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Strategic Management - Research Paper Example
Pages 8 (2008 words)
Delta Airlines is the main American carrier that operates both domestically and internationally. Since the terrorist attacks of 9/11, airline industry was one of the profitable industries in the world marked by rapid technological and marketing changes, and competitive environment…
Stable political situation in America and economic relations with Europe supported development and growth of international operations. Government policies and employment law have a positive impact on company's performance, its market position and organizational structure. Economic factors included stable economic development of the region, low interest rates and low inflation rates; regional and international cooperation, high record of airline industry growth. Social/demographic included lifestyle changes (involve aging of population), and increasing number of travelers. Technological forces generate problem-solving inventions. Airline target was on average as dependent on reliable information technology as any other businesses. Improvements in cargo ships and handling equipment, increasing containerization, applications of IT to scheduling and controlling shipments and to customs procedures, new plains, and a host of other technological advances and innovations have reduced the costs of services and information. On the other hand, airline technology cost is one of the highest among other industries (Rinehart, 2005; Meyer 2003).
After 9/11 Delta Airlines experienced profit loss and lost it market share. ...