Airline Industry 2022 PDF

AIRLINE INDUSTRY Chubs Ram Si Airline Industry and the Aviation Industry The terms ‘airline industry’ and ‘aviation industry’ are sometimes thought of as being synonymous, but in reality, they have different meanings. As stated, the airline industry refers to companies that offer...

AIRLINE INDUSTRY Chubs Ram Si Airline Industry and the Aviation Industry The terms ‘airline industry’ and ‘aviation industry’ are sometimes thought of as being synonymous, but in reality, they have different meanings. As stated, the airline industry refers to companies that offer air transport services to paying customers, whereas the aviation industry includes all aviation-related businesses.  Subdivided into 2: *Military Aviation - Aircraft flown by a nation’s air force and other branches of the military. *Civil Aviation - The industry that flies the public from place to place.  Civil Aviation has 2 kinds of services:  *Domestic Service - A flight must start and end within the boarders of the same country.  *International Service - The flight starts in one country and end in another.  Federal Administration Aviation (FAA) - Is in charge of air traffic control operations, licenses pilots, inspect aircrafts and oversees maintenance.  Air Transport Association (ATA) - An Airline trade association standardizes and regulates ticketing. - This commonality permits greater ease of learning and understanding for pilots, aircraft maintenance technicians, and engineers alike.  Airline Reporting Corporation (ARC) - a company which provides ticket transaction settlement services between airlines and travel agencies and the travel management companies that sell their products. - also known by the airlines, controls the distribution of tickets.  International Air Transport Association (IATA) -An association made up most of the World’s Airlines. Set’s standards for civil Aviation - supports aviation with global standards for airline safety, security, efficiency and sustainability.  International Airlines travel agents network (IATAN) -A subsidiary of IATA. Links airlines with travel agencies and other travel distributors. One of its most important duties is to set standards to determine who is legitimate seller of travel and therefore is eligible for industry benefits.  Different Types of Airlines: 1. International Airlines International airlines are a group of the largest, most high-profile and most successful airlines. They make billions in revenue each year and operate large passenger jets. These airlines also tend to focus their efforts on offering global services, carrying passengers and cargo over large distances.  2. National Airlines National airlines represent the next step down from the largest international airlines. They will typically offer both medium-sized and large-sized jets and will often focus on offering services to areas within their home country, but many will offer access to international destinations too. A national airline is still likely to employ thousands of people, but will have a smaller fleet size. In many cases, the destinations they offer flights to are influenced by seasonal fluctuations in demand.  3. Regional Airlines Finally, as the name suggests, regional airlines are the smallest of the three main types and focus on offering services within specific regions. In many cases, they provide passenger services to parts of the world with lower levels of demand and where services are not offered by either national or international airlines. Some regional airlines also function as an affiliate for a national or international airline. Within this context, they will typically provide connection flights from the region they cover to the airline’s main hubs.  Business Models for Airlines 1. Full-Service Carriers Full-service carriers are airlines that operate with a business model that includes offering a range of pre-flight and on-board services with the price of the ticket. This may include, for instance, checked baggage, in-flight meals and multiple service classes, such as first-class, business class, economy class, etc.  2. Low-Cost Carriers Low-cost carriers are airlines that aim to gain a competitive advantage over full-service carriers by reducing costs. This is done in a number of ways, including using smaller fleets and smaller aircraft, and also by offering more limited services. Their business model tends to centre around promoting value for money.  3. Charter Airlines Also known as holiday carriers, charter airlines are focused very firmly on providing passenger services to tourists. In most cases, however, they do not sell airline tickets directly. Instead, they will enter into agreements with tour operators and/or travel agencies, who then take responsibility for finding passengers for them. In terms of passenger services, charter airlines are often a “middle-ground” between full-service and low-cost carriers. As with low-cost airlines, the business model does rely on reducing overall costs. Yet, in many cases, in- flight meals and similar services will be included with the price of an airline ticket.  