Analyzing the Global Business Environment: British Airways Case Study

This report delves into the complexities of the global business environment, using British Airways as a focal point. It examines key factors such as costs, market dynamics, environmental regulations, and competition, providing a comprehensive analysis of the challenges and opportunities faced by businesses operating internationally. The report explores various aspects of British Airways' operations, including supply chain management, market trends, and the impact of environmental policies. It also highlights the airline's strategies for navigating the competitive landscape, including its responses to low-cost carriers and evolving customer preferences. Furthermore, the report discusses the role of government regulations, the impact of economic factors like exchange rates and taxes, and the importance of adapting to local market conditions. The analysis encompasses the airline's operations in Mauritius, considering both domestic and international markets. Overall, the report offers valuable insights into the global business environment and its implications for the airline industry, making it a useful resource for students and professionals interested in international business and strategic management.

Unit 18: Global Business Environment

Introduction
Because of reduced prices, and lower costs generally, better efficiency or product creativity
businesses may succeed in all industries. The 'choice' is usually presented in civil aviation as
one between either low costs or high quality / service innovations. (Jarvis 2014) Nonetheless,
airlines are constantly having to perform on all three factors as, in an unsound setting, the
cycle of imitation is becoming quicker, and rendering it impossible for each carrier to retain
competitive advantages on the basis only of service efficiency or product developments.
P1
Mauritius Air, which accounts for 76% of its domestic output and 56% of foreign output in
2008, is the largest airline in Mauritius. Air Austral, headquartered in Reunion, Air France,
Emirates, South African Airways and British Airways, and were the top international air lines
serving Mauritius in 2008. (Jarvis 2014) In 1995 the British and U.S. governments decided to
changes to the original Bermuda II arrangement to require additional airports that effectively
deregulated most of the United Kingdom-US. However, the privileges of seventh rights for
transport services are very unusual. (Corke 2006) In addition, certain factors must be
considered: cost, market, environment, and competition:
 Cost – In addition to clear cost factors such as delivering and innovation tracking for
logistical tasks, the Company should also be paying for cost elements in its marketing,
financial and business divisions.
 R & D – Perhaps overseas, what operates well in a nation does not work. Enterprises
must examine facilities, society, and community in order to survive.
 Exchange Rates – Leading international companies need to exchange the foreign
currency of the host country with the legal tender of the foreign country. (Jarvis 2014)
The transfer scene will only wobble within seconds, though, so money dealing can be
exorbitant so dangerous.
 Tax – International corporations are subject to international market taxes.
Intentionally, the governments of several countries established a low tax rate to enable
companies to open to enterprises inside their territories.
 Population – In one nation or market, the potential client population varies greatly
depending on the product or service that a company market.
 Income – Many eyewitnesses agree that wage level is a key model to determine the
target markets.
 Marketing Trends – Market patterns offer industry and the economy logical
meaning by depicting existing behaviours and their budgetary development.
 Projections – The majority of market analyses also include a sector which shows the
competition of the company with a similar evaluation applied to the research
company.
 Rivalries – This are the main external element that can affect a company's strategy.
(Jarvis 2014) Environmental regulations are a business' obligation to the rules,
legislation and other regulatory instruments dealing with the environment.
 Environmental Policies – They are the main external element that can affect a
company's strategy. (Jarvis 2014) Environmental regulations are a business' obligation
to the rules, legislation and other regulatory instruments dealing with the
environment.

