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A Critical Discussion about British Airways and Its Entry into Central and Eastern European markets proposal - Essay Example
Pages 9 (2259 words)
Aviation as an industry has become a profitable business. Its success like any other industry is basically dependent on the fact that there are still unexplored markets out there and if an aviation company succeeds in getting into new regions,…
In aviation industry however entering new markets is not easy as airlines need a lot of permissions to fly to their preferred destinations. For domestic routes, an airline gets a national license by the regulatory authority. For international flights, the regulatory authorities of all involved countries have to permit the course and destination. For expansion purpose if an airline to operate from out of a host country, like a multinational it also has to decide a suitable entry mode. Majority of the airlines prefer equity participation in existing airlines, or through mergers and acquisitions. In this paper, the opportunities for British Airways (BA) will be studied for entering the East European Market. Earlier this market was closed but now the airlines like British airways have the option to join this market. Aims & Objectives Eastern Europe has gone through an economic policy change. It is now a free economy and thus now it is possible for the West European and other airlines to enter this market for profitable business ventures. This paper aims to research and find for British Airways a suitable market entry mode. The scope of this research will be to find the best options and to figure out the best one. ...
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