4. Cargo Airlines Finally, cargo airlines, also known as air freight carriers, are airlines that are either solely or primarily focused on the air transportation of cargo or freight. Some cargo airlines, such as Lufthansa Cargo and Emirates SkyCargo, are subsidiaries or sub-divisions of airlines that also offer passenger services. Cargo airlines can be further broken down into traditional cargo carriers and integrated cargo carriers. With the latter, all aspects of cargo transportation are controlled by the company, including the ground or non-flight elements FLIGHT TYPES AND ROUTES  Non- stop flight - One on which a traveller goes from point A to point B on the same aircraft with no stop in between. Example: American Airlines Flight 118 goes from LAX in Los Angeles to New York City’s JFK Airport with no stop in between.  Direct Flight - One on which traveller goes from point A to point B on the same aircraft but that aircraft stops at an airport in between. That flight will have one flight number though just like nonstop one. Example: American Airlines Flight 1158 goes from Los Angeles to Dallas and then the same aircraft continuous on from Dallas to New York City with no change in flight number. * Direct Flights are also called continuing or one stop flight.  Connecting Flight - One in which traveller, to get his or her destination, must change planes once, twice or even more times. Each flight will have a different flight number. TYPES OF FLIGHT ITINERARY ONE WAY FLIGHT ITINERARY – means that the traveller just goes from point A to point B. Example: MNL-TUG ROUND TRIP FLIGHT ITINERARY- most common; the traveller flies from point A to point B, stays a while and then returns from point B to point A. Example: MNL-TUG-TUG-MNL OPEN JAW FLIGHT ITINERARY- one where traveller flies from point A to Point B, then travels by ground transportation like rail or car rental from point B to C, then returns by air from point C to point A. Example: MNL- CGY ride via Bus CGY- DVO-DVO- MNL CIRCLE FLIGHT ITINERARY – one where traveller has two or more extended stopovers and returns to the originating point. The aircraft  2 Variation of Aircraft NARROW BODY JET - Boeing Super 80 -Boeing 737 - Airbus A319 - Boeing 717-Boeing 757 - Airbus A320 - Boeing 727-McDonnell-Douglas DC-9 -Airbus A318-McDonnell-Douglas MD-80 WIDE BODY JET (JUMBO JET) - Boeing 747- Boeing 7E7- Airbus A380 - Boeing 767- Airbus A300 - McDonnell-Douglas DC-10 - Boeing 777- Airbus A340 Configuration – refers to the way seating is arranged within the aircraft. Pitch – the distance between seat rows, also called as leg room. CLASSES OF SERVICE  First Class -Compartment at the front of the plane. It is usually features wider sets, greater pitch, more recline and more elaborate meals, complimentary alcoholic beverages and free movies.  Business Class -Represent a class of service that is almost as good that is found in the first class that is almost as good as that found in the first class.  Coach Class - Sometimes called economy class and it is more standard level of service. It features narrower seats, less pitch and recline, simple meals or snacks (no menu choice) or even no food service at all. Except for a bag of pretzel and a soft drink. Freedoms of the air - The Freedoms of the Air are international commercial aviation agreements (traffic rights) that grant a country’s airline(s) the privilege to enter and land in another country’s air space. - They were formulated in 1944 at an international gathering held in Chicago (known as Chicago convention) to establish uniformity in the world air commerce. There are generally considered to be eight freedoms of the air. - The freedoms of the air are the fundamental building blocks of the international commercial  First Freedom Right - the right or privilege to fly across the territory of another state without landing. - the right of an airline to over fly one country to get to another country.  Second Freedom Right -The right of an airline to land another country for technical stop over such as refuelling or emergency repairs.  Third Freedom Right -the right or privilege of an airline, registered in country X, to drop off traffic from country X to country Y.  Fourth Freedom Right - the right or privilege of an airline registered in country X to carry traffic back to country X from country Y.  Fifth Freedom Right - the right or privilege of an airline registered in country X to collect traffic in country Y and fly on to country Z, so long as the flight either originates or terminates in country X.  Sixth Freedom Right - the right or privilege of an airline, registered in country X to carry traffic to a gateway and then abroad.  Seventh Freedom Right - The right or privilege of an airline, registered in country X, to operate entirely outside of country X, in carrying traffic between two other countries.  Eighth Freedom Right - the right or privilege of an airline registered in country X, to carry traffic between two points in the same foreign country.  TERMINOLGIES( refer to copies) VIDEOS: C:\Users\User\OneDrive\Documents\MICRO 2022\FINALS\F light Attendant Boarding and Landing Announcement.mp4 C:\Users\User\OneDrive\Documents\MICRO 2022\FINALS\I AOT - In-Flight Safety Demonstration.mp4 END…