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Aviation Industry Overview

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Questions and Answers

Which industry generates over $100 Billion annually in economic activity?

Agriculture

Telecommunications

Biotechnology

General Aviation (correct)

How many major manufacturers are there for medium-range and long-range jet aircraft used by airlines?

Five

Four (correct)

Three

One

What is the term used for an aircraft manufacturer's production before engines, avionics, and cabin arrangements are added?

Pre-Engine Build

"Bare Plane"

"Green Aircraft" (correct)

Airframe Plus

Before deregulation, which type of airplanes experienced huge excess supply and were used commercially?

Military transport airplanes Signup and view all the answers

What impact did the deregulation have on the airline industry?

The market share of major airlines decreased while low-cost carriers gained market share. Signup and view all the answers

What changes in the types of airlines occurred after deregulation?

Regional and commuter airlines emerged in the 1980s, followed by new generation low-cost carriers and small jet providers in subsequent decades. Signup and view all the answers

How did the percentage of passengers traveling on discount fares change over time?

The percentage increased significantly over the years. Signup and view all the answers

What happened to the market value of Southwest Airlines and United Airlines after the millennium?

Southwest Airlines' market value jumped significantly while United Airlines' market value dropped. Signup and view all the answers

What impact did deregulation have on airfares?

Fell by more than 40% Signup and view all the answers

How did load factors change as a result of increased airline services with lower fares?

Increased from 49% to 58% Signup and view all the answers

What was one of the consequences of increased load factors at airports and air traffic systems?

Introduction of slot applications Signup and view all the answers

What new marketing and financial tool did airline management introduce post-deregulation?

Frequent Flyer Programs (FFP) Signup and view all the answers