Porter’s 6 Forces Analysis of the US Airline Industry
- Bargaining Power of the Buyer is High
In the study conducted by International Air Transport Association (IATA) of airlines worldwide, it is projected that the growing middle class in various parts of the world, particularly Asia, Middle East and South America, will spur travel and air cargo (Pearce, 2013). This expected increase in global demand is forcing the airline industry to expand and invest in modern aircrafts.
With growth coming from the sophisticated segment of the market, ‘buyers’ in the airline industry are able to influence governments and Continue reading...