To open its activities in Mauritius, British Airways, BA must take care of these
considerations:
 Costs - Even though there is no coverage by the private office, Mauritius is well
positioned on all different indexes and, for ease of loan, followed by the World Bank
and the IFC. In terms of investor protection, this also works well across the board.
Tax rates in Mauritius are competitive, despite being expensive. (Jarvis 2014) Per
year there are seven episodes, which usually require 168 hours for recording.
Workers' taxes on the National Pension Fund (NPF), combined with company income
tax – 20 percent rate – and VAT levied at a comparable amount, are among the most
repetitive factors.
 Markets – Etihad airways is now Mauritius' largest foreign airline, with a total of over
25% share of all seat capacities worldwide. Following Etihad, Mauritius now has 14
other international flights including 8 European airlines and 5 African airlines. (Jarvis
2014) Many other international airlines have recently begun to fly in Mauritius.
 Environment – Mauritius' main environmental problems include water contamination,
soil erosion and conservation efforts. Wastewater and traditional farming substances
are sources of water pollution. (Jarvis 2014) The urban areas of Mauritius generate
0.085 million tons of solid waste annually. Soil erosion is caused by desertification.
 Rivalries – The main rivalries are – Qatar Airways, Etihad Airways, Kenya Airways,
Indonesia Airways, and so on.
Although the population is small because there is strong pressure, British Airways in
Mauritius will still do business as its revenue is strong. (Jarvis 2014) British Airways will
benefit from the reality that customers have large salaries and can afford to travel. British
Airways will eventually launch a business in Mauritius.
P2
The supply chains cover businesses and the planned operations. Make a good or service,
convey it and use it. Companies depend on their distribution networks in order to allow them
to survive and prosper. Every company fits one or more supply chains and has a task. (Jarvis
2014) The Supply Chain managers organize the development, distribution, position, and
transport of the supplier supply chains to achieve the best balance of market responsiveness
and expertise. Each manufacturing process has its own single set of requirements on the
industry and operational challenges, but for each situation the problems remain largely
similar.
Production - What is the consumer wanting items? (Jarvis 2014) How many items should be
supplied and by when? This activity comprises the development of master production plans
that consider plant capacity, workload balance, quality assurance and replacement of
machinery.
 Products/Services Focus - A plant that concentrates on a commodity conducts various
operations to generate a specific product line from the manufacturing of different
assemblies of such parts.
 Operations Focus - A functional technique is focused only on the performance of a
few tasks, for example simply creating a selected group of parts, or simply carrying
out the assembly.

Inventories - Whose stock will be kept as fresh, semi-finished and completed commodities?
The basic function of a related to the supply chains is to serve as a shield against insecurity.
(Jarvis 2014) Nevertheless, the inventories may be costly, in which stock rates and reorder
points are ideal. There are three key decisions to be made with respect to inventory formation
and carrying:
 Cycle Inventory – Firms will generate and acquire in large properties so that the
benefits economies of sizes can be achieved. (Jarvis 2014) This is the amount of
inventory expected to meet price of the product in the time frame between the
purchases of the product.
 Safety Inventory – If the prediction of requests is carried out with perfect accuracy,
then the only inventory needed is a cycle inventory. This inventory should be carried
out in a complete way.
 Seasonal Inventory – This is a stock formed in expectation of coherent costs increase
at times of each year.
Location - How should development and stock storage facilities be located? Where are the
cheapest places for manufacturing and stock storage? (Jarvis 2014) Must current or new
services be used? When such decisions are made, they determine the possible paths for the
product to be delivered to the end consumer. (Jarvis 2014) Managers need to consider several
factors that recognise with a place, including costs for installations, work costs, availability of
labour, infrastructure conditions, taxes and duties, and proximity to suppliers and customers,
when making their investment decisions.
Transportation - How should inventory be transferred to another location in the production
process? Shipment by oversea or rail is considerably cheaper but generally requires greater
travel time and more complexity. This volatility needs to be accounted for by the handling of
higher sales volumes. When it is easier to choose the transport system:
 Shipping – It is cost-effective and is often the most inefficient form of transportation.
It can be used only between places near rivers and marinas.
 Railing – This mode can also be used between places that are represented by rail lines.
It is economically effective but it can also be inefficient.
 Pipeline – They can be extremely productive, but are limited to liquids or gases
products such as water, oil, and gas. They are also very successful.
 Truck – They are a quick and truly flexible transportation method. There may be
trucks anywhere.
 Planes – They are fast and open to transportation. It is often the costliest method and
the range of airport services is very restricted.
 Electronic Shipment – It is the fastest way of transportation and is genuinely adapted
and cost-effective. Nevertheless, for transport of certain types of products, such as
electricity, data and products made from information, such as music, illustrations, and
texts, it must be used.
Information - Which details will be stored and what data should be shared? The pledge of
improved integration and improved decision-making lies within timely information. With
good data people could make efficient choices about how to generate or how much to find
stocks as well as how to travel them greatest.

