Questions -

1. Industry overview in Canada. You are required to provide an overview of the airline industry in Canada, including key statistics that profile the industry's importance to the economy. Key statistics should include, the industry's size, number, and types of firms operating in the industry, number of employees, the volume of traffic or goods moved, etc. How and where this industry operates globally must be explained. You should provide all relevant information beyond these basic requirements with a focus on airlines as carriers of goods for full marks.

2. Types and Number of Carriers. This section should include an explanation of the different carrier types and the strengths and weaknesses of each type of carrier.

3. Market Structure and Competition in the Canadian Airline Industry. This section should provide details on the type of products, commodities, and/or goods typically moved by various airline carriers. The nature and intensity of competition in this industry should also be discussed.

4. Operating and Service Characteristics of the Airline Industry: This section should include general service advantages as they pertain to the typical airline customer, the variety of equipment and technology used as part of the transportation process, the types of planes used by the airline cargo industry as well as the use, function, and value of terminals. The impact and importance of fuel management must also be considered.

5. Cost Structure: You should use all their previous learning regarding the cost structure of the airline industry including fixed versus variable cost components, cost of labor and fuel, how this industry can achieve economies of scale, density and scope, the application of rates and tariffs in the industry and if and how they affect the pricing in the provision of service to customers.

6. Current Issues in the Industry: You should profile the issues that are common as well as unique to the airline industry. An effort should be made to discuss how the industry is coping with and/or managing these issues to remain competitive in their industry and other transportation modes.

Transcribed Image Text:

Air transportation in Canada consists of a variety of local, regional, national and international airlines which transport passengers and cargo to destinations both domestically and around the world. (Statistica, 2018). Since the early 1900's Canada has been involved in the development of a vibrant airline industry. In the early days the industry was focused on improving air flight in conjunction with using airplanes as weapon of war, carrying mail and eventually personal travel to areas not serviced by rail. The industry gradually moved into commercial aviation with the expansion of domestic and international passenger travel as well as global trade in goods. Initially the industry was highly regulated by the government, for reasons of safety and the protection of the domestic market. Virtually every nation has developed a "national" airline as a matter of prestige and control of its airspace. Over time, strict domestic regulation and protection has given way to a measure of deregulation and competition to facilitate the growth in both passenger and commercial traffic. Governments still retain control over their airspace by international convention and global air transportation is administered by the International Civil Aviation Organization (ICAO). However, international carriers, for both passenger and cargo traffic, are permitted to operate globally where agreements have been struck with respective country regulators. At present domestic and international markets are served by Air Canada, several its subsidiaries, a variety of regional airlines and tour operators. Cargo carriers in this industry are highly specialized which includes Air Canada along with several courier and cargo specific carriers. It is this segment of the industry that is of primary importance to companies managing their logistics and supply chains. Air transportation in Canada consists of a variety of local, regional, national and international airlines which transport passengers and cargo to destinations both domestically and around the world. (Statistica, 2018). Since the early 1900's Canada has been involved in the development of a vibrant airline industry. In the early days the industry was focused on improving air flight in conjunction with using airplanes as weapon of war, carrying mail and eventually personal travel to areas not serviced by rail. The industry gradually moved into commercial aviation with the expansion of domestic and international passenger travel as well as global trade in goods. Initially the industry was highly regulated by the government, for reasons of safety and the protection of the domestic market. Virtually every nation has developed a "national" airline as a matter of prestige and control of its airspace. Over time, strict domestic regulation and protection has given way to a measure of deregulation and competition to facilitate the growth in both passenger and commercial traffic. Governments still retain control over their airspace by international convention and global air transportation is administered by the International Civil Aviation Organization (ICAO). However, international carriers, for both passenger and cargo traffic, are permitted to operate globally where agreements have been struck with respective country regulators. At present domestic and international markets are served by Air Canada, several its subsidiaries, a variety of regional airlines and tour operators. Cargo carriers in this industry are highly specialized which includes Air Canada along with several courier and cargo specific carriers. It is this segment of the industry that is of primary importance to companies managing their logistics and supply chains.

Answer rating: 100% (QA)

1 Canadas airline industry is a major contributor to the countrys economy billions of dollars are generated in revenue and thousands of people employement The industry also contributes significantly t... View the full answer