Saturday, June 29, 2013

Chapter 10: Studying Mergers and Acquisitons

Differences between acquisitions and mergers: the book define acquisitions as an strategy by which one firm acquired another through stock purchase or exchange, and merger are define as the consolidation or combination of two or more firms. Delta's merger with Northwest was announced in April 2008 and closed in October of that year after receiving regulatory and shareholder approval. And yet it still took 14 more months for the airlines to fly as a single carrier, in January 2010. Delta scored a major point by getting its pilot unions to agree to a common contract by the time the merger closed. Many analysts said this gave the airline a critical advantage by getting a crucial labor group on board from the start. But that did not put an end to Delta's labor issues. Flight attendant representatives accused the airline of using intimidation tactics after they lost a bid to unionize the carrier's work force in November. The matter is under review by the National Mediation Board, which could call a new election. Meanwhile, flight attendant from Delta and Northwest continue to work under separate contracts, each with their own work rules, and they can't not be scheduled to fly on the same airplanes. Delta Air Lines has completed tis $2.8 billion deal to acquire Northwest Airlines, creating the world's biggest carrier. The new Delta will be headquartered in Atlanta, and Delta chief Richard Anderson will head the combined carrier, which will integrate over the next 18 months.

http://www.nbcnews.com/id/27440244/#.Uc9mTu2LHdk

http://www.nytimes.com/2011/05/19/business/19air.html?pagewanted=all








Chapter 9: Understanding Alliances and Cooperative Strategies

A new strategic alliance between Delta Air lines and Virgin Atlantic: 

What is Delta alliance about?
There are two main aspects to this alliance.
Firstly: Delta has made an offer to purchase Singapore Airlines 49% shareholding in Virgin Atlantic Ltd.
Secondly: Delta and Virgin Atlantic are creating a trans-Atlantic joint venture on flights between the United States, Canada and Mexico and the United Kingdom. The partnership will provide additional revenue opportunities, enhanced customer benefits and opportunities for employees. The joint venture will see both airlines sharing the costs and revenues from all flights regardless of which carrier operates the service. Implementation of the full joint venture will require approval from the US Department of Transportation

When will this alliance happen?
the shareholding deal between Singapore Airlines and Delta takes effect once approval has been granted by the US department of justice and the European Commission and other relevant authorities. the joint venture takes effect following approval by the US Dot. We have every confidence that they will be as convinced of the consumer benefits as we are, and approve the deal in an expedited timescale, expected by the end of 2013. Prior to the joint Venture entering into effect, the airlines will enter into a codeshare agreement and link frequent flyer program.

http://www.virgin-atlantic.com/us/en/travel-information/customer-service/latest-news/strategic-alliance-with-delta-airlines.html



Saturday, June 22, 2013

Chapter 8: Looking at International Strategies

The book defined international strategy as the process by which a firm approaches its cross-border activities and those of competitors and plans to approach them in the future. A little over a year ago, Atlanta-based Delta Airlines was on an international growth streak started in 2005, rapidly expanding with more flights to Africa, Europe and elsewhere around the world. Executives had their eyes on an even bigger prize. their merger with Northwest Airlines, whose expansive Asia network, including a Tokyo hub would fill in an area where Delta was lacking. Delta looked forward to being the No. 1 carrier to Asia and touting itself as a truly global airline.


Chapter 7: Developing Corporate Strategy

Diversification: Delta operates an extensive domestic and international network, spanning North America, South America, Europe, Asia, Africa, the Middle East, the Caribbean and Australia. Delta and its subsidiary Delta connection operate over 4,000 flights every day. Delta and the Delta Connection carriers fly to 348 destinations in 64 countries.

"Critical Analysis of Delta Airline" StudyMode.com. 11 2012. 11 2012 <http://www.studymode.com/essays/Critical-Analysis-Of-Delta-Airline-1239178.html>.



Industry Competitors Of Delta Airlines


Chapter 6: Crafting Business Strategy for Dynamic Contexts

Technology: The technology used by Delta Airlines has helped it establish the brand as an industry leader in some aspects, including Delta airlines becoming a founding partner in Orbitz. This allowed Delta to share information more readily with the public as well as work with hotels, car rental companies and full-on vacation packages to initiate flights to destinations. the technology Delta has used throughout the years has added perceived benefit in that customers could now use the airport kiosks to help expedite the ticketing process. Also within the planes, the Apple Ipod docking feature will enable users to readily access their stored movies and music, giving them more options on what to do during the duration of the flight.
Generic Strategy Differentiation: The extensive flight service and brand legacy of Delta Airlines is recognized throughout the airline industry as unique.

