Title: Analyzing a case
Summary
With academic qualification on management and vast experience in aviation industry after working as analyst for National Aviation Corporation and Texas international Airline, Donald Burr started People Express Airline in 1981. Two years later, People Express (PE), was cited as the model of a highly innovative and successful business venture (Holland, 1990). In 1985 the companys annual revenues averaged $1 billion. However, toward the end of 1986, PE started to experience financial problems and was facing bankruptcy. As result Burr, sold his Airline to Texas Air Corporation bringing to an end to wonderful venture.
People Express strategy was to provide outstanding service by highly motivated people by offering unrestricted and convenient flight schedule at reduced prices. Burr took management from a different angle from what was happening in the American aviation industry during Peoples Express inception. According to him he wanted to provide better and cheaper services and reward people; employees as he commonly referred them as. By building a better organization in the name of People Airline, Burr demonstrated or introduced a new and yet better way of managing not only on airline industry but other businesses. AIDitionally, there was a mixture of leadership and freedom. People were allowed to made decision on their own without consulting as long as they were consistent with the companys objectives.
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