Look up at the sky, it's a bird, it's a plane, no it really is a plain. All across the United States and all over the world there are a number of companies that are constantly seeking to expand each by a number of different means; some companies are going public, others are buying assets from other companies, and some companies are merging. Mergers happen every day whether we realize it or not there are a number of different smaller companies out there that either by or acquire another company's assets or acquire the whole company itself. The whole merger process can be complicated and also can be quite simple one company seeks to expand and another cease to liquidate some assets, the ...view middle of the document...
Diversification can be
achieved by the new company that is created from the merger of the others, because this new company would likely take the best policies from the previous ones and incorporated into their new company bylaws.
One such merger which promised to provide better service at there was complete was the new American Airlines, this merger would combine the fleets of planes and employees of US Airways and American Airlines. This merger was to assimilate the best of both airlines to create one super airline, one of the largest airlines services in the world. This would go on record as one of the largest mergers in US history, because this merger involves such large companies have to be first cleared by the US government so as to not take away good competition among the airlines. It just so happens that American Airlines itself was just emerging from bankruptcy right before it propose the merger with US Airways fleet, this was posted re-energize and revitalize its image in the public eye. (Martin, 2013)
Because American Airlines is is well known the two adjoining companies would just be re-branded as the new American Airlines, with this came a major overhaul of the company's website, its images, logo and trademark, uniforms, right down to the paint on the planes. After the company was made promises of better service, better quality, better and newer planes were made, and more benefits and pay for the employees of the new company. Because this company can't not only think about his customers and must also think about the thousands of employees it employers all across the world, in order to retain the bulk of its workforce the new American airlines would have to promise better benefits to show that this new company will be more solid into companies it came from.
How well this merger is doing is anyone's guess, given that the fact that it is only a few months old time will tell how smooth of the transition between the two companies will be. Some people will be happy with the merger others will be skeptical with, some people will lose their benefits such as
frequent flier miles and an executive club rooms at the airport. It seems with this new merger that how
well the airline is doing is in a matter of opinion some people are saying that the benefits from American were not transferred over others are saying to the benefits from past American were transferred, the same thing as being said of US Airways past customers.
According to a Washington Post article a man out Tucson Arizona says that America is treating his customers even worse because now his American Express card no longer gives them access to the admirals club in the Phoenix lounge. Others are set because America is getting rid of something they call bereavement fares, which is a discount on tickets that people buy for funerals because they'd have to leave right away they don't have time to actually shop around for a better price. The discount was not a...