Network (IATAN) The Transportation Security Administration (TSA)

Airline Service and Routes Scheduled service Charter flights Privately owned jets Fractional ownership in an aircraft

Flight Types and Routes Nonstop flights Direct flights Connecting flights One-way flight itineraries Round-trip flight itineraries Open-jaw flight itineraries Circle-flight itineraries

Hubs and Spokes Hubs = airports that link a system of “spoke” flights Domestic hubs International hubs

Airport Country IATA Passengers 2012 Hartsfield Jackson Atlanta International United States ATL 95,462,867 Beijing Capital International China PEK 81,929,359 London Heathrow United Kingdom LHR 70,037,417 Tokyo International Japan HND 66,795,178 Chicago O’Hare International ORD 66,633,503 Los Angeles International LAX 63,688,121 Charles de Gaulle International France CDG 61,611,934 Dallas Fort Worth International DFW 58,591,842 Soekarno-Hatta International Indonesia CGK 57,772,762 Dubai International United Arab Emirates DXB 57,684,550

Categories of Aircraft Powered by jet engines Narrow-body jet Wide-body jet Driven by propellers

Classes of Service First class Coach class Business class

The Major North American Airlines Aeromexico (AM) Air Canada (AC) American Airlines (AA) Delta Air Lines (DL) United Airlines (UA) US Airways (US)

Rank Airline Country 2015 2014 2013 Fleet Destinations Daily Departures2 Source 1 American Airlines1 United States 201,249,127 197,340,801 193,739,825 964 339 6,500 [1] 2 Delta Air Lines 179,382,874 171,350,030 164,659,644 801 322 5,400 [2] 3 Southwest Airlines 144,574,882 135,767,188 133,155,030 709 97 3,800 [3] 4 United Airlines 140,369,000 138,029,000 139,209,000 714 374 4,935 [4] 5 Air Canada Canada n/a 38,526,000 35,761,000 171 182 1,500 [5] 6 JetBlue Airways 35,100,986 32,078,316 30,463,226 213 825 [6] 7 Alaska Airlines 31,883,000 29,278,000 27,414,000 147 104 880 [7] 8 WestJet 20,281,376 19,651,977 18,485,144 139 91 420 [8] 9 Aeroméxico Mexico 18,769,000 17,190,000 15,488,000 124 84 600 [9] 10 Spirit Airlines 17,921,419 14,293,703 12,413,812 79 57 250 [10] 11 Frontier Airlines 10,700,000 60 55 [11] 12 Volaris 11,983,000 9,809,000 8,900,000 54 [12] 13 Hawaiian Airlines 10,672,667 10,195,145 9,935,743 52 28 212 [13] 14 Allegiant Air 9,355,097 8,017,442 7,103,366 74 109 [14] 15 Virgin America 7,036,000 6,508,000 6,329,000 23 [15] 16 Interjet 47 17 Porter Airlines 26 20 18 Sun Country 21 31 [16] 19 Air Transat 25 82 [17] Vivaaerobus.com 27

Low-fare Airlines Target leisure travelers Establish hubs at secondary airports Fewer nonstop long flights Many offer no meals or movies Tend to use fewer aircraft models Fares have fewer rules and restrictions