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An airline provides air transport services for passengers or cargo, usually with a recognised certificate, or operating license. Airlines lease or her own aircraft, with which these services can be delivered in partnerships or alliances with other airlines for mutual benefit. Airlines are people with a single e-mail with the aircraft or cargo through full-service international airlines many hundreds of aircraft. Airline services can be seen as intercontinental, intracontinental, or home and can be operated as scheduled or charter. Tony Jannus, the United States' first commercial flight scheduled on 1 January 1914 for the St. Petersburg-haul, through mergers and the time involved in the Delta Air Lines, Braniff Airways, American Airlines, United Airlines (originally a division of Boeing), Trans World Airlines, Northwest Airlines and Eastern Air Lines , to name just a few. At the same time, Juan Trippe began a crusade to create an air network that would America in the world, and he achieved this goal through its airline, Pan American World Airways, with a fleet of flying boats that, in conjunction with Los Angeles and Shanghai Boston to London. Pan Am was the only US airline to the international business before the 1940s. KLM, the oldest carrier, under its original name, was founded in 1919. The first flight (on behalf of KLM by the Aircraft Transport and Travel) transported passengers on two English Schiphol, Amsterdam from London in 1920. Like the other major European airlines of the time (see France and the United Kingdom below), KLM early growth depends to a large extent on the needs for service links with far-flung colonial possessions (Dutch East India). It is only after the loss of Empire, that the Dutch KLM found itself based on a small country with only a few potential passengers, depending heavily on the transfer, and was one of the first to the hub system to facilitate easy connections. France began an air-mail service in Morocco in 1919, was purchased in 1927, renamed Aéropostale, and with capital injected into one of the leading international carriers. In 1933, Aéropostale went bankrupt, was nationalized and merged with several other airlines in what was Air France. In Finland, the charter establishing Aero O / Y (now Finnair, one of the oldest still in operation airlines in the world) was in the city of Helsinki on 12 September 1923. Junkers 13 D F-335 was the first aircraft of the company, on the supply of Aero he took on 14 March 1924. The first flight was between Helsinki and Tallinn, the capital of Estonia, and it took place on 20 March 1924, a week later. Lufthansa in Germany began in 1926. Lufthansa, in contrast to most other airlines at the time, was a major investor in airlines outside Europe, the capital of Varig and Avianca. German aircraft built by Junkers, Fokker and Dornier were the most advanced in the world at that time. The highlight of the German air traffic came in the mid-1930s, as Nazi propaganda minister, the start of commercial zeppelin service: the great airships were a symbol of industrial might, but the fact that they are flammable hydrogen gas increases Security concerns, which culminated with the Hindenburg disaster of 1937. The reason why they are with hydrogen instead of the non-flammable helium gas United States was a military embargo on helium. The British company Aircraft Transport and Travel began in London for Paris on 25 th August 1919, it was the world's first regular international flight. The United Kingdom's flag carrier during this period was Imperial Airways, the BOAC (British Overseas Airlines Co.) in 1939. Imperial Airways uses huge Handley-Page biplanes for the routes between London, the Middle East and India: Images of Imperial plane in the middle of the Rub'al Dalip Singh, is maintained by Bedouins, are among the best-known images from the heyday of the British Empire. The first country in Asia to embrace the aviation sector in the Philippines. Philippine Airlines was on 26 In February 1941, making it Asia's oldest still in operation carrier under its current name. The airline was founded by a group of businessmen headed by Andres Soriano, celebrated as one of the Philippines' leading industrialists at the time. The airline first flight took place on 15 March 1941 with a single Beech Model 18 NPC-54 aircraft, its daily service between Manila (from Nielson Field), and Baguio, later expanding with larger aircraft such as the DC - 3 and Vickers Viscount. In particular, Philippine Airlines leased its first Japan Airlines plane, a DC-3 named "Kinsei". On 31 July 1946, a chartered Philippine Airlines DC-4 transports 40 American soldiers Oakland, California Nielson from the airport in Makati City with stops in Guam, Wake Iceland, Johnston Atoll in Honolulu, Hawaii, PAL, the first Asian airline to cross the Pacific Ocean. A regular service between San Francisco and Manila began in December. It was in that year that the airline was, as a carrier of the Philippines flag. Another airline to begin operations early was Air India, which had its beginnings as Tata Airlines in 1932, a division of Tata Sons Ltd (now Tata Group) of India's leading industrialist JRD Tata. On 15 October 1932, JRD Tata himself flew a single-engined De Havilland Puss Moth, air-mail (mail from Imperial Airways) from Karachi to Bombay via Ahmedabad. The aircraft continued Madras Bellary on the pilots of the Royal Air Force pilots Nevill Vincent. After the end of World War II, regular commercial service was restored in India and Tata Airlines, a joint stock company on 29 July 1946 under the name Air India. After the independence of India, 49% of the airline was purchased by the Government of India. In return, the airline status has been granted to international services from India, as