1st Edition

Airline Survival Kit Breaking Out of the Zero Profit Game

By Nawal K. Taneja Copyright 2003

    This book has clear aims: to address both the multi-faceted challenge - that the industry has never made any sustainable profits, and some possible opportunities for its different constituents (e.g. management, labor, and governments) to enable airlines to break out of the almost zero profit-margin game. It provides pragmatic insights into: the complexities of the airline business; the actual and perceived obstacles to achieving reasonable profit margin; past and present (successful and unsuccessful) strategies; plausible future prospects for global passenger growth; and alternative airline business models - particularly the type of models that have led to enduring success for a few. The audience includes airline senior executives, members of the board, major shareholders, government policy makers, labor leadership, the airline investment community, aircraft manufacturers.

    Contents: Foreword, Masashi Izumi, All Nippon Airlines; Foreword, Pete McGlade, Southwest Airlines; Foreword, Scott Nason, American Airlines; Foreword, Carsten Spohr, Lufthansa German Airlines. The heavy burden of excess complexity; Hard-won lessons: the continuum from success to failure; The shakeout continues; Healthy outcomes: seizing opportunities; Survival strategies and execution in an uncertain world; A whirlwind tour of some radical scenarios; Index; About the author.


    Dr Nawal K. Taneja is currently working in the Department of Aerospace Engineering and Aviation at Ohio State University, USA.

    'A thought-provoking book... well-delineated issues... timely and thoroughly researched in conjunction with practitioners... suggests an array of practical solutions ... a useful guide for airline executives who are trying to understand and deal with a changing and confusing marketplace...' Bill Brunger, Vice President, Distribution Planning and Revenue Decision Support, Continental Airlines ’This is certainly a thought-provoking book. It is also timely, given the crises that the airlines are currently facing...raises several key questions that need to be addresses.’ Aviation Strategy ' ... discussions made in this book will give readers clues to help them find their own better solutions.' Masashi Izumi, Vice President, Corporate Planning, All Nippon Airways '... everyone who reads Airline Survival Kit will get some ideas that will spark deeper thought.' Carsten Spohr, Vice President, Alliances, Lufthansa German Airlines '... This book doesn't have all the answers. How could it? But it does a very good job of identifying the problems, their causes and symptoms, and helping us to think about them in ways that should enable each of us to address them at our own airlines.' Scott Nason, Vice President, Revenue Management, American Airlines '... well-written and cogent guide...lays out the elements of this debate in such an accessible fashion that it allows the reader to reach well-considered judgments about deeply complicated matters.' Pete McGlade, Vice President, Schedule Planning, Southwest Airlines 'This is a valuable and stimulating guide to the structural problems of the airline industry, and how they might be tackled. It contains useful advice for all concerned with the future health of the industry - airline managers, investors, regulators and policy-makers.' Dr Andrew Sentance, Chief Economist, British Airways plc '"Airline Survival Kit" provides an insight into the complex nature of airline industry. With an in-depth analysis of different st