Participants in the Supply Chain
 Producers - Manufacturers or producers are producer organisations. These include
raw materials manufacturers and finished products manufacturers.
 Suppliers – Distributors are firms, who take stock of the supplier mass and provide
consumers with a package of similar product lines.
 Retailers – Retailers stock stocks and sell to the general public in tiny portions.
 Clients – Any organization, the one buying and using a product is the consumer.
 Services Providers – These are companies providing services to manufacturers,
distributors, retailers, and clients.
P3
In order to be used as a tool for greater political and economic goals, the air travel was
highly controlled and safeguarded in this setting. However, its importance was limited even
in these positions, mainly due to the technology up to after World War II (Jarvis 2014). For
instance, only British Imperial Airways in the 1930's, about 50,000 passengers were brought
to the settlements and the significance of territorial air networks was concealed in a national
media reporting. As a result of strategic advances in the Second World War, technological
changes changed that by adding much more long-range aircraft, faster pace, increased raise
and the able to manage progressively with adverse weather conditions. Air traffic, control,
telecommunications, and airport installations have also significantly improved, and the
fundamental supply market management sy stem has increased productivity more lately
(Jarvis 2014).
The present scenario has influenced individual markets significantly with broad segments
of the airline industry losing cash though generalized. The US domestic market, which is
expected to be the most dynamic in the world, has taken the greatest hit to date. South-west,
several routes have been introduced, most airlines have withdrawn, others of which have
completely disappeared from the market, including ATA Airlines and Sky busses, and the
former Aloha airline. European carriers have been heavily affected, although some of them
including Ryanair, UK Airways and Air France have been making money, as have carriers
elsewhere, for example Qantas, which, after a forecast income of $1,3 billion in June 2007
for 2008, were also economically impacted by an increase in fuel costs (Jarvis 2014).
Yet another and better distinction of quality of service is a second shift in the business
strategy. The introduction of low-cost carriers essentially separated travellers looking for the
on-board services from those looking for higher prices. More recent premium programs were
provided to distinguish passengers where the on-board experience is relevant, pioneered by
Lufthansa on the North Atlantic. The goal is to differentiate the corporate niche, in which
long-distance travellers wish to arrive at work and where the principal agent is frequently
separated (the company pays the ticket and the worker chooses the flight). To present, the
template and some of the others have not been productive. The sector had to be left early by
MAXjet, Silverjet and EOS. The underlying issue was that conventional carriers were highly
competitive by raising the cost of business class tickets on their multinationals, and all-
business airlines were not able to offer the frequency that business travellers are looking for
(Jarvis 2014). This is more difficult to see if major airline companies such as British Airways
are coming to this market, but they have the advantages of large financial reserves, strong
Airport access, the opportunity to provide a high service frequency and flexibility over the
fares they sell on their own (Jarvis 2014).