the designated flag carrier under the name Air India International. Neighbouring countries are also quickly embraced aviation, in particular Cathay Pacific, founded in 1946, Singapore Airlines and Malaysian Airlines in 1947 (as Malayan Airways), Garuda Indonesia was founded in 1949 and Japan Airlines in the year 1951. With the outbreak of the Second World War, the airline presence in Asia came to a relative standstill, with many new flag carrier donate their aircraft for military assistance and other uses. World War II, like World War I, brought new life for the airline industry. Many airlines in the Allied countries were flush from leasing contracts for the military, and saw a future explosive demand for civil air transport for passengers and freight. They were eager to invest in the new flagships of air travel as the stratosphere Cruiser Boeing, Lockheed Constellation, and Douglas DC-6. Most of these new aircraft were based on the American bombers like the B-29, had the forefront of research into new technologies such as pressurization. Most of increased efficiency offered by both added speed and greater payload. The next big push for the airlines were in the 1970s, when the Boeing 747, McDonnell Douglas DC-10, and Lockheed L-1011 inaugurated widebody aircraft ( "Jumbo Jet"), which is still the standard in international travel . The Tupolev Tu-144 and its Western counterpart, Concorde, the supersonic travel a reality. In 1972, Airbus began production in Europe, the most commercially successful line of aircraft to date. The added value for the efficiency of these aircraft were often not in speed, but in the passenger capacity, payload and range. As the economy back to normalcy, major airlines dominate their routes through aggressive pricing and additional capacity offers, which are often overloaded new startups. Only America West Airlines (since the merger with US Airways) remains an important survivor from the era of new entrants, as dozens, even hundreds, have at. In many ways, the biggest winner in the deregulated environment was the passenger. Indeed, the US witnessed an explosive-growing demand for air travel, how many millions who have never or rarely been flown before regular fliers, including the accession of the frequent flyer programs and loyalty, free flights and other benefits from their flying . New services and higher frequencies means that business fliers could fly to another city to do business, and return the same day, for the almost anywhere in the country. Air travel benefits brought intercity bus lines under pressure, and most of them collapsed. So in the last 50 years, the airline industry from varied quite profitable, devastating depressed. As the first major market to deregulate the industry in 1978, US airlines have more turbulence than almost any other country or region. Today, almost every single legacy carrier with the exception of American Airlines, under the provisions of Chapter 11 bankruptcy, or gone out of business. Many countries have national airlines that the government owns and operates. Full private airlines in a lot of government regulation for the economic, political and security concerns. For example, the government often uses to stop airline labor actions to protect the free movement of people, communications and goods traffic between the various regions, without compromising security. The United States, Australia and to a lesser extent, Brazil, Mexico, Great Britain and Japan have "deregulated" their airlines. In the past, these governments dictated airfares, route networks and other operational requirements for the various airlines. Since deregulation, airlines have largely been free to negotiate their own operating costs agreements with various airports, entering and leaving tracks easily, and to collect and airfares flights according to market demand. The entry barriers for new airlines are lower in a deregulated market, and so has seen the US-hundreds of airlines start (sometimes only for a short period of time operating system). This is far more than before the deregulation of competition in most markets, and the average prices tend to fall 20% or more. The added competition, along with the pricing freedom, it means that new entrants often share of the market with reduced rates, to a certain degree, full-service airlines have to match. This is a major obstacle to profitability for the established aviation companies, which usually have a higher cost. Groups such as the International Civil Aviation Organization establish worldwide standards for safety and other important issues. Most international air transport is governed by bilateral agreements between countries, certain media on the operation of certain routes. The model of such an agreement was the Bermuda agreement between the United States and Britain after the Second World War, the specific airports, in transatlantic flights, and every government has the authority to nominate air carriers to operate routes. Bilateral agreements are based on the "freedoms of the air", a set of generalized traffic rights of the freedom to fly over a country of freedom to provide domestic flights within a country (very rarely granted right known as cabotage). Most agreements allow airlines to fly from their home country to certain airports in other countries: in some cases, the freedom to provide continuous service in a third country, or to another destination in the other country, while the passengers from overseas. In the 1990s, "open-skies" agreement was frequent. These agreements take many of these regulatory powers of state governments and international routes open to competition. Open Skies agreements have met some criticism, particularly within the European Union, whose airlines would be at a comparative disadvantage with the United States "because of cabotage