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1)Describe the labor–management scene before 1958

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1)Describe the labor–management scene before 1958. What happened in the early 1960s to change that scene? What was the result of this situation for the period from 1958 to 1970? What was the mutual aid pact? Why did the unions oppose it? What was the CAB’s position? Why was airline labor so successful in raising wages and fringe benefits during the 1970s? Summarize labor–management relations before deregulation.

2)Why is the airline industry subject to the Railway Labor Act? How are airline strikes different from railway strikes? What are the basic purposes of the act? Describe several major differences between the RLA and the National Labor Relations Act.

3)What are some of the items included in corporate planning’s recommendations of a fleet plan to top management? Why is top management apprised of developments as the fleet-planning process progresses?

4)What is meant by the unconstrained operating plan? What are the basic purpose of and data derived from fleet-planning models? Give several examples of external and internal system constraints. Define the constrained operating plan.

5)Describe what is included in each of the four basic inputs (informational needs) to the fleet-planning process. Marketing strategy was referred to as the “how-to” function. What does that mean? And why is this such a key piece of information?

6)What are some of the advantages of fleet commonality? Why has there been a trend toward leasing? Distinguish between an operating and a financial lease. How will noise restrictions affect future aircraft purchases?

7)What was meant by dormant authority before deregulation? How did it affect scheduling? What is the purpose of hub-and-spoke scheduling? Discuss the advantages and disadvantages of hub-and-spoke scheduling.

8)What are the three basic in-service equipment assignments? The five out-of-service assignments? Discuss the advantages and disadvantages of skip-stop, local service, cross-connection, and nonstop service.

9)How do other operating factors, such as time zones, station personnel, and equipment turnaround time, affect the scheduling process? Why might a jet flight scheduled to depart Los Angeles at 11:35 p.m. be popular? What is meant by the chain reaction effect?

10)Discuss some of the problems faced by an airline scheduling department that are similar to problems of other industries and some problems that are unique to the airline industry. Discuss three marketing related problems. What is meant by traffic flow? Sensitivity of schedule salability? Give one example of the latter.

11)“You can please all of the people some of the time and some of the people all of the time, but you can’t please all of the people all of the time.” How does this relate to scheduling? Why is it important to build up complexes of connecting flights at major gateways?

12)What is the primary purpose of engineering and maintenance and line maintenance with regard to scheduling? Discuss the four maintenance efficiency goals. Name several of the inspection and overhaul periods for a jet as it is routed throughout a system. Why are there different levels of maintenance capability throughout an airline system?

13)List and briefly describe six factors affecting air freight rates. An aircraft may “gross out” before it “spaces out,” and vice versa. How is this related to air cargo? What are stacking losses? How does directionality affect air freight rates?

14)List five major commodities shipped by air. Why do you think they are shipped by air versus surface modes of transportation? Distinguish between general commodity rates and specific commodity rates. What are exception rates? What is priority reserved air freight? Speed package service? Describe several advantages of containerization. What are some of the special air freight services provided by air carriers?

15)Distinguish between integrated carriers, combination carriers, and all-cargo airlines, and give examples of each. Why have the integrated carriers gained a significant market share in recent years? What effect has this had on airport planning?

16)Describe the basic concept of Federal Express. Why has this company revolutionized the air express business? Explain the role of the air freight forwarder in the air cargo business. Why did the arrival of the jumbo jet prove to be both a boon and a bane for the air cargo business?

17)What is the difference between air express, air freight, and air mail service? Why was the early air mail service so important in establishing the U.S. airline system? Discuss the role of the Railway Express Agency and General Air Express in developing early air express service.

18)Describe in your own words the profit-maximization point (use ASMs, RPMs, total revenue, and total cost in your answer). What is meant by marginal cost and marginal revenue? How do we determine passenger load factors?