A business is a legal entity that provides services and products to consumers in a country.
Also, a company includes a great amount of people who combine ideas to accomplish
common objectives using different methods to establish short-term and long-term financial
success plans. Because British Airways is a public limited company (PLC), its form is the
private industry. British Airways is a Public Limited company, held by owners who purchase
stock on the bursary and have a legal name distinct from the company. -- owner shall only
forfeit the equity capital they deposited, rather than their personal belongings if the company
is debatable (Jarvis 2014). The government is not involved in the operation of the carrier as it
is a private limited company. Its priorities and priorities are to increase income in the long
term by concentrating on maximizing, sustaining and being the world's largest luxury airline.
British Airways is a Public Limited company, held by owners who purchase stock on the
bursary and have a legal name distinct from the company. -- owner shall only forfeit the
equity capital they deposited, rather than their personal belongings if the company
is debatable. The government is not involved in the research of the carrier as it is a private
limited organization. Its priorities and priorities are to increase income in the long term by
concentrating on maximizing, sustaining and being the world's largest luxury airline (Jarvis
2014).
An organizational framework is essential as it defines how the company is to achieve its tasks
and priorities. An organizational structure can be defined as the number of ways in a
company to establish a division and specialization of labour, which focuses on coordinating
to achieve the same objectives. British Airways has a flat layout, which ensures that it has a
limited number and a wide variety of management tiers. Due largely to the design of its
customer-oriented business, the carrier has a better utilization (Jarvis 2014). The benefits of
this approach are that it easily defines work responsibilities, takes less time to determine and
encourages management supervision within departments. It promotes productivity because
many employees can utilize their various talents efficiently, which may still be costly because
supervisors are responding to a vast amount of staff, which reduces their workload. At the
other side, workers cannot feel optimistic in their careers, since they are closely supervised
and may be encouraged to function successfully. Another weakness is that each organization
should concentrate on its own goals that may clash with other organizations (Jarvis 2014).
P4
Corporate social responsibility is a concept for diverse practices, from conservation of the
environment to social work by employment law, business ethics, non - discriminatory and
sustainable investment policies. It is the umbrella word for different activities. The common
human utility and the reality that the client is their key initiator and trustee is common feature
of such operations (Parker 2015). CSR is a process through which businesses actively
incorporate social and environmental issues into and communicate with their stakeholders.
Company's social responsibility moving beyond financial and legal considerations, this
additional obligation was established as an element of corporate social success. Several
related meanings can be found. Some of them discover a common outline of sustainable
business concepts with respect to their not quite coherent terms. A lot of research work on the
effects between CSR and organizational performance have been established (Parker 2015).
We precisely discuss the impact of CSR on certain determinants of corporate performance in
this report:

 CSR and Cost Structure - In the discussion on cost savings arising from CSR we will
find two currents of opinion here. Critics claim that CSR is expensive and therefore
only soon will the beneficial results be seen if they are present. These statements
argue that only one social responsibility exists in the company and is the most
effective use of resources accessible and participation in activities as often as
practicable, through income. CSR has no significant role in the company according to
this view. In addition, to achieve business credibility, social success is required. Based
on this assumption, much of the current research on whether there is any advantage to
social responsibility (Parker 2015).
 CSR and HRM - The beneficial effect of CSR on the management of human resources
can be observed based on scientific research. Businesses of well-developed strategic
human resource management strategies focused on CSR practices will decrease the
overall fluctuating number of workers and have higher motivated and performing
employees. The diversity agenda for workers is another significant thing (Parker
2015).
 CSR and Corporate Reputation - Most companies view their contribution to CSR
mainly in the interests of customers to improve their credibility. The partnership
between CSR and the risk management in the 1980s. Then some literature shows that
the company’s credibility is a key competitiveness problem. Enhanced or destructed
brand image by decisions of corporations to participate or decline in CSR activities.
The implementation of CSR minimizes disputes among various organisations,
companies, the world and genuinely sees this as the main CSR benefit. CSR benefit.
In large or some way, eco-labelling has contributed positively to the reputation of the
product.
 CSR and Innovations - Several studies have questioned that CSR can be a way for
many people the application of social and environmental strategies for creativity. CSR
will contribute to the creativity and growth potential that comes with the participation
of stakeholders, recognize market opportunities through the management of societal
problems, and build environments that promote creativity. Over the long run, a
significant source of competitive advantage is technical advancement. Innervational
ability is an organization's unique asset that covers the numerous core areas of
technology, development, operation, policy, organization, experience, and expertise.
 CSR and Finances - One of the most discussed subjects is the correlation between
corporate social success and financial success. The area of interest is on the
connection between profitability and leverage of companies’ meta-analysis of data,
which comprises of literature. Of the included research, 68% had an important
positive relationship, 26% had no significant connection and 6% had significant
negative relationships. The findings indicate that there are ample empirical signs that
corporate social and financial success correlates positively.
The British Airways airline network creates economic benefit by satisfying corporate travel
demands by offering essential industry and investment routes as well as providing people and

