Two of the most dominant US-based airlines will not take off on the same course towards profitable growth, giving its competitors some serious heartburns.
Getting approvals of federal regulatory bodies can deter companies in the US from forming strategic alliances or implementing profitable business measures. Doing business in the US might appear lucrative at the onset, but several enterprises have crumbled under mounting pressures of processing legislative approvals within due course of time. Meeting deadlines for businesses might not be as prioritized by US companies as they do when it comes to getting their business plans sanctioned and “Okayed” by concerning administrative authorities. Some of the most powerful business corporations operating in the US and across the globe had to wait in the approvals pipeline of the country’s strict and stringent business monitoring system. And, with the censuring watch of President-elect Donald Trump, which is yet to be instated, passing clearance from the US authoritative bodies might be an uphill battle, in itself!
So, people associated with the business of Virgin America and Alaska Airlines must be relieved to know that the airlines corporations are permitted for a merger. The Department of Justice in the US has recently approved the merger of the country’s two dominant commercial airline players, clearing their way to an unforeseen yet promising future in the US airtravel industry. Merger of Virgin America Inc. and Alaska Airlines is expected to ramp up business for both the companies during many yet-to-come Christmas seasons. Impending holidays are likely to be fruitful for both companies, in terms of revenues. But, with a strategic give-and-take among them, customers of Alaska Airlines as well as Virgin America are likely to opt for more airtravel through flights operating under these companies.
The US Department of Justice has not only approved the merger of Virgin America and Alaska Airlines, but has now recognized International Association of Machinists and Aerospace Workers (IAM) as a Union Representative. The IAM confederation is now a legislative representative in the US government on behalf of thousands of its airline employees. The members of IAM include fleet service personnel, store employees, passenger service attendants, officer and clerks, among others. Furthermore, the inclusion of Virgin America in the IAM family is expected to exponentially rev up the revenues of airlines business accounted by the association.