Management Decision Making in Air Transport

Management Decision Making in Air Transport

BRIEF: Airline and Airport Mergers and Acquisitions (THIS REPORT WILL BE BASED ON THE ACQUISITIONS OF AIR EUROPA BY RYANAIR)

Background Information
Airline concentration has always been a significant by-product of the deregulated industry, but in today’s operating environment there seems to be a renewed emphasis on mergers and acquisitions by both the low cost and legacy airlines. An example would include the merger of United and Continental Airlines to create the world’s largest carrier on 17 September 2010. Europe has not been immune to this trend and airline concentration has resulted in the emergence of three mega carriers amongst its legacy airlines.

In addition, the privatisation of UK airports and the creation of a competitive environment have been the catalyst for changes in airport ownership over recent years.

Tasks
1. Choose two airlines that in your opinion would benefit from merging together or one airline that might benefit from acquiring another and give a brief overview of what you consider these benefits to be. (THIS REPORT WILL BE BASED ON THE ACQUISITIONS OF AIR EUROPA BY RYANAIR) (word count guide – 1000 words)
2. Given the changing nature of the air transport industry, what are the major changes and issues the new airline will face during the next 3-5 years and how should they manage these changes and issues to develop their business. (word count guide – 2000 words)
3. What organisation might be interested in acquiring LBA (or a regional airport of your choice) ; give an overview of why this organisation would wish to acquire LBA and what its priorities might be. (word count guide – 1000 words)

Format
Write a report based on the three tasks. The report must be in a font size of ‘12’, line spaced at 1.5 and Harvard Referenced
WEIGHTING: 100%
WORD COUNT: 4000 words

(THIS REPORT WILL BE BASED ON THE ACQUISITIONS OF AIR EUROPA BY RYANAIR)

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