Global Competitive Position and Corporate Social Responsibility of American Airlines - Research Paper Example

The paper “Global Competitive Position and Corporate Social Responsibility of American Airlines ” is a comprehensive example of a marketing research paper. American Airlines is one of the major companies in the airline industry of the US with headquarters in Texas. Apart from its domestic network within the United States, a widespread international network of the company integrates 344 destinations, throughout three continents. American Airlines has been able to establish such a widespread network through acquiring 964 mainline fleet sizes.

As per the reports of 2014, the company has been able to manage revenue of US$ 42.7 billion through the contribution of 94000 employees from the various departments of the company. In fact, in 2012 American Airlines has received $10,011,836 federal subsidies on the ground of providing essential air services to the US as well as an international citizens (American Airlines, 2015a).Sound operations and management efficiency have also facilitated the company to retain its competitive position in the US airline industry for since long.

American Airlines has also involved into a series of merger and acquisition since inception in order to evolve as the strongest airlines company in US overtime and to pose tough competition to all other airline companies available in the industry segment (American Airlines, 2015b). Moreover, the effort of the company towards its corporate social responsibilities has aided the brand to gain consumer attention which in turn has given the profitability of the company a big boost. Figure 1: Key Financial Ratios(Yahoo Finance, 2014)1.2. Rationale behind Choosing this Company The airline industry is one of the prominent industries in the United States, contributing 8% of the total revenue of the economy.

It has been noticed that the annual growth air travel industry is approximate twice the annual growth of US GDP (Sumer and Bayraktar, 2012). However, due to the aftermath of the recession and various internal problems, the industry was experiencing short-term troubles in the last decade (Onkvisit and Shaw, 2004).