Continental Airlines and United Airlines Merger

In: Business and Management

Submitted By tiger2099
Words 2940
Pages 12
Continental Airlines and United Airlines Merger

Tony McDougal

December 2, 2012

Professor Bates

Abstract

This paper explains the challenges faced by two major U.S. airlines, United and Continental airlines in an attempt to merge, and form the world's largest airline based in the United States. This consideration is based in relation to the movement of passengers via air traffic. The airline merge occurred in order for each airline to survive and be competitive within the airline industry. The paper explains briefly the reason for this merger, the strategy it used and went through to accomplish the merger. It also explains some pros and cons the merger and management faced. It explains the vision of the newly created company in reference to where they want to be in the future and the profit of revenue they foresee to earn with this merger. This paper outlines the structural change the new United Airlines came up with after the merger took place and how both United and Continental Airlines management, employees, and customers adapted to the merge.
Continental Airlines and United Airlines Merger The merger of United and Continental airlines that was under way in 2008 formed the third’s world largest airline. This merge occurred during the decrease of air travel from heightened security measures against terrorism and high fuel costs. During this time, the United States government also tried to help by giving the airline industry monetary bailouts so that the industry would remain solvent. 1. Executive Summary a. Describe the organization or organization unit:

United Airlines considered the world's largest airline is the result of the merger between United and Continental Airlines. This new company has the name United Continental Holdings, and will remain a member of Star Alliance (the most comprehensive…...

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