Airline Start up is hard issue for investors, today airline try to survive in this high competitive industry, this presenting address new tools that guide and put airline in the right way

1. Introduced By: Mohammed Salem Awad Standout From the Crowds Airline Startup

5. Airline Startup RIGHT CAPACITY ( Right Aircraft ) f = Size of Traffic Passengers – Point to point Applied Market Fare Network Structure – Stage Length Cost of ASK or ATK

7. Airline Startup Optimum Solution Curve if the thump define by 32 Characters And the Eye define by 510 characters Then what are the main factors that characterize the airline ?

8. Airline Startup Optimum Solution Curve Optimum Solution Curve of an Airline Can characterize by Market Demand Applied Fare Stage Length It can represents by Two factors 1- Capacity ( seat ) 2- Cost per ATK

9. Proposed Network Structure (Point To Point)

10. Kuwait Airport ( Hub ) Input : 10 % Market Demand Applied Market Fare Distance Between Cities

11. Kuwait Airport ( hub ) Input : Size of Market: “Kuwait airport” 10 % of total Market. Market Fare Applied Proposed stage length While cost is used as step function

12. Kuwait Airport ( Hub ) Outbound Developing Optimum Solution Curve : Input Data Pax Fare Distance

13. Kuwait Airport ( Hub ) Developing Optimum Solution Curve : Using Cost per ATK as step function i.e: 0.1 , 0.2, 0.3 …..0.8 And plotting the corresponding optimum capacities, then add trend line to reflect the optimum solution curve Result : 1- 0.28 cost tend to low cost Model ( 220 seat ) 2- at 0.4 ( global value ) it will reflects greater capacity

14. Developing Competitive Fare Strategy ( at 0.4 ) Prepared By: Mohammed Salem Awad

15. Effects of Changing Fares On Capacity Prepared By: Mohammed Salem Awad

16. Effects of Changing Fare On Capacity Airlines can be react on the fare of low cost carries by study the previous graph, i.e by considering a lower unit cost of ATK, and adjusted Aircraft configuration/ seats to meet the right capacity needed. Also the previous graph indicates the high yield sectors.

17. Redefining Proposed Network Redefining the network by implementing the ideas of combining many sector to maximums the profits And that can be done 1- One Stop Operation 2- Two Stops Operation 3- Three Stops Operation While these routes involves in the analysis should be omitted from point to point analysis

18. Max Profits in Multi stops operation Whence we decide the type of aircraft, it will characterize by its cost per ATK and seat capacity, While the demand of each sector, implemented Market Fare, and Distance between sectors are used as input

19. Max Profits in Multi stops operation Solver : the objective of solver program is 1- Maximize profits 2- Minimize cost or Errors ( U curve ) 3- Develop a Budgeting in Finance

20. Max Profits in Multi stops operation Using Solver

23. Contact Further Information: Mohammed Salem Awad : Tel: 00967 734777518 Email: smartdecision2002@yahoo.com www.freewebs.com/wingsofwisdom/ www.freewebs.com/art-of-knowledge/ www.standout-from-the-crowds.webs.com