Got a tricky question? Receive an answer from students like you! Try us!

Delta Airlines - Research Paper Example

Only on StudentShare
Undergraduate
Author : beckermargarett
Research Paper
Finance & Accounting
Pages 7 (1757 words)

Summary

Delta Airlines started its operation in the year 1925 as the world’s leading privately owned airlines. Delta Air Lines was founded by C.E. Woolman, who started the movement in the year 1929 by buying Huff Daland. This study focuses on the ways in which the company manages its various operations. …

Extract of sample
Delta Airlines

This paper stresses that there are a number of facilities that are provided by the airport where the airline operates. The airport looks for increasing their total income from commercial sources that creates both concession fees and rents. The rental income arises primarily by renting and leasing the space either directly or indirectly to the airport users like the handling agents, freight forwarders and airlines. On the other hand, concession fees are payment made by the service providers to the airport authority. Delta Air Lines that is operating in various countries also pays rent to the airport authority for using their space. The rent that the airline pays depends upon the area occupied by the company and the number of facilities operating in the airport.
This essay makes a conclusion that the international operations of the company are subjected to competition from both foreign and domestic carriers. In such a scenario, the airline in order to operate profitably has entered into alliance with foreign carriers in which they have implemented code sharing and marketing agreement that in turn will increase the ability to sell international transportation and go beyond the traditional gateway cities like Asia and Europe. At the same time the other airlines that have entered into alliance has also benefitted from the alliance by entering into US market. Apart from this, the company is also heavily dependent upon technology for their day to day operations. ...
Download paper
Not exactly what you need?

Related Essays

International Finance Airbus and Boeing
Boeing Company is the largest aerospace company of US. Its operations are in more than 90 countries. The commercial airplane division is the most prominent of all divisions. The company is headquartered in Illinois and known as premier US aircraft manufacturer. Boeing's revenue in the year 2010 was $64.31 billion and first-half revenue in 2011 was $31.45 billion. The company is subject to foreign currency exchange risk for company's revenue comes through its operations in various locations and company also makes payments to suppliers in foreign currencies. The company needs to manage foreign…
5 pages (1255 words)
International Finance: the case of Lorient Enterprises
This study has tried to analyze the hedging requirement of Lorient Enterprise, based in France that is engaged in transactions with U.S. based company Washington Technical Inc. The company has payables to be made within three months and expects that EUR would depreciate against USD. The currency forward contract compared to currency futures has been identified to be a suitable hedge for the company because its payment date is not aligned with the maturity of the futures contract and the forward contract can be tailor-made according to the company’s requirements. However it has been found…
8 pages (2008 words)
International Finance
There are mainly three types of foreign exchange risks or exposures.This is also known as accounting risk, which a firm faces when it has subsidiary operations in other countries. When the foreign exchange movements adversely affect the translated values of assets and liabilities of the subsidiaries, it becomes an unwanted exposure for the parent company’s consolidated financial statements. This risk can be hedged by using currency futures, currency swaps etc.Transaction Exposure: This exposure is related to the future payments and receipts in foreign currency. Companies many a times limit…
5 pages (1255 words)
International finance
Engaging in International trade is important for the economies of the two or more countries involved; because there is an exchange of foreign currencies, creation of jobs and enhancement of revenues through taxation of the business profits. For multi-national organizations to survive in this import and export trade, they have to employ financial tools in their assessments, and this includes financial agreements and use of security exchanges. A product of trade in international finance varies depending on locations, legal requirements of operating in such destinations and transaction…
7 pages (1757 words)
International Finance Essay
Interest rate swaps are over the counter (private) transactions; and they are highly liquid financial derivatives that can be used by hedgers to manage both their fixed and floating assets and liabilities. A party that pay fixed rate is referred to as the payer and the receiving party is called the receiver. For example, X agrees to pay fixed rate of interest under specified time intervals to W and in return, X receives variable or floating interest on notional principle from W. The types of currency swaps include fixed for floating swap for same currency, fixed for floating rate for different…
8 pages (2008 words)
Finance and Accounting Essay on Southwest Airlines
Both the Southwest Airlines and Federal Aviation Administration (FAA) were held responsible for this scandal. The safety reports were meant to comply with the safety regulations related to inspection of its jet aircrafts. FAA was responsible for assuring the facts that Southwest Airlines complied with all the required safety regulations related to the aircrafts flown by them. However, later it was discovered that Southwest Airlines flew around 48 jets without having done the required safety inspections for flying the aircrafts. Next when Southwest Airlines discovered this fact it mentioned…
10 pages (2510 words)
international finance
Additionally, the company was ranked number two in manufacture of quality skincare products and was awarded Quality System Certification in 2002 by the Saudi Arabia government, making it one of the most renowned cosmetic companies in Middle East. Thus, this paper will delve into a marketing plan of Saudis Cosmetic Company as it tries to enter London, United Kingdom. Southwest Airlines is a service industry in Tunisia that aims at offering its customers with distinctive air transport services. The company started in 1969 in Tunis Tunisia, with an aim of providing its customers with air…
12 pages (3012 words)