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Ibm 1004 Project

There are two main types of air cargo: general cargo and special cargo. General cargo includes most retail goods that don't require special handling, while special cargo covers items like perishables, dangerous goods, live animals, and temperature-controlled items. Common commodities shipped by air include time-sensitive goods, high demand items, pharmaceuticals, medical equipment, animals, and artworks. Competition in the Canadian airline industry is based on factors like network size, operating costs, passenger volumes, and labor prices. Larger airlines have an advantage due to higher customer demand.

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37 views4 pages

Ibm 1004 Project

There are two main types of air cargo: general cargo and special cargo. General cargo includes most retail goods that don't require special handling, while special cargo covers items like perishables, dangerous goods, live animals, and temperature-controlled items. Common commodities shipped by air include time-sensitive goods, high demand items, pharmaceuticals, medical equipment, animals, and artworks. Competition in the Canadian airline industry is based on factors like network size, operating costs, passenger volumes, and labor prices. Larger airlines have an advantage due to higher customer demand.

Uploaded by

Jitender Singh
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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IBM 1004 PROJECT

Market structure and competition in the Canadian Airline Industry:

This section should provide detail on the type of products, commodities and/or goods typically
moved by various airlines carriers. The nature and intensity of competition in this industry should
also be discussed.

History of Canadian Airline Industry:

Types of air cargo:

There are two sorts of aviation freight:

 general cargo
 special cargo.

After then, Special Cargo is broken into smaller specialised sub-groups.

General cargo:
Items that do not fall into the Special Cargo categories and do not require any
additional precautions or special treatment during air transport are classified as
general cargo. Retail and most consumer products (excluding mobile phones,
tablets, and laptops), dry goods, hardware, textiles, and other commodities fall into
this category. Consider your typical household items; the most of them would fall
within the general cargo area.

Special cargo:
Special cargo requires extra requirements than general cargo. It needs special
packaging, labelling, documentation and handling because of product’s nature,
weight and value. While preparing and handling, special requirements must be
followed. The names of items that are moved in this cargo are dangerous goods, live
animals, perishable cargo, wet cargo and temperature controlled etc. The freight of
special cargo is more than the general cargo because it requires extra care during
shipment.

 Temperature control:
Because of the nature of the goods, such as fruits, vegetables, and medical
supplies, items in this category must be kept at a specific temperature (such
as blood supplies, organs or other life science products).
 Dangerous/Hazardous Cargo: 
This category includes flammable, poisonous, radioactive, an explosive and
these types of other goods. These items packed properly and loaded in a
specific place in the plane so that’s why the rates are higher than the general
cargo, especially when these items carried with passengers.
 Live Animals: 
The fastest and safest way to transport animals is via air. Cargo provides
customised animal transportation options, ranging from household pets to
international conservation programmes. IATA's Centre of Excellence for
Independent Validators (CEIV) certification in Live Animals logistics has been
awarded to Live Animals, demonstrating expertise in the transportation of live
animals.

The following are some of the commodities that are commonly transported
using this method:

 Goods that must be delivered quickly

 Goods in high demand

 Urgent mail from across the globe

 Land vehicle spares and spare parts

 aerospace industry spare parts

 Food that spoils

 Fair and event materials

 Plants

 Pharmaceuticals, including drugs, vaccines, and other medical devices

 Animals in the wild.

 High-end items

 Artworks
 Medical equipment and equipment accessories

There are two key considerations to consider when choosing a means of transportation: the
item's value and the delivery speed or duration. Despite the fact that people and cargo are
frequently transported on the same plane, their handling requirements are distinct.

NATURE OF THE AIRLINES INDUSTRY

The airline organization encompasses a broad range of businesses, acknowledged as


airlines, which provide air transport offerings for paying consumers or organization partners.
These air transport services are supplied for every human guests and cargo, and are most
commonly supplied by using way of jets and helicopters.

Intensity of competition in Airline Industry

 Abilities and capacities


Since deregulation, an airline's pricing methods have become critical to its
success. Canadian by roughly As a result, in terms of operational profits,
Canadian has surpassed Air Canada significantly over the last few years.

 Chain of airline

While there are no significant economies of scale in the business, the main
benefits of size come from demand. Consumers like major airlines and are
willing to pay a premium for their services for the reasons outlined previously.
As a result, the airline's scale is a crucial factor in its competitiveness.

 Efficiency of the agency and its shareholders

Neither airline has carried out well in phrases of organization efficiency, as


measured via capacity of internet profits divided by using way of the firm's
capitalization (also recognised as entire asset turnover rate). The foremost
motives consist of the recession, the Persian Gulf Crisis, and the
implementation of the Goods and Services Tax.

 Carriers from Canada and the United States are at odds .

The results of the previous analysis are fascinating and can be used to
compare and contrast Canadian and American airline firms. Working
expenses per output, the number of passengers, and labour prices were once
found to be no longer effective in predicting which airline would be the most
efficient. In the end, the airline with the largest network, which benefited from
higher visitor density economies and strategically placed its aircraft, was the
most efficient.
https://www.iata.org/en/publications/newsletters/iata-knowledge-hub/what-types-of-cargo-are-
transported-by-air/

https://globitexworld.com/what-are-the-different-types-of-air-cargo

https://publications.gc.ca/Collection-R/LoPBdP/BP/bp329-e.htm

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