groups exchange policies. There is a dream that they become the most responsible airline in
the world, and this is only accomplished by their safe flying operation. They have created
several strategic goals and priorities (Parker 2015). British Airways has settled on CSR for
many reasons. The first explanation is that it provides development prospects around the
airport in Heathrow is a way of meeting the company's long-term strategic objectives.
Furthermore, CSR's clear business argument was increasing market performance and lowered
costs by waste and energy projects (Parker 2015).
It also thought that CSR would help them handle their risks by detecting threats to health,
protection, and the climate, which would deter them from attracting investments and
expanding their company. Finally, it acknowledged the need to boost its corporate image and
input from consumers (both private and the public) showed that British Airways wanted to
"do the right thing." This has informed the policy by understanding that airlines produce
considerable social and economic advantages, but also a substantial effect on the atmosphere
(e.g. noise, air quality) and on populations in the regions surrounding airports (Parker 2015).
British Airways has encountered many obstacles, several of which persist, in implementing
the climate change plan. There are also conflicting perspectives on climate change and
varying degrees of understanding of this problem in the international atmosphere in which the
organization works. But airlines, like states, are of many viewpoints. In Great Britain the
government has made known (through a White Paper on aviation) that the growth of the
airline sector ensures that environmental problems are handled by the company.
Nevertheless, the governments of many eu states have not understood and analyzed such in
detail and may not have had this clarification on the matter. The cost implications of action
when others in the industry are not a further challenge for organizations (Parker 2015).
However, ethical problems involving the modern outsourcing practice show that companies
should not rely on contractors either, more than one creator should have used them. The
partnership would ideally be stronger, so that the corporations learn all of what entrepreneurs
do. Some businesses as well, such as banks, were blamed for inadequate treatment for
outsourced Indian customers. While it has been reasonable to claim that suppliers' practices,
or a strong influence on their rivals, are clearly not one of their companies, it appears like that
is no longer the case. The business will also be far wider about its legal obligations. The
supply chain must therefore be used for the management and regulations of ethics (Parker
2015).
P5
In the national government and public authorities, globalization expends powerful
pressures. Pressures on efficiency of public administration and the internationalization of
public service are most distinguishing. In the former, the conventional culture of government
administrativeness is transformed into a management culture, while in the latter, national
policies and ties with the private industry are gradually aligned according to global principles
and requirements. Increased globalization and IT convergence led to a radical rethinking of
how companies are carried out, and how to operate a hierarchical task to continually develop
and reinvent the company. Many researchers and professionals have been driven to these
obstacles into unexplored waters of successful leadership positions (for 2018).
The outside world is similarly dynamic and unpredictable, as well as intra-organizational
dynamics. Increasing globalisation, for example, has led to the creation of a range of

corporate norms. The commercial and legal requirements of a global corporation and of some
places in which it can operate its international affiliates are no longer appropriate to learn.
Increased definition of industry norms by multilateral and intergovernmental bodies, which
are becoming essential structure requirements for multinational companies under which they
operate. Business choices must conform constantly, whether a global firm is American,
French, Japanese or Chinese, with these global standards. The spread of globalization has
also been intensified. The Internet has changed the power relation between multinationals and
their non-commercial stakeholders dramatically. The requests on global businesses for more
transparency and more open market practice are made by non-governmental and civil society
organisations, as well as by civil societies in general. At the same time, it is used to control
profoundly the processes of global corporations (for 2018).
International managers handle the business activities of non-business stakeholders, but
do not generally understand how to handle non-business actors in each nation they work in.
Failure to deal with non-business problems may easily lead to emergencies, disputes or new
businesses that were missed. The internal demographic and structure shifts of businesses have
also complemented outside powers of transition due to globalization. In order to meet the
ever more complicated and sophisticated organizational requirements, the public or private
sector organizations and government employed an ever-greater number of young, highly
skilled, and knowledge-based workers. Such young, trained, experts who want to have greater
say on how to organize and execute their tasks do not go well in a conventional high-power
remote leadership style. They can operate independently and work in multinational project
teams, mostly remotely, without the same commitment to their organisations. Such
professional workers show a subordination or workplace conduct that in effect requires a
change in management style. They want more involvement in the decision-making process
and want their experience to be recognized (for 2018).
When we see greater globalization of the global economy, lead modelling will grow more,
which will push multinationals to be competitive and productive in various global markets.
Leaders of these globalizing organizations will need to learn how to expand their leadership
skills so that business and non-business conditions are effective. Similarly, most of our top
officials face the need to be more transparent and open to the public to aid their own national
corporations, which rely on professional support from the government for their multinational
activities. This in effect encourages our officials of state to be more mindful of the
globalisation pressures of the international economy and to communicate as effectively with
foreign representatives of businessmen, foreign public officials, and multilateral standard-
setting authorities (for 2018).
Change Management is now a term in most companies that is often noticed. It's been around
for some time now, so it's popular by businesses who want to transform their systems, like
community and job. Change management is commonly described as the collection of risks
caused to guarantee that substantial changes are systematically, regulated and organized
carried out in order to bring about strategic culture (for 2018).
Five principles of Change Management:
 Various individuals seem to respond to this transition in another manner.
 All basic needs must be fulfilled.
 Shift often entails failure often and the failure curve must be transferred.