http://www.academicmind.com/unpublishedpapers/business/management/2008-06-000aao-delta-an-anyalytical-view.html

Chapter 5: Creating Business Strategies

The book defined strategic positioning as the way managers situate a firm relative to its rivals. Delta Airlines has successfully emerged form its bankruptcy in 2005 to report successful returns in both 2007 and 2008. With its 2008 acquisition of Northwest Airlines Delta became the world's largest airline, further improving its position in the airline industry. Delta mainline is a legacy airline and competes utilizing its low price and productivity. DeltaExpress tries to build on Delta's leading position. DeltaExpress is an integral part of Delta and centrally managed in terms of pricing, flight frequency and routing and a the resources are shared. It benefits from the high levels of productivity amongst flight attendants and ground crew.

"Delta Airlines" StudyMode.com. 04 2011. 04 2011 <http://www.studymode.com/essays/Delta-Airlines-657448.html>.

"Delta Airlines" StudyMode.com. 03 2010. 03 2010 <http://www.studymode.com/essays/Delta-Airlines-297904.html>.




Sunday, June 16, 2013

Chapter 4: Exploring the External Environment: Macro and Industry Dynamics

The PESTEL Analysis of Delta Analysis: Delta Air lines serves more than 160 million customers each year. During the past year, Delta won 33 airline industry awards sweeping the major corporate travel surveys including business travel news, travel weekly, travel age west, recommend magazine and the beat. Delta was also a recipient of the secretary of Defense freedom award for exceptional support of national guard and reserve employees. with an industry leading global network, Delta and the Delta Connection carriers offer service to nearly 318 destinations in 59 countries on six continents. Headquartered in Atlanta, Delta employs 80,000 employees worldwide and operates in the fleet of more 700 aircraft. A found member of the skyTeam global alliance, Delta participates in the industry's leading trans-Atlantic joint venture with Air France-KLM and Alitalia. Including its worldwide alliance partners, Delta offers customers more than 13,000 daily flights, with hubs in Amsterdam, Atlanta, Cincinnati, Detroit, memphis, Minneapolis-St. Paul, New York-Laguadia, New York-JFK, Paris-Charles de Gualle, Salt Lake City and Tokyo-Narita. The airline's service includes the SkyMiles frequent flier program, a world- class airline loyalty program, the award-winning BusinessElite service, and more than 50 Delta Sky Clubs in airports worldwide. Delta is investing more than $3 billion through 2013 in airport facilities and global products, services and technology to enhance the customer experience in the air and on the ground. Customers can check in for flights, print boarding passes, check bags and review flight status at Delta.com.

http://news.delta.com/index.php?s=18&cat=47



Chapter three: Examining the Internal Environment: Resources, Capabilities, and Activities

Delta Airlines capabilities is based on extending its reach for customers through partnerships such as its trans-Atlantic joint venture with Air France-KLM and Alitalia, equity based partnerships with virgin Atlantic Airways and leading Latin American airlines GOL and Aeromexico, and preferred codeshare agreements with China Southern and China Eastern airlines, as well as the Alaska Airlines Group along the U.S. Coast. In 2013 and 2011, Delta topped fortune's most admired airlines list, a worldwide ranking based on people management, quality of management, innovation, long-term investment, social responsibility, quality of product and services and global competitiveness.

 http://news.delta.com/index.php?s=18&item=84

Chapter two: Leading Strategically Through Effective Vision and Mission

Chapter two define strategic leadership as a task of managing an overall enterprise superiority, innovation, strategic change, and survival. Delta Airlines CEO is Richard H. Anderson. Through the vision of Richard's leadership team, Delta is a values-based company that is strategically and creatively reengineering the airline business model. The airline has reinvigorated a culture known for high employee engagement and gracious customer service. under Richard's leadership, the airline is reducing debt, strengthening revenues and thinking differently about cost control to build a flexible, stable and more durable business

http://news.delta.com/index.php?s=18&item=84

Saturday, June 8, 2013

Delta Airlines: The Number One Airline


Chapter One: Delta Airlines Strategic Management

Hello my name is Houssianatu Jalloh, and in my blog I will be talking about Delta Airline. As we know Delta Airline is the number one airline around the glob. In chapter one they define business strategy as ways a firm goes about achieving its objectives within a particular industry. In 2008 Delta airline merged with Northwest airline to become one of the biggest airline in the world. One of Delta Airline objectives is to make sure that passengers have safe and pleasant flight.