Essays on Aviation Decision Case Study

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The paper 'Aviation Decision' is a great example of a Business Case Study. This report discusses a major aviation decision made by Emirates Airlines in recent years. Emirates airlines in the past few years have shown an intention to operate wide-bodied aircraft. Emirates' decision seems to be based on the obvious economies of scale made by flying more passengers on one aircraft. However, the decision to expand its fleet with wide-bodied A380 and Boeing 777s are not based purely on the cost implication of using Superjumbos. Emirates' decision seems to be informed by other factors including the popularity of wide-bodied airliners among passengers.

The stretched capacity of major airport runways is another major factor that has led Emirates to favor wide-bodied aircraft over narrower models. This essay discussed the decision made by Emirates to phase out narrow-body airliners in favor of their wide-bodied Boeing-777s and A380. The report starts by discussing the reason why Emirates had to make the decision to rely on wide-bodied airliners in the future. Secondly, the paper discusses the decision-making methodology that Emirates used to arrive at the decision that is the subject of this report.

Thirdly, the essay discusses some of the factors that could make Emirate's decision to go wide-body fail. Notably, regulations remain a great risk to an airline which will rely on just two models of wide-body aircraft in the future. In the fourth section, the reports discuss the type of biases the Emirates decision-makers are susceptible to while deciding to only operate wide-bodied airliners in the Emirates fleet. Why the Decision had to be made? According to Kamel (2015), Emirates has made the decision to purchases more A380 and Boeing 777R airplanes and cease purchases of the A350.

Emirates' decisions are informed by the fact that the two wide-bodied models carry more passengers than the narrow-bodied models A330 that dominated the airline fleet in the past decade (Kamel, 2015). In January 2005, Emirates announced that it would order 100 A380s if Airbus agreed to upgrade the A380 model. Emirates' preference for the wide-bodied models emerged as the airlines view the bigger models as more profitable. Emirates has been the biggest buyers of the A380 SuperJumbo and has been pressing the Airplane maker to do a major upgrade of the airplane engine (Kamel, 2015).

The advantages of wide-body airlines are obvious. For example, the A380 is the world’ s largest airliner and seats over 580 passengers. According to the Emirates Chief, the wide-body airliners hold enormous potential for an expanding airline like Emirates (Kamel, 2015). Emirates argues that the A380 and the 777s have greater passenger appeal and the potential to maximize profits for airlines by carrying more passengers in one trip. Evidence that Emirates is able to maximize profits is seen by the increasing profitability trends of the Gulf carrier.

In 2015, Emirates announced a 43 percent increase in profits in the background of an industry where major airlines are grounding to a halt. The popularity of the Airbus is shown by the passenger numbers on Emirates' most popular flights. The airline flights to London’ s Heathrow are 90 percent full (Kamel, 2015). This percentage of seat occupancy has not been achieved on other jet types proving the popularity of the A380 among passengers. The Airbus and the 777s have also a low seat-mile cost when compared to narrow-body aircraft.

According to Kamel (2015), Emirate's development of a new engine for the A380 could see the seat-mile cost fall by a further 10 to 13 percent. In May 2015, Airbus announced plans to fly the A380 on Indian routes following the steps of rival Singaporean Airlines who introduced the A380 on the Mumbai route in May. SIA was also the first Airline to fly the A380 on the Singapore/Sydney route, while Qantas soon followed with its own A380 flights on the Sydney route.

Given the popularity of the A380 with passenger, Emirates had no choice but to focus on increasing the number of wide-bodied A380s and 777R in its fleet.


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