Seminar paper from the year 2011 in the subject Business economics
- Business Management, Corporate Governance, grade: 1,3, University
of applied sciences, Munich, course: Strategic Corporate
Management, language: English, abstract: The U.S. regional airline
industry makes most of its money on basis of partnerships with
major U.S. airlines. The whole market is characterised by a strong
competition, a trend for consolidation and financial problems
especially of the major airlines following the terrorist attacks on
09/11/2001. Analyzing the competitive situation the forces of
suppliers, rivalry among competitors and especially buyers
(customers, and contract partners) turn out to be strong. Several
factors will cause change indicating severe impacts on the whole
industry. SkyWest Inc. turns out to be a key player in the U.S.
regional airline industry and is a candidate for further
acquisitions. On the short run the price of growth is an increase
in debt and a decreasing net profit margin due to rising operating
costs. Several recommendations could help SkyWest Inc. to further
extending the Group's leading edge over its competitors.
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