Scandinavian Airlines - The Evolution Of This Remarkable Company

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There are many fascinating stories of airlines in recent history, and Scandinavian Airlines is one with many twists and turns. When an airline can figure out how to stay in business over multiple decades, than that indicates something motivational. The simplest explanation is that the airline business is one of the most arduous in the world.rnrnIn addition to having to contend with a variety of hassles, you have to handle some constricted profit margins. On the whole, the aviation business is united pretty closely with and conditional upon the intensity of national and global economies. Airline companies go along with business phases during both the affluent and the unfortunate times. So with that said, let us take a look at Scandinavian Airlines and learn more about this unique company.rnrnIt made sense for the Sweden, Denmark, and Norway to form the consortium that became SAS. World War II ended in 1945 and this company was launched on 1 August 1946, one year later. A new sense of renewal spread across the world at the end of WW II and, with this intent, no one was surprised at the formation of this company. After the formation in August of 1946, actual flights were launched on 17 September 1946. The SAS Consortium was put together as a result of other airlines merging with SAS in the 1950s. Each country, after the Consortium was formed and shares were allotted, divided their respective ownership interest half and half with private investors and their governments. SAS was organized into four main divisions, or companies, in 2004, which proved to be a logical and smart move. The four divisions include Norway, SAS international, Sweden, and ownership by Denmark. Any transcontinental flight is handled by the SAS global division. SAS Scandinavian System AB is actually the real name of this company which is in fact no longer in four different parts. To keep confusion at a low, websites still show this company having four separate agencies.rnrnWe are not shy about discussing the smart moves SAS has made over the last several decades. There are however, other non-alliance airlines which must not be forgotten in all of this, since they often share code agreements. Code sharing is simply a legal agreement between two airlines to help each other out. This agreement makes it possible for passengers to fly on either airline with the revenues being passed to the company who holds the ticket or the parent company. Among those airlines with agreements such as these with SAS are United Airlines, Austrian and Lufthansa airlines. Another common occurrence with code sharing is called schedule integration which means fewer missed flights due to connection mishaps. As you would expect with any company that is owned and operated by three separate countries, this can be problematic. Despite the obvious complications that could arise, this company continues to do what it has from the start. Despite its obvious differences with how other airlines are managed, it does well with this precise format. They also have ongoing business contracts that allow them to persevere.

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