Task 1

The task 1 of the report gives the comparative analysis of the Linear Air and Hopscotch. The
bases of the analysis fall on the technical grounds, i.e. the speed of the aircrafts, times, fuel
comsumption, and the capacity to carry the number of passengers in it. However, from the report it can
be it observed that both of the airlines, i.e. Linear Air and Hopscotch have comparative advantages
respectively based on their business model. For instane, the business model followed by Linear Air
targets the customers who travels within the radius of 750 kms, while that of Hospscotch targets those
whoe radius is 250 kms. The capacity to carry people on the board of these two airlines is also different,
i.e. 9 is of the Linear Air and 3-4 is of the Hopscotch. Linear air, as a matter of fact, opted the idea of
having the VLJ (Very Ligh Jet) in order to offer the conveninet servie to their passengers, whereas the
Hopscotch employes Cirrus SR22 aircrafts, due to its ability to save cost as compared to VLJ. From the
holistic point of view, both of the shorthaul aircarries focuses on their respective target markets, and
made their selection based on the needs identified within their strata of market.
The very theme of the authors of the report was to show how each of these air taxi servies swap
collaborate and offer the desired service to their end customers. For instance, it has can be inferred
from the text of the task, that with the amalgamation of Linear Air and Hopscotch, the customer of
Linear can now choose their destination within 250 kms by through Linear Air which ultimately avials
the Hopscotch services, and similarly, customer of Hopscotch can choose their destinatination within
the radius of 750 kms by order AirLinear Service from the website of Hopscoth. This strategic business
alliance, as can seen from the task, is one of the dynamic appraoches. From the crtical point of view, the
task still lacks on some of the grounds, for the instance it fell behind in discussing how the using the
service interchangeably can benefit the businesses of Linear Air and Hopscotch, because there are still
chances that the with the entrance of a new air taxi service within the industry, the overall
circumstances can be exploited. Moreover, the report also lacks the discussion on the sustainability of
this strategic alliance, because there are chances that with ineffictive service of each of the airlines, the
customer base of their respective airline can be exploited, for instance, the Linear Airs level of service
provided to Hopscotch customers will ultimately affect the Hopscotch because the origin of customer
base belongs to it and vice versa for Linear Air. Although, the task 1 greatly discussed the technical
grounds of the business model followed by both of the air taxi services, but discussion was still needed
regarding the sustainability of the service provided by both of these airlines along with the selection of
alternative options rather than joining hands with the competitors.

Task 2
The task 2 sheds light on the overall external environment of the airline industry, specifically the
air taxi services in both UK and US. The PESTLE analysis cover the external forces with great depth.
However, over the time, many of the regulations have been passed that fostered the notion of air
services into these regions and across the globe. From the political point of view the governmental
regulations are supportive for the new entrants as well as the existing players in the industry. The heavy
taxes are imposed on the aircarries that travel outside their country boudaries, which does not affect
the air taxi industry due to its shorter routes. The task two greatly focuses on each of the six domains of
PESTLE analysis, i.e.e political, economic, social, technological, legal, and environmental. Terrorism has
been the prime element of this political aspect of for the air taxi industry. On the other hand, from the
economic point of view, the recession has been termed as the prime element that could affect the
overall profitability and the demand of the air taxi industry, along with the rising cost of the fuel.
Additionally, the task also covered the social element, since the air taxi is meant to provide the service
to few of the passengers at a time, so this can cause an issue of acceptibility, where the people might
find it difficult to travel with an stranger. Regarding the technology, which by and large, gives positive
boost to the airline industry due to its role in streamlining each of the activies invovlved. In fact, the
environmental issues regarding the aircrafts is a long debated concern, which has been put into the
limeligh over the the time, is also discussed in this section. Finally, the legal requirement of both UK and
US allows the new entrants to play their gamein the airline ndustry.
Although, the discussion covered some of the major parts regarding the external analysis, yet
there are still some of the aspects that have been missing in, such as the the deregulation of the airline
industry in Europe in 1997 through the announcement of a final package pertaining to routes, airport
access, market entry, fares, rights of passengers etc. In fact, the model followed by Linear Air is
somewhat similar to that of all other similar service providers in the industry, which gives no
competitive advantage to the airline, yet the resemblance of this scenarion would have been disccusedi
in relation to the airline deregulation act that has changed the paradigms of the airline industry. For
instance, the overall airfares declined at a drastic rate, the right of passenger was endorsed forther to a
higher level, acces to the airline market become more feasible for medium level invester, each of these
would be been beneficial in this context, if have been discussed. Overall the competition into the airline
indsutry, has transformed the business dynamics of the Linear Air, but the report lacks the reasons
beind this notion, for instance, it discusses the acquisiont of VLJs but have fell behind to discuss the
prime causes that compelled the industry players to react with such pace. In this regard, the role of free
airline deregulation of the 1997 is the prime cause. For instance, these regulations has enabled many of
the players to test the grounds and to exploit the set traditions and thus have became the torchbearer
of the change. All in all, the major element of the discussion has been missing in this context, which
otherwise would have made it a rich piece of information.

Task 3
This section of thereport covers the areas in terms of the strategies followed by Linear Air
according to its mission and vision statements. In fact, the customer is the core in this regard. One of the
significant aspect here is to consider that the internal business model adopted by Linear Air is far
different from the rest of the air taxi industry, which make it unable for the other industry players to
become the active competitors of Linear Air. The reason behind this assertion is that most of the
competitors target those passengers who can afford the expenses for travellign by air to reach their
destinations, in contrast to this, linearair focuses on the