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What Are Some Current Issues Facing the Airline Industry?

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What are some current issues facing the airline industry?

Wow, what isn't affecting the airline industry from 911 to the shoe bomber and numerous issues relating to what can and can't get aboard a plane. The high cost of fuel the economy, and a host of other issues. Even the weight of customers boarding the airplane is an issue now requiring a customer to purchase two tickets.

Provide a link to a recent news article and explain how global logistics costs and service will be impacted by the issue.

As the U.S. economy sputters so does the other countries all over the world. Since the world's economy is dependent on each other, every major problem or conflict that arises affects other countries as well. "Southeast Asian countries attract transportation and logistics investment; McDonald's UK debuts Quality Scouts program in wake of horsemeat scandal; Amazon's German workers strike over pay; Mexico has beef with U.S. country of origin labeling rules; Australia to review regulatory structures to ensure greater trade efficiency and economic competitiveness; India partners with University of Southern California for supply chain program." (June 2013 )

How can air freight transport be used with motor carriers and rail?

It is already used extensively. I believe UPS and Fed-Ex are good representation of these in our industry today. The U.S. postal service implements this as well with the movement of the countries mail. Air freight is essential to crucial delivery of goods and services that are required to be shipped all over the world. Numerous companies can use the rail system and the motor carrier system to save some much needed cost while shipping across long distances. The shipment is shipped to another state, it is loaded on a trailer and then it is picked up by a Semi and delivered to its final destination.

What is the impact of this transport structure on total freight movement costs and speed?

The impact of this system depends on the economy. The cost of fuel at this current moment determines everything. The oil industry is having a field day fuel is one of the major costs affecting the shipment of freight today. Whether it is on land, sea, or air all these modes of transportation require fuel. Speed is not a factor we can ship products almost all over the world in two to three days in some cases even overnight is possible. (2011Transportation: A Supply Chain Perspective, Seventh edition John J. Coyle, Robert A. Novack, Brian J.Gibson and Edward J. Bardi)

In what ways does the government regulate air transportation? In many ways the government regulates the air industry.



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