 Everyone's standards will be honestly achieved.
 Everyone's concerns must be answered (for 2018).
In addition, the management of organizational change is to consider both the managers' tools
and the processes. Many companies are searching for less opposition to the transition. To
have that work, a systematic strategy will be utilized to ensure that the change from one
action to another is as seamless as possible (for 2018).
This is the management 's duty to identify activities and procedures that are not professional
and create new ones that render the enterprise more effective. Upon recognizing these
improvements, administrators will predict how the organisation and staff would be impacted.
Management will therefore analyze the workers' response to the improvements introduced to
seek to explain the response. The administration is responsible for adequately helping the
staff through the transition process. Eventually, managers can enable workers to embrace and
incorporate the improvements quickly after the adjustments are introduced (for 2018).
In Terms of BA:
The company's leadership has gone through tough times by changing the firm. British
Airways is now the world's biggest carrier but is still rising in prestige. This may be due to
the management's poor actions, but it more represents the difficult times and the challenging
market circumstances for both airlines.
The management tries again, in a strategic strategy, to introduce innovative approaches and
services in the business to build a stronger profile. The management today still acknowledges
the need for teamwork and professional expertise that can fix most of the company's
problems. The management will recognise the issues that remain within the business in order
for the organization to be completely effective again. They will seek to address the challenges
and develop effective change management systems which will help the organization again.
P6
The move to globalize must be inspired of something. Sometimes, for four reasons, the
companies can market itself. First, it can be due to slow domestic growth, as demonstrated by
a reduction of domestic business opportunities. Therefore, by reaching new foreign markets,
a company is searching for other opportunities. Secondly, a trade deficit accompanied by
capital inflows and a range of constraints on exports will occur. Thirdly, the worldwide trade
system can be liberalised further, thereby reducing international barriers to market entry. In
the north, global growth in the international business environment could be more intense
(Flodgren 2016).
The exporting dynamics has established all these patterns. Exports are generated not only
by the corporation's own action plan, as well as by the government. In expectation of
increased national exports, a country's government might believe that its firms can think
globally by expanding their service areas to foreign markets. This would also boost the
country's economy (Flodgren 2016). The motivations studied also included growth motives,
reasons linked to expertise, networks, stoical relations and domestic or regional business
drivers for small and medium-sized internationalisation:
 Growth Motivation - As a driving force of globalisation, the opportunities to growth
related to international markets were recognized. The major driving force for exports
is described as growth prospects in other markets and earnings from foreign