restrictions. One argument is that positive externalities, such as higher growth through global mobility , which outweighed the microeconomic losses and continued to justify government intervention. a historically high level of state intervention in the airline industry can be seen as part of a broader political consensus on the strategic forms of transport, such as highways and railways, both from the public funding in most parts of the world. profitability improvement is likely in the future as privatization continues to be competitive, and more low-cost carriers proliferate. due to the complications in scheduling flights and the maintenance of profitability, the airlines have many loopholes that can be used by the experienced traveler. airfare Many of these secrets more and more known to the general public, the airlines forced to constantly adjustments. most airlines use differentiated pricing, a form of price discrimination to services sell air simultaneously different prices for different segments. influence factors on the price, the remaining days until the departure, the booked load factor, the forecast of total demand for price, competitive prices in force, and variations from day of the week and the departure of the time of day. Carriers often achieve this by dividing each cabin of the aircraft (First, Business and Economy) in a series of travel classes for pricing. complicated One factor is that the origin-destination (O & D control ") . Someone buying a ticket from Melbourne to Sydney (as an example) for 200 Dollars (AUD) competes with someone who wants to fly to Los Angeles Melbourne through Sydney on the same flight, and who is willing to pay 1400 dollars (AUD). If the airline prefer the $ 1400 200-1300? Airlines have to hundreds of thousands of daily decisions similar pricing policy. The introduction of modern computerized reservations systems in the late 1970s, especially Sabre, airlines allowed to easily carry out cost-benefit analyses of different pricing structures, which almost perfect price discrimination in certain cases (that is, filling every seat in an aircraft at the highest price may be required, without the consumers elsewhere). Price discrimination is an anti-business practice and is defined as price discrimination definition: different prices for identical products. Technically, is the sum of the specific activities of the other airline, without violating laws. The archaic airlines with hub systems and unprofitable pricing structures, have legally defines this term as an attack on the company, even if this law is not outside the law. The low-cost carriers (LCC) are new to the scene and does not have the resources to contact or outlaw this definition of a purely legal business practice (in which they are to participate) as monopolistic practices which have the above-mentioned archaic tariff structure . The national airlines still to be defined as the discrimination is a harmful and detrimental intenionally wanted to act on their business with a competitor. Laws for the protection of the business can be applied, or those who have the greatest impact in May insinuate, without proof that they are unfairly treated, and thus their legal status as the defendant to limit manuevaribility LCC's in the market. One example is that it taxes demand from the US government for certain airports, for the nation or exemption receive grant for either a) seniority / grandfathering treatment, or b) the legal position as a financially on the edge (ie bankruptcy) . The intensive nature of the airline ticket pricing has led to the term "rate war" to describe efforts by airlines to undercut other airlines at competitive routes. Through computers, new airfares can be published quickly and efficiently to the airlines distribution channels. To this end, the use of airlines Airline Tariff Publishing Company (ATPCO), the latest tariffs distribute more than 500 airlines in the computer reservation system in the world. Full-service airlines have a high level of fixed and operating costs, to the creation and maintenance of the air: labor, fuel, aircraft, engines, spare parts and components, IT services and networks, airports, airport handling services, sales, catering - -, training, aviation insurance and other costs. Therefore, all but a small percentage of revenue from ticket sales is paid out to a variety of internal or external providers cost centers. The industry is structured so that the airlines often than Zöllner. Airline untaxed fuel is however due to a series of existing treaties between the countries. Ticket prices include a number of fees, taxes and surcharges they have little or no control over, and these are passed through to different providers. Airlines are also responsible for the enforcement of state regulation. If the airlines carry passengers without proper documentation on an international flight, they are responsible for the repatriation of them back to their country of origin. In contrast, Southwest Airlines was the most profitable companies in the airline since 1970. Indeed, some sources have calculated Southwest, the best performing stock over the period, outperforming Microsoft and many other high-performance companies. The chief reasons are that their product consistency and cost control. The widespread entrance of a new generation of low-cost airlines from the turn of the century, the requirement that full-service carrier costs. Many of these low-cost companies emulate Southwest Airlines in a variety of ways, and how Southwest, they are able to eke out a consistent profit in all phases of the economic cycle. Consequently, a shakeout of airlines, in the United States and elsewhere. United Airlines, US Airways (twice), Delta Air Lines and Northwest Airlines have declared bankruptcy, Chapter 11, and the American has hardly