Essays on Changes Occurring in the Airline Industry and How Qantas Is Responding to the Changes Assignment

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The paper "Changes Occurring in the Airline Industry and How Qantas Is Responding to the Changes " is a good example of a business assignment. The airline industry in Australia as well as industries other all over the globe are going through a period of idealistic change. In this sense, basic restructuring is ongoing in the industry, the major changes in the industry are linked to aspects such as the shrinkage of the high-end demand in relation to air travel, surfacing of a new cadre of low-cost carriers and amplified simplicity of substitute airline offering and the existence of less classy itineraries which is mainly due to the internet in combination with other emerging technologies (Quiggin 1997). The instantaneous crumpling of the high-end demand which took place by the end of the year 2000 is seen as a major structural change and it was mainly due to a combination of technology and economics.

Leisure traveler used to select the airlines to travel with based on the price been charged, the business travelers have also joined them and they have become more price sensitive.

The change in price sensitivity of the business traveler is seen as a permanent change that has occurred in the industry. With the change in price sensitivity and the economic downturn which occurred in the latter half of the year 2000, there have been radical changes in travel purchasing habits. The slashing of the costs related to business travel is viewed as a major change and also been among the corporate individual's first priority and they are using the low-cost carriers in instances when they have to make a business trip. Another aspect is that most organizations are minimizing the number of trips they used to make in the course of a business transaction, this is mainly due to the fact that the organizations are more concerned about the price been charged and also due to the emergence of technology they are able to exchange documents using online means.

Almost all business have made the above changes in their travel patterns, most of them have substituted travel with web conferencing and other related technologies such as face to face meetings.

Qantas have tried to respond to this change by lowering the cost of business travelers while at the same time ensuring that they remain competitive.


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Qantas 2010, Qantas annual report, Viewed 25th July 2012,

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Qantas airways 2010, Fact file, Viewed 25th July 2012,

Quiggin, J. 1997, “Evaluating Airline Deregulation in Australia”, The Australian Economic Review, Vol. 30, No. 1, pp. 45-56.

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