Delta

Hello and welcome aboard everyone.

Today we're excited to discuss Ah, hometown company with you

and Atlanta Staple business.

Delta Airlines is responsible for connecting people and businesses across

the globe.

We will provide a brief overview of Delta's history Cem

First they've had and their strategy.

We will also cover a few major issues they're facing,

followed by recommendations to overcome these challenges.

Now please sit back, fasten your seatbelts, settle in.

Remember to keep that mask on and enjoy your flight.

Our first stop is a brief overview.

Delta has had many stops along the way to their

current state.

Founded in 1925 by C.

E Woman Huff, the land dusters was an agricultural crop

dusting airline.

The successful business started winning government contracts to deliver mail,

which then carried over into providing passenger travel.

Throughout their journey, Delta accomplished many firsts.

They were the first airline to board one million people

in a single city out of Atlanta, Georgia.

They also pioneered the hub and spoke system that is

common today.

This allows for consolidation of passengers for more financially efficient

flights. They were also the first to ban smoking on

all flights with the success.

They're also came turbulence.

Delta has faced their fair share of challenges.

The airline industry has thin margins, so it wasn't a

surprise to see some struggles from Delta.

After numerous years of success, they suffered their first financial

loss in 1982.

Delta recovered from this first loss, but it was merely

a layover.

Delta filed for reorganization under the Chapter 11 bankruptcy code

in 2000 and five.

They ultimately emerged from bankruptcy in 2007, with their sights

set on Brighter Horizons or in the interruption.

Everyone, this is your captain speaking A ZX We climb

to cruising altitude wanted to share some key components of

our strategy here.

Adult airlines are business Strategy focuses on providing a premium

customer experience, which I hope you're all enjoying.

His experience begins the moment you out of the airport

and includes the phone.

No experience full service from check in to deep planning.

We even provide cargo on private jets if you like.

The Delta App is very intuitive and easy to use.

There's no need to check in at the counter, uh,

for the boarding pass because read through all of that.

Even fact we're your checked luggage is have one at

all. Times will be greeted with helpful, well dressed divers

and courteous gate agents and my group premium cabin that

has been clean and sanitized hours of in flight entertainment

with screens on every seat.

Plus why, if I catch up on work and play

not for a drink or meal service on every flight,

including alcohol and our longer flights, we offer chef character

meals and amenity things.

We always aim to make our customers happy and feel

welcome. I hope you return on another Delta flight.

A premium service is our differentiator, and we hope that

came across today.

Our international and global strategy revolves around mergers and acquisitions

and appliances.

2000 and eight.

We've merged with a rival, Northwest Airlines.

What six billion merger that created the world's biggest airline

would service the 375 destinations worldwide.

His murder resulted in combined revenue enhancement and cost savings

estimated at over $2 billion annually and created many synergies.

Northwest brought a reputation for operational excellence to adults unknown

for service, hospitality and culture.

However, the biggest advantage that came from the murder was

linking the long established strength of Northwestern Asia with our

expanding overseas network.

Leverage benefits from the transatlantic SkyTeam alliance that includes Air

France and KLM.

Meanwhile, compared to other domestic carriers, we were the only

ones to grow our long haul international flights between 7

2020 17.

Now as horror strategic alliances.

Since 1996 Delta and American Express have offered a portfolio

of co branded products that allow illegible card members to

earn miles and received other Delta related premium benefits, all

while earning American Express rewards as well.

Both of our firms were known for premium service, and

so we thought this was smart and related diversification.

Expect our benefit from this relationship to double to nearly

$7 billion annually by 2023.

Strengthens are increasingly diversified revenue stream.

At the same time, American Express users converted points to

sky miles on a 1 to 1 basis directly from

amex travel dot com, as well.

These parts offer first check back free playing cabin.

One priority boarding lt Spy callbacks is on top of

that. Our sky clubs offer a quiet and secluded place

to relax where eat, shower and drink before a fight

and our business.

Travelers love this especially.

It also recently signed a deal with Lift, which allows

Delta travelers toe earn and news five miles for lift

rides, which again benefits both firms.

Now we have reached our cruising altitude.

We're gonna turn my attention back to flying this plane

to prevent any major issues on this flight.

But you're fine.

Defendants now have some or interesting points to share, so

you're funny.

A lot of interesting points there from our captain.

Let's save that round of applause until we land, though,

while the beverage service is beginning, we're going to point

out major issues Delta is facing.

The coast of airfare is one of the biggest factors

in determining a consumers willingness to fly.

This is the key reason why consumers tend to purchase

airfare well in advance of the actual travel date.

Dynamic pricing strategies, based on the demand for certain routes

throughout the year create the need for a robust revenue

management team to minimize financial losses on direct operations.

We appreciate you choosing Delta Airlines today.

Competition in our industry is high.

We know the budget airlines are appealing, but we value

our returning customers and our sky Miles members for your

continued support in our five forces analysis.

The threat of new entrances low given the capital needed

to start up the threat of substitutes is also low

to moderate as the alternatives to flying arm or time

demanding and much slower.

The bargaining power for suppliers is approaching the higher end

of the scale because there are few suppliers of dependable

aircraft. The bargaining power of buyers is also on the

higher end because the buyer can use the Internet and

travel sites to find the best price.

A stick force we're all dealing with right now is

coded 19.

I hope you all are enjoying that extra room with

the open middle seats.

That and the required masks are part of our added

safety precautions to ensure that everyone makes it to infinity

and beyond safely.

