Threats and Opportunities facing the Aviation Industry

The biggest threat facing the aviation industry is security. The speedy rise of terrorism activities is putting the safety of airlines in a very hot spot. The customers are very worried about their safety issues and this is impacting negatively on the businee e. g. the September 11 bomb, the current war in Iraq and Afghanistan and the SARS virus in the continent of Asia. Another big threat affecting the Aviation Industry is the changing climate conditions. The most recent being the eruption of a Volcano in Iceland that spread the volcanic ice in the skies.
This forced the cancellation of all flights in the world for almost a week leading to airlines loosing a lot of money. Thirdly the ever increasing prices of fuel is costing airlines millions of Dollars for their flights are always booked in advance thus difficult to pass the cost to the consumer. Also the airlines are being charged high insurance premiums by insurance companies inhibiting their growth. Lastly, no one can ever forget the worst global financial crisis that the world faced.
This affected the aviation industry due to reduced booking of business flights and other types of flights (Australian Airport Association, 2006, pp 34). According to International Airport Association (2005), their biggest opportunity could be the diversifying of products thus offering both flying and non-flying services. This will help it still remain in business at times when flying is impossible. The ever advancing technology can also be used to the advantage of the aviation industry.

The company could invest more in better security systems that could help detect terrorists on flights thus beefing up security. The organization can also improve in areas of detecting when the flight is at risk of crashing and be able to advice the pilots accordingly. References Bumbaru, D. 2003. Heritage at risk: ICOMOS world report 2002/2003 on monuments and sites in danger. K. G Saur, Indiana University. Australian Airport Association. 2006. Aviation Business Margazine. Yaffa Pub, Group, Australia. International Air Transport Association, 2005.
World air Transport statistics, International Air Transport Association, the University of Michigan. Glasson, B. 1994. Business process re-engineering: information systems opportunities and challenges: proceedings of the IFIP TC8 Open Conference on Business Process Re- engineering: Information Systems Opportunities and Challenges, Queensland Gold Coast, Australia. Elsevier, Australia. International Council of Monuments and Sites. 2003. Heritage at risk: ICOMOS world report 2002/2003 on monuments and sites in danger. .K. G Saur, Indiana University