Air Cargo as a Different Business Unit

<p>By combining cargo and passenger operations under the same business, airlines are facing an operational conflict with respect to the cargo operation, which has always been perceived as a by-product and not as an essential revenue generating activity; This fact leads to poor product quality, weak revenues, and value deterioration. By dedicating time and resources to the cargo operation in a different business unit with a defined strategy, carriers may increase cargo profitability and achieve superior operational results.</p> <p>The purpose of this study is to identify and explain the benefits for passenger airlines to invest in air-cargo operations by defining a clear strategy and creating a separate business unit. Through developing a concept-based decision model the study explains why it makes sense to dedicate time and resources (invest) implementing a strategy for cargo operations. The outcome of this investigation will serve as a decision support tool for those airlines that are evaluating whether or not to invest in developing further their current cargo operations.</p>

Name thesis:degree_name

Master of Business Administration in Aviation

Level thesis:degree_level

Thesis - Open Access

Discipline thesis:degree_discipline

Aviation Business Administration

Year

2001

Author dc:creator

• Gomez, Juan M.

Contributors dc:contributor

• Robert N. McGrath
• Vahindran Rao
• Saad Laraqui

• air cargo
• aviation
• business
• Management and Operations

Repository record dc:identifier

https://commons.erau.edu/db-theses/99

OAI identifier oai:identifier

oai:commons.erau.edu:db-theses-1100