Question: How do you apply the Institutional based theory perspectives that supported the success of this case? As a part of the United Arab Emirates, Dubai

 How do you apply the Institutional based theory perspectives that supported

How do you apply the Institutional based theory perspectives that supported the success of this case?


As a part of the United Arab Emirates, Dubai has emerged. With these capable jets, any two cities in the world can be as the undisputed financial, business, and shopping center linked with just one stop via Dubai. Emirates thus has been in the Middle East. Dubai International Airport (DXB) not directly challenging traditional long-haul carriers such as only positions itself as the aviation center of the region. British Ainways (BA) and Lufthansa. Emirates has launched but also aspires to become the aviation center of the services connecting Dubai with secondary (but still very. world. Geographically. Dubai is indeed the center of the sizablel oties; such as Manchester, Hamburg, and Kolkata. world known as the natural "pinch point" by experts. It is These oties are neglected by BA, Lufthansa, and Air india, the ideal stopping point for air traffic between Europe and respectively, which focus on their own hubs. Passengers Asia and between Africa and Asia. Two billion people live fying. for example, from Hamburg to Sydney may not. within four hours of flying time from Dubai, and four care whether they change planes at Frarkturt or Duba, billion can be reached within seven hours. Connecting especialy when Emirates flies newer and quieter planes, 220 destinations across six continents with 130 airlines, offers cheaper tickets, and provides nicer amenities at DXB. DXB already handies approximately over 40 million Starting in 1950, DXB has been experiencing an passengers a year. New expansion will allow DXB to astonishing annual growth rate of 15\%. Today it is serve 60 milfion passengers a year in the near future. already the world's third-busiest international passenger Since Dubair's own population is fewer than 4 million arport (after London Heathrow and Hong Kong) and the (most are expatriates), the majority of the passengers are seventh-busiest cargo airport. Yet it will be replaced by an connecting passengers who are not from or going to even larger airport, Dubai World Central-Al Maktoum Dubai. DXB's expansion will have to rely on customers International (DWC), which partially opened in 2010 from the rest of the world. Will they come? DXB's hometown camer, Emirates Airlines, is betting completed, the new DWC will be the largest airport in that connecting passengers wil come. Launched in 1985, the world, with five paralel runways and an annual Emirates is known as a "super-connecting" airline because passenger capacity of 160 million (I). the majonty of its customers are connecting passengers. One of the world's most powerful carriers, Emirates has Sources Based on (1) Aviation News, 2011. Dubai Interan all wide-body fleet of 138 planies and 140 more on mational Airport, December 34-39: (2) Btoumberg Busines5. firm order (induding 50 Airbus A3805). From Dubai, weck, 2010, Emirates wins with big planes and low costs, July Emirates flies to over 100 cities in over 60 countries. 51819, (3) Economit, 2010, Rulers of the new silk road. Emirates is the largest customer of the ultra-long-range June 57577 : (4) Eovomist, 2010, Super-duper-connectors Boeing 777 and one of the largest users of the A380 from the Gull, lane 521. Beyond geographic advantages, location-specific advantages also arise from the clusagglomeration tering of economic activities in certain locations, usually referred to as agglomeration. Clusteing economic The basic idea dates back at least to Alfred Marshall, a British economist who first activite in certain published it in 1890. Essentially, location-specific advantages stem from (1) knowledge locetiors. spillovers among doscly located firms that attempt to hire individuals from competitors. (2) industry demand that creates a skilled labor force whose members may work for different firms without having to move out of the region, and (3) industry demand that facilitates a pool of specialized suppliers and buyers to ako locate in the region. 10 For

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