BUS 109 UW US Airline Industry Analysis

Part I.
Based on the information from the attached “handout” BUS109-03-AirlineIndustry.pdf, please conduct a PESTEL analysis on the US airline industry. Remember to discuss each of the six factors, even if you can’t find much information on it. This is where you can speculate or draw logical conclusions/make assumptions about how the US airline industry is likely affected by the six factors. For each factor write a paragraph in which you:

1. Identify the issues that make up a given factor.
2. Clearly state whether that factor’s impact is positive or negative and strong or weak.

Each of the 6 paragraphs will be graded out of 4 points as outlined in the syllabus: 4 indicating outstanding analysis, 3 complete analysis, 2 adequate analysis, 1 incomplete analysis, and 0 points will be given for answers that miss the point of the question or are missing outright.

Part II.
Based on the US airline handout BUS109-03-AirlineIndustry.pdf and your own knowledge of the industry, write one MAIN post on any of these questions.

Questions

1. Comparing the US (most air travel restricted or suspended) with China or Russia (most air travel back to normal), which PESTEL factors are different based on the article’s description? To what extent do those factors influence the airlines ability to operate?
2. Do you think Airbus and Boeing are strongly affected by the factors described in the handout? Explain what affects their performance and to what extent they suffer more/ less than the airlines.
3. Expressing your own opinion, do you believe that our air travel experience will “go back to normal” after the pandemic is under control? Explain why/why not, and if not, how & why it will be different. Include a discussion of ticket prices.
4. The airline industry was severely disrupted by the pandemic. What other industries are interdependent with the airline industry and how were they affected directly and indirectly by the pandemic? Choose 1-2 industries and describe their interdependence and impact on its profitability.