Airlines

Icon A5 airplane mid flight
Icon Aircraft's A5 airplane is billed as “the perfect balance of design and performance”: an easy-to-fly, highly maneuverable plane that its creators hope will revolutionize the aviation industry. The Los Angeles-based company was founded in 2006 by Kirk Hawkins, a former U.S. Air Force F-16 pilot...
Flight delays have been a growing issue and they have reached an all-time high in recent years, with the airlines’ on-time performance at its worst level in 2007 since 1995. A recent report by the Joint Economic Committee of the U.S. Congress has estimated that the total cost to the U.S. economy...
STANFORD GRADUATE SCHOOL OF BUSINESS—Offering incentive pay makes organizations perform better. Driving down product and wage costs is essential for success in low-margin businesses. Holding people accountable results in fewer screw-ups. All fundamental truths of business, right? Wrong, says...
STANFORD GRADUATE SCHOOL OF BUSINESS—Loyalty or reward programs like frequent flyer plans or buy-ten-get-one-free cards have been touted as powerful tools for increasing company profits. But recent research at Stanford Graduate School of Business suggests that in fact such programs have limited...
STANFORD GRADUATE SCHOOL OF BUSINESS - United and Continental Airlines merged last year to form the world's largest carrier, an aviation colossus with $30 billion in revenue that ferries 144 million passengers to 371 cities in 59 countries annually, oversees a fleet of 1,200 aircraft, and employs...
Shingo Kobayashi, Sloan '08; William Shaw, Sloan '08; Rhyan Uy, MBA '08
STANFORD GRADUATE SCHOOL OF BUSINESS —Some of this spring’s Business School graduates are embarking on a nontraditional job search. A four-member team with a dream class project drew up plans to launch a no-frills airline in Colombia. And just to make it really interesting, they intend to promote...
STANFORD GRADUATE SCHOOL OF BUSINESS—Why would anyone want to invest money in the airline industry? As Southwest Airlines chairman and former CEO Herb Kelleher told an amused Stanford audience April 24, "It really is a horrible business! It's capital intensive, labor intensive, fuel intensive,...