prospects. The business decision often seems driven by the need for corporate growth,
revenues, an increased size of the market, an enhanced market position and a reduced
reliance on a single or limited number of markets. The growth is closely related to
maximizing revenues in buying, manufacture and consumption costs and reducing
costs (Flodgren 2016).
 Expertise-related motivations - Small and medium-sized businesses are pushed into
foreign markets through information assets. The 'press' aspect concerns the
importance of the previous foreign experience of managers and their associated
management capacities. Related studies are also available on the internationalization
of the information dimensions, such as investment in R&D, engineering skills,
innovative technology or product, and the linguistic skills of the organization
(Flodgren 2016).
 Supply Chains - In activating SMEs' first globalization phase, the significance of
channel or social ties and supplier linkages should expand the mechanisms of
internationalisation. The research has shown that soft assets like social and network
resources can stimulate the exportation operation of companies, some of which have
been enabled by the history of immigrant managers and related relations (Flodgren
2016).
 Internationalization (Globalization) Barriers - Not only large groups but also small
and medium-sized entities can become world-wide to recognise the term
"nationalization" as the main goals of the thesis. Therefore, the global expansion of a
SME is certainly beneficial in adding to a country's economy and development. One
thing to note, however, is that not all SMEs are able to grow on foreign markets.
Although they have small or medium-sized groups, the worldwide economy must be
identified with several factors as well as constraints. The obstacles to globalisation,
across domestic and foreign markets, can be divided into five fields: political,
corporate, consumer and corporate-based. It is well known that obstacles to
internationalization could be found at all stages in the internationalization process.
Therefore, depending on the level of internationalization of each organization, the
understanding of barriers can differ in severity (Flodgren 2016).
 Direct Export – Direct export means sales to the importer in another nation through
an exporter, without providing payments to any individual or organisation (Flodgren
2016).
 Franchise – A company that has acquired the right to market another goods and
services: The right to market your company’s products or services to a person or
group: they decided to franchise the shops (Flodgren 2016).
 Licence – Authorization, consent, a certificate specifying that you are eligible or
permitted to act of something (Flodgren 2016).
 Foreign Production – Programs created and sponsored outside the country in
question and not expressly adapted (i.e. subtitled or dubbed) for the internal populace
of the country in question (Flodgren 2016).
 Piggybacking – A low cost entry policy in which two or more companies serve each
other in their respective markets as complementary (but non-competitive) goods
(Flodgren 2016).

 Joint Venture – A joint venture (JV) is a contractual agreement in which two or more
parties’ consent to pool their capital for a mission. This activity will be a new
initiative, or a business (Flodgren 2016).
 Merger & Acquisition - The term M&A relates to the procedure of integrating one
corporation with another. One business acquires the other directly in an acquisition. A
merger is the combination of two companies, which then form a new corporate
structure under a single name (Flodgren 2016).
Conclusion
The impact of deregulation is therefore overall to propel aviation companies to lower costs,
particularly labour costs, and to allow the industry's workers to increase productivity and
boost service quality. (Corke 2006) The main approaches described have significant
consequences for trade unions and industrial relations, as decentralization often contributes to
a separation, unbundled ties entail a redistribution of the obligation for jobs and labour
relations to an external contractor, and disintegration will generally produce a 'peripheral' or
dual workforce under lesser circumstances. The impact of deregulation is therefore overall to
propel aviation companies to lower costs, particularly labour costs, and to allow the industry's
workers to increase productivity and boost service quality. (Corke 2006) The key approaches
described have significant consequences for trade unions and labour relations, as
decentralization often contributes to a separation, unbundled ties entail a redistribution of the
obligation for jobs and labour connections to an external contractor, and disintegration will
generally produce a 'peripheral' or dual workforce under lesser circumstances. Management
approaches would naturally differ by size, network, economic climate, provisions for labour
relations and several other variables. (Corke 2006) But significant differences between
"global" and "non-global" carriers can be expected. In fact, certain organizational classes are
more likely to pursue quality management initiatives, while some face restructuring
opportunities.
References

Jarvis, P. (2014). British Airways. Amberley Publishing Limited.
Corke, A. (2006). British Airways.
Parker, B. (2015). Introduction to Globalization and Business. SAGE.
for, F. (2018). Global Business Environment.
Flodgren, B. (2016). Corporate and Employment Perspectives in a Global Business
Environment. Kluwer Law International B.V.