This pandemic has really hurt our industry and company.

With travel restrictions and customers not flying, we're losing out

on millions in revenue each day.

We will provide recommendations on how to overcome these issues

shortly. But first, let's do a quick fly by of

our SWAT analysis taking a bird's eye level view of

our SWAT analysis we can see.

The Delta has many strengths that prepare us for unexpected

rough air.

As we mentioned, Delta has a strong loyalty program and

a commitment to ensuring all passengers have a positive experience.

Another strength is the strategic location of our hubs in

order to maximize the efficiency of our routes.

Ah, weakness is the thin margins, so we will get

into some recommendations that work to cut costs and inefficiencies.

Delta has several opportunities, including gaining additional routes and expanding

its presence in emerging markets.

However, Delta is part of a highly regulated industry and

has threatened by anything that disrupts routine travel such as

weather, unrest and even global pandemics.

As we make our way back through the cabin to

prepare for final descent to our destination, please turn your

attention to the monitors for final recommendations.

You point out some major challenges faced by Delta Airlines.

Various analysis.

We have come up with a few recommendations.

First, we would like to initially focused on reducing costs

wherever possible.

The challenges of Kobe, 19, can be viewed as an

opportunity to become even more dominant player in the market

once we return to some semblance of normal, you can

use this economic downturn as leverage to secure more favorable

long term deals with suppliers should not be seen as

taking advantage of desperate companies is a boon to all

parties. Those fires were able to maintain.

The cash flow is necessary to stay in business, and

Delta reduces costs while ensuring their critical supply chain remains

intact so they can ramp up in the near future.

Elsa should also conduct a full audit across all business

units to identify and eliminate waste and redundancies.

To borrow a racing analogy, the best way to save

a pound is to find 16 places to save.

This should not be seen as a one time trend,

but as a cultural shift, individual call centers will need

to view their P and L statement as if it

were their own small business, with every dollar in or

out affecting them directly.

Incentives toe overall cost reduction as well as offering bonuses

for individuals that identify creative ways to cut costs without

negatively impacting the business, will effectively kick off this cultural

shift next way, recommend the delta accelerate the Decommissioning of

outdated airframes and equipment, end of life equipment that would

have previously been replaced on a one for one basis

should instead you reviewed for necessity, the availability of less

expensive alternatives or for replacement exists with within Delta's global

inventory a thorough review of route profitability both from a

historical perspective as well as forecasted trends in the near

and long term future, UM, may result in the frequency

of certain routes to be reduced or eliminated outright, and

the resource is allocated elsewhere.

For instance, does it make sense to have hourly flights

from Atlanta to Miami?

The Deltas famous 2012 acquisition of an oil refinery was

not as successful as they might have hoped.

It does not mean that the underlying principle vertical integration

was walled.

Delta can have better success in the future and future

endeavors with businesses that are less prone price fluctuations, as

previously mentioned, many Delta suppliers air currently struggling to stay

above water, and some have already folded.

This unfortunate reality presents the opportunity to eat either outright

acquire. These companies are purchased their plants and equipment and

things on the dollar compared to just a year ago.

Consolidating Delta supply chain is now the only benefit of

this strategy by bringing suppliers in house and allowing them

to function as their own semi autonomous entities.

Under the Delta umbrella, they will be able to create

new revenue streams by selling to other airlines around the

world, requiring companies in adjacent industries such as supply chain

management or logistics software to be considered as well.

This has the added benefit of reducing brain drain.

By reassigning current Delta employees previously would have been let

laid off out of necessity, Delta should look into ways

technology can utilize to automate or improve the efficiency of

current processes.

The silver lining to black of air travel is that

Delta has the opportunity to migrate to do technology platforms

without drastically impacting the day to day operations of the

business. The capital outlay is currently risky and aggressive acquisition

strategy, fueled by the aforementioned call savings as well as

federal stimulus or other loans, reports Delta.

The opportunity to bring much of their supply chain in

house are cheap, cheaper than under ordinary circumstances.

Our third final recommendation is for Delta explore the acquisition

of recently defunct airlines.

The initial focus should be on acquiring regional carriers, many

of which Delta has previously partnered with and no well

by bringing these connecting flights under the Delta umbrella, as

opposed to partnering with small regional carrier carriers Delta and

control the entire passenger journey from departure gate to final

destination while increasing the profit margins above those of the

regional care by taking advantage of vastly greater economies of

scale. Additionally, Delta can utilize this approach to get access

to new markets.

If it Delta is able to acquire more than one

career in a different geographic region, we recommend the focus.

Uh, I'm sorry, guys.

I blew it.

They just keep going.

Just keep it does is able to acquire more than

one care in a different geographic region.

Okay, fuck.

Okay, if Delta is able to acquire more than one

care, we recommend that focus.

They focus on one geographic region.

So the Southeast Asia.

This way they can establish a hub as a jumping

off point for future expansion.

We also advise the Delta carefully considered their brand reputation,

forget demographic and customer reception of any new company.

They acquire companies that you either have strong brand loyalty

or position themselves as inexpensive, low prial frills airlines should

operate under their own branding so as not to alienate

customers for achieving the perception of Delta similar to the

supplier acquisition discussed above.

Delta has a unique opportunity.

Greatly expand their scope and reach relative to the competition.

Should they be willing to take the financial risk.

Thank you.

We have now reached our final destination.

Feature looks bright.

Possibilities are endless.

Thanks for flying with us.

You have any questions?

Delta

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