The purpose of this book is twofold. First, it lays out the forces that shaped the international aviation industry and that changed all the rules in the drive for liberalization. Second, it looks at the many interesting and difficult choices ahead that the airline industry in general and the international aviation industry in particular face. These choices include many dichotomies: pulling back from the trend toward liberalization or embracing the liberalization trend, merging in search of profitability or fragmenting the industry in search of economies. These possible futures are explored including the pros and cons of each future from a national, consumer, employer, and employee perspective. Evolution of International Aviation is organized into three parts: Part One reviews the early development of the international aviation system. It examines the 1944 Chicago Conference, and the resulting structure and role of ICAO; the development of the International Air Transport Association, and its role in shaping the international aviation system; US domestic deregulation and European efforts to create a free market system of aviation; deregulation in Asia. Part Two examines the alliance movement among international air carriers, the growth, opportunities, and challenges of alliances. Part Three considers the future of international aviation in light of changes to the landscape, reviewing relevant events from an aviation system perspective. It explores the challenges facing the industry in the current era and discusses some of the brave new possibilities for international aviation. This second edition of the book is thoroughly revised and updated from the 2003 original, in light of many significant developments in (and affecting) the industry, such as the mixed ability of sectors to recover from 9/11, the establishment of the low cost carrier, the consequences of rising fuel costs (now the single greatest expense to airlines) and growing concern with the environmental impacts of air transport. The book also features all-new chapters on the key topics of manufacturing, the environment and air cargo. Overall the second edition's perspective has expanded from a focus on airlines to consider the broader aviation industry. Because this book is intended for both the interested amateur and the more serious student, references are provided in the text and at the end of each chapter to allow for further in-depth study.
