Few inventions have changed how people live and experience the world as deeply as the invention of the airplane. During the both World Wars, government subsidies and demands for new airplanes vastly improved techniques for designing and building them. Following the Second World War, the first commercial airplane routes were set up in Europe. The industry has progressed to the point now where it would be hard to think of life without air travel. It has shortened travel time and altered our concept of distance, making it possible for us to visit and conduct business in places once considered remote.
If the airline industry could be described in three words, they would be "intensely competitive market." In recent years there has been an industry-wide shakedown will have far-reaching effects on the industry’s trend towards expanding domestic and international services. Originally, the airline industry was either partly or wholly government owned. This is still true in many countries, but in the United States all major airlines are private.
This airline industry is classified into four categories by the Department of Transportation (DOT): International - 130+ seat planes that have the ability to take passengers just about anywhere in the world. Companies in this category typically have annual revenue of $1 Billion or more. National - usually these airlines seat 100-150 people and have revenues between $100 million and
$1 billion. Regional - companies with revenues less than $100 million that focus on short-haul flights. Cargo - these are airlines whose main purpose is to transport goods.
Airport capacity, route structures, technology, and costs to lease or buy the physical aircraft are significant in the airline industry. Other large issues are: Weather - The problem is that weather is variable and unpredictable. Extreme heat, cold, fog, and
snow