avoided. Alitalia, Scandinavian Airlines System, Sabena, Swissair, Japan Air System, Viasa, Air Canada, Ansett Australia, and others have flirted with or bankruptcy since 1995, as a low-cost provider in their home markets as well. Some argue that it would be far better for the industry as a whole, when a wave of closures were actually to reduce the number of "undead" competing airlines with healthy airlines simultaneously artificially protected from creditors on insolvency law. On the other side, some have pointed out that the reduction in capacity would be short-lived, since there would be large amounts of relatively new aircraft, would like to get rid of bankruptcies and would return to the market, either as increased for the fleets of survivors or the basis for the new airplanes cheap startups. Airline funding is fairly complicated, because the airlines are highly leveraged operations. Not only must they buy (or lease) and new airliner engines regularly that they have great long-term fleet decisions with the aim of meeting the needs of their markets while a fleet of production, which is relatively inexpensive to operate and maintain. Southwest Airlines compare and their dependence on a single type of aircraft (the Boeing 737 and derivatives), with the now lapsed Eastern Air Lines operated, the 17 different types of aircraft, each with different pilot, engine, maintenance and support needs . A second problem is that financial security of oil and fuel consumption purchases, which usually only seconds to complete its work in the relative costs for the companies. But with the current high gasoline prices, the biggest cost for an airline. While hedging instruments can be expensive, they can pay for itself many times over in times of rising fuel costs, as in the period 2000-2005. Given the apparent congestion at many international airports, the ownership of slots at certain airports (the right to land an airplane or off at a certain time of the day or night-time) has become a major tradable asset for many airlines. Obviously starting slots at popular times of the day can be critical in the production of more profitable business travelers to a specific airline flights and the creation of competitive advantage compared to a competing airline. If a certain city has two or more airports, market forces usually in the less profitable routes, or those on which the competition is weakest, to the less congested airport, where slots are likely to be more available and therefore cheaper. Other factors, such as land and maritime transport and onward transport links, will also affect the relative attractiveness of different airports and some long-distance must operate with the longest runway. Code-sharing is the most common type of airline partnership, and it includes an airline sells tickets for the flights of another airline, according to its own airline code. An early example was Japan Airlines' code-sharing partnership with Aeroflot in the 1960s on flights from Tokyo to Moscow: Aeroflot flights operated by Aeroflot aircraft, but JAL sold tickets for the flights as if they were JAL flights. This practice allows airlines to expand their operations, at least on paper, in parts of the world where they can not afford to bases or aircraft purchase. Another example was the Austro-Sabena partnership at the Vienna-Brussels-New York JFK route in the late 60's, with a Boeing 707 with Austrian Sabena colors. since airline reservation inquiries are often used by city-pair (such as "Show me flights from Dusseldorf to Chicago"), an airline, the code is in a position with another airline shares for a variety of routes should be in a position to actually offer as a Dusseldorf-Chicago flight. passenger is advisable, however, that the airline operates 1 say that the flight from Chicago to Amsterdam, 2 and the continuing airline operates flights (on another plane, sometimes from another terminal), to Düsseldorf. ensure that the primary motivation for the code-share is the expansion of its own service offerings in the city-pair conditions, increase sales. often combine the Enterprise IT operating, fuel purchase, purchase or aircraft as a block to higher bargaining power. However, the alliances were in the most successful shopping invisible supplies and services, such as fuel. Airlines usually prefer to buy visible to their passengers to distinguish itself from local competitors. If an airline, the main domestic rival Boeing airplanes flying, then the airline prefer Airbus aircraft to be used, regardless of what the rest of the alliance chooses. Everybody operator of a scheduled or charter flight airline uses a call sign when communicating with airports and air traffic control centers . Most of these call signs are from the airline trade names, but for reasons of history, marketing, or the need to reduce ambiguity in English is spoken (so that the pilots do not mistake the navigation decisions on the basis of instructions, to another plane) Some airlines and air forces to use call signs less obvious in connection with their trade names. For example, British Airways Speedbird uses a call-sign, named after the logo of its predecessor BOAC, while America West uses Cactus Corporate reflect that, in an apartment in the State of Arizona and are different from many other airlines with America and the West in their call signs. industry is cyclical. four or five years of poor performance before five or six years, the performance improved. But profitability in the good years is usually low in the order of 2-3% net profit after interest and taxes. times the profit, airlines lease new generations of aircraft and upgrade services in response to increased demand. since 1980 has The industry has not earned back the cost of capital in the best of times. Conversely, in bad times losses can dramatically deteriorated.