Airlines and Turbulence in the Sky - Essay Example

This problem, however, while not costing customers, is costing the industry millions of dollars. Also costing many of the airlines money are other, cheaper airlines. There are some airlines that offer such low rates that they are consistently attracting business and many airlines cannot compete. Along these lines, the fourth problem is major financial loss in the area of billions of dollars. Adding to this woe is the fact that, with unions involved, the cost of labor and employees is not cheap.

Another problem is that having “major” and “minor” airports is no longer efficient or cost-effective. Fixing this problem either means money issues will arrive or that there will be a question of quality of service. Lastly, there have been unforeseen circumstances that have caused the industry to many problems. Illnesses like SARS, the war in Iraq, and other things over which the industry has no control have all negatively impacted the airline industry. The airline industry needs to conduct a self-assessment and fix what it does have control over.

If the industry cannot renovate itself, the industry as we know it may disappear. Only a few airlines may survive.