Industry, Domestics and Global Environment for the Company
The US Airways group is a holding corporation that was established in 1939 and is based in the United States of America. US Airways operates within the airline industry and owns some other aviation companies such as Piedmont Airline, and PSA Airlines Inc. (Drocton, 2014). The company stopped working independently on April 8, 2015, after the federal air management approved a single operating license for both the American Airlines and U.S Airways (Belobaba, Odoni & Barnhart, 2016). In February 2013, US Airways and American Airlines declared plans to amalgamate, forming the leading airline globally. A global environment for the company is the United Arab Emirates. It is a central monarchy in the western part of Asia which shares borders with countries such as Saudi Arabia, Iran, and Qatar.
Characteristics of the New Global Environment
US Airways will do better and achieve significant growth and realize an increase in its revenues through conducting business in the United Arab Emirates. Besides, certain characteristics of the environment in United Arab Emirates will be favorable to the business of U.S Airways. First, the United Arab Emirates have infrastructures that are properly established, a sound system of banking and a safe system of politics. According to Peterman (2014), the country offers a tax promising environment for a majority of the companies and businesses. As a result, US Airways may generate more revenues in the long run from its operations in the country. Further, unhindered repatriation of capital, as well as income, is possible because there is an absence of restrictions on exchange control in the United Arab Emirates. Decisively, the country offers a safe and protected environment for both families and the workforces with the rate of crimes in the country being among the lowest worldwide. As such, this provides a friendly environment for business to thrive. Finally, there are very many expatriate employees in United Arab Emirates employed in different spheres of the economy. Therefore, workers warrant a continued flow of labor which ensures that the operations of the corporation continue uninterrupted.
Barriers in the New Global Country/Environment
There are several barriers predominant in United Arab Emirates that may adversely affect business. First, there are differences in the mode of communication in the country. For example, various meanings of no and yes may be highly different from their individual cultures. Secondly, timekeeping in the United Arab Emirates is perceived with a much-unperturbed attitude compared with countries such as the United States. Citing Belobaba, Odoni and Barnhart (2016), religion in the United Arab Emirates is central in the way of life of people. Besides, Islam plays a critical role in the day-to-day lives of the citizens in the workplace as well as outside. As such, failure to respect and observe the customs of Islam may negatively affect the business and adversely impact the revenues of the company
Solution to Barriers
To ensure that the growth of the company is not negatively affected, the management of the corporation should adopt strategies to overcome obstacles prevalent in the United Arab Emirates. Therefore, the company should conduct critical ethnic teaching programs which help workers in the company nurture their level of responsiveness and knowledge of the variances and difficulties of undertaking trade in the United Arab Emirates. Drocton (2014), asserts that the company should offer more job opportunities to the citizens of the country. Finally, the Islamic cultures should be highly respected and observed by the employees as well as the management team of the company to achieve success and growth.
Belobaba, P., Odoni, A. R., & Barnhart, C. (2016). The global airline industry. Chichester, West Sussex, United Kingdom: John Wiley & Sons Ltd.
Drocton, M. (2014). Searching for the sweet spot: an analysis of the American-US Airways merger. Case W. Res. L. Rev., 65(2), 487-504.
Peterman, C. A. (2014). The future of airline mergers after the US Airways and American Airlines merger. Journal of Air Law & Commerce, 79, 781-817.
Do you need an Original High Quality Academic Custom Essay?