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GLOBAL BUSINESS CONTEXT - Essay Example

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GLOBAL BUSINESS CONTEXT

Airline Industry remains a most important figure at global level as it is providing different services at the same time. We found its first origination in 1909, and since then the structure of this industry changes over time showing a regular boosting and improvement. The structure of airline sector compromises of passenger services and freight services. On the other hand, its services are categorized as intra-continental, inter-continental, domestic services, operated or scheduled services and charter services1. The airline industry includes different sectors that together give rise to a complete Airline Sector. These sectors are Airbus, Jumbo Jets, Boeings and other small jets. The airlines deal with different services and among them passenger services and freight are the most common and most important services.
Though, it was 1909 when the first airline craft was introduced by the Germany but this wasn't the most important figure. The actual industry starts when the airbus discovery took place. But before that, in 1914 the very first commercial flight in the US starts but this remain the only service till 1925 when the ford introduces their commercial flight holding 12-passengers capacity. At the same time the US decided to operate at global level and by 1930, the introduction of Boeing was made2. But till this time, the airline sector did not show any good performance and enhancement. Actual chronicle belongs to the year 1970 when European consortium (Germany, France, Great Britain and Spain become the member later after few years) started an airbus Industry. The objectives of the goals behind this industry were to create commercial aircraft with Germany, Great Britain and Spain. Where as, within the consortium France play the role of assembling. The logic behind this was to give a growth to international travelling. As, the need and demand for the international travelling increases in that era, the airbus industry play an important role in Airline sector3. The industry employee more than 57,000 people and are working in sixteen regions. The Airbus Industry has its subsidiaries in United States, China and Japan due to the reason that these countries are ranked top in the most advance technological growth. The Airbus was named by the airline industry due to its specific size and range. Airbus includes different types of Jets and planes namely as Aerospatiale, Deutsche airbus, Hawker Siddeley and Fokker. Within the airbus industry, Aerospatiale and Deutsche took 36.5% of share according to production; Hawker took 20% and Fokker as 7%. During the year 1971 in October the Spanish company CASA acquired 4.2% of the share of Airbus Industry. Than later in the years different changes took place including the British acquisition of British Aerospace and acquired 20% of the share. This impacted on the share of shareholders which reduces to 37.9%. Initially the growth of consortium was poor by 1979 much of the improvements take place and among them was the services of 81 aircrafts or airbuses. It was 1981, when the launch of A320 ...Show more

Summary

The aim of this white paper is to detail the changes that have been taking place in the airline industry and focusing those factors that directly impacting on the firm to restructure their firms across their border lines. The paper in its initial stage provide a description on the airline industry, its origin and then focusing more on the airbus industry as this industry is capturing more than 50% of the market share at global level in the airline sector…
Author : terrybeau
GLOBAL BUSINESS CONTEXT essay example
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