Impact of code-shared and non-code shared alliance arrangements in which Virgin Australia presently participates

1)Assessment brief: A report analyzing the impact of code-shared and non-code shared alliance arrangements in which Virgin Australia presently participates.

You will need to summarize the key issues in the assessment topic, in your own words, and critically comment on the theoretical aspects of the topic.

2)Background: Code-share agreements in the airline industry enable partner airlines to coordinate their operations to serve destinations that they do not physically serve (Brueckner 2001; Vowles 2000). Code-sharing refers to two airlines, typically a major and regional carrier that shares the same identification codes on airline schedules (Wensveen 2011, p.293). It is a cooperation agreement between two or more airlines, by which at least one of the partner airlines sells seats of a flight of the other airline partly or wholly under its own name (Gudmundsson & Rhodes, 2001).

a)Identify and clearly describe the critical differences between the types of alliances and code-share arrangements used by Virgin Australia
b)Assess the impact of code share and non-code shared air services on Virgin Australia’s domestic and international air routes from an organization, flight frequencies, product offering and route structure perspective.
c)Identify and describe measures that can be used by Virgin Australia to gauge the continuing success of their alliance and code-share arrangements.
d)List and explain the shared tangible and intangible resources of such alliances.

4)Task Scope:
a)Explain the purpose and objectives of airline alliance and route code-sharing
b)List and explain the advantages and disadvantages of code-sharing for airlines
c)Select one code-share or alliance model to which Virgin Australia participates and analyze and discuss the impact that the code-share or alliance arrangement has on Virgin Australia’s network and product strategies.
d)Suggest and justify performance criteria that Virgin Australia can utilize to gauge the continued success of their alliance and code-share strategies.
e)List and describe the shared tangible and intangible resources such as refueling, ground handling and terminal used to support an airline alliance or code-sharing agreement.

5) Assessment Criteria
a)Display a comprehensive understanding of the topic.
b)Report on Virgin Australia’s alliance and code-share strategies.
c)Demonstrate a wide review and critical analysis of the literature and include practical examples to support your answer to the question (a minimum of two text books,2 journal articles and 4 articles from authoritative industry magazines are required)
d)Present information in a logical,systematic and integrated manner.
e) Use the Harvard Reference Style

a)Brueckner,JK 2001, ‘The economics of international codesharing:an analysis of airline alliances’,International Journal of Industrial Organization,Vol.19,no.10,pp. 1475-1498.
b)Gudmundsson,SV & Rhodes,DL 2001, ‘Airline alliance survival analysis:typology,strategy and duration’, Transport Policy,vol.8,no.3,pp.209-218.
c)Vowles,TM 2000,’The geographic effects of US airline alliances’, Journal of Transport Geography, Vol.8, no.4, pp.277-285.
d)Wensveen,JG 2011, Air transportation: a management perspective, 7th edn, Ashgate Publishing, Farnham,UK.

1. Wensveen, JG 2011, Air Transportation: A Management Perspective, 7th edn, Ashgate Publishing, Farnham, UK.
2. Holloway,S 2008,Straight and level:practical airline economics,3rd edn,Ashgate,Aldershot,UK
3. Morrell,PS 2007, Airline Finance,3rd edn, Ashgate Publishing, Aldershot,UK.
4. O’Connor,W 2001, An introduction to airline economics,6th edn, Praeger Publishing, Westport,CT.

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