t rP os W13320 ORLANDO INTERNATIONAL AIRPORT: LANDING INTERNATIONAL AIRLINE BUSINESS1 Ilan Alon, Meredith Lohwasser and Jennifer Dugosh wrote this case solely to provide material for class discussion. The authors do not intend to illustrate either effective or ineffective handling of a managerial situation. The authors may have disguised certain names and other identifying information to protect confidentiality. op yo This publication may not be transmitted, photocopied, digitized or otherwise reproduced in any form or by any means without the permission of the copyright holder. Reproduction of this material is not covered under authorization by any reproduction rights organization. To order copies or request permission to reproduce materials, contact Ivey Publishing, Ivey Business School, Western University, London, Ontario, Canada, N6G 0N1; (t) 519.661.3208; (e) cases@ivey.ca; www.iveycases.com. Copyright © 2013, Richard Ivey School of Business Foundation Version: 2014-02-05 tC On a sunny Florida afternoon in 2012, a group of local business people contemplated the state of foreign investment and business in Orlando through Orlando International Airport (MCO). Understanding Orlando’s foreign direct investment position was very important for the airport. Orlando’s international experts and organizations attracted foreign investment to the Greater Orlando Area, which brought more business through the airport and created greater potential for direct flights between Orlando and foreign companies’ countries of origin. Also affecting the decision for foreign companies to set up business in Orlando were variables such as perceptions of the city, its reputation, economic indicators, exports, imports and quality of life. How could Orlando attract more business through the airport? More importantly for MCO, which factors were most important for determining both the countries to pursue for direct flights and how best to attract the appropriate airlines to offer direct flights? ORLANDO INTERNATIONAL AIRPORT No Orlando International Airport was the 13th busiest airport in the country and the 29th busiest airport in the world.2 With four parallel runways and 96 gates, MCO was capable of handling the largest aircrafts and was larger geographically than Miami International Airport (MIA), Los Angeles International Airport (LAX), and John F. Kennedy International Airport (JFK) combined.3 More than 30 domestic and international airlines serviced the airport. Total airport revenue was diversified, which allowed one of the lowest costs per passenger of the major airports in the United States.4 Do A group of local business people wanted the airport to continue to attract new airlines and to expand its services to new regions and countries. Orlando’s reputation as a tourist destination and the presence of international companies and large domestic companies contributed to and supported the airport’s business case to attract particular airlines to the area. As the airport pursued different airlines in different regions of 1 This case has been written on the basis of published sources only. Consequently, the interpretation and perspectives presented in this case are not necessarily those of Orlando International Airport or any of its employees. 2 World City Information, “Orlando,” www.city-infos.com/orlando/, accessed on June 27, 2012. 3 Orlando International Airport Report, 2012. 4 Ibid. This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 2 rP os the world, other variables also became important, such as growth of travel between Orlando and a particular region, underserved markets, and time and cost savings. ORLANDO IN A NUTSHELL Orlando’s history dated to 1838, when the U.S. Army built Fort Gatlin to protect settlers from attacks by Seminole Indians during the Seminole Wars. First known as Jernigan, after the family who established the first permanent settlement, the community was renamed Orlando in 1856, and the Town of Orlando was incorporated in 1875.5 op yo The citrus industry spurred development in the 1880s, as better transportation was necessary to move the goods to market. Between 1910 and 1920, the population doubled, and the community experienced a building boom and grew to become a major city.6 In the early 1920s, millions of immigrants, speculators and builders descended into Central Florida in pursuit of land. Land speculation spiralled out of control, but the bubble burst in 1926, when construction slowed and many left Florida for the North. Then in 1929, the stock market crash ruined Orlando’s economy entirely. President Roosevelt’s New Deal programs and the beginning of World War II brought Orlando’s economy back to life. Florida’s population increased by 79 per cent during the 1950s; in the 1960s, the new government space industry helped to fuel the economy. In the 1970s, Walt Disney World (Disney) opened, attracting 20 million visitors in its first two years. Other attractions began to call Orlando home: SeaWorld in 1973, and Universal in 1990.7 In 2010, the city of Orlando had a population of 238,300 making it the 79th largest city in the United States. The Greater Orlando Area had a population of 2,134,411 and was the 27th largest metro area in the United States.8 No tC Orlando was perhaps best known for its extensive tourism industry. On October 1, 1971, Walt Disney World’s Magic Kingdom and two hotels opened in Orlando, setting the tone and the base for the area’s infrastructure. Over time, Disney expanded its operations; in 2011, Disney was responsible for $18.2 billion9 in economic activity in Florida, 2.5 per cent of Florida’s gross domestic product, ties to one of every 50 jobs in Central Florida and comprised 6 per cent of all jobs in Central Florida.10 As a premier travel destination featuring a host of world-famous theme parks and attractions, accommodations, worldclass airports and one of the largest convention facilities in the nation, Orlando attracted more than 50 million visitors each year (see Exhibit 1). Visitors to Orlando came from all over the United States and internationally (see Exhibit 2), including Canada, and the United Kingdom.”11 In 2010, 51.5 million visitors spent $28.3 billion in the Metro Orlando area. This area included 453 hotel properties with 116,534 rooms and $13.4 billion annual earned wages. Tourism accounted for more than 216,000 direct industry jobs and 24.4 per cent of private employment in the Metro Orlando area.12 5 City of Orlando, “City of Orlando’s History,” www.cityoforlando.net/cityclerk/history.htm, accessed on May 30, 2012. City-Data, “Orlando: History,” www.city-data.com/us-cities/The-South/Orlando-History.html, accessed on May 30, 2012. Frommers, “History,” www.frommers.com/destinations/orlando/0022020044.html, accessed on July 11, 2012. 8 World City Information, “Orlando,” www.city-infos.com/orlando/, accessed on June 27, 2012. 9 All currency amounts are shown in U.S. dollars unless otherwise noted. 10 P. Ling, “Disney’s Economic Impact on Florida,” Uptake, April 25, 2011, http://travel-industry.uptake.com/blog/2011/04 /25/disney-economic-impact-florida/, accessed on June 2, 2012. 11 Visit Orlando, “Orlando Visitor Statistics,” http://corporate.visitorlando.com/research-and-statistics/orlando-visitorstatistics/, accessed on June 2, 2012. 12 VisitOrlando, “State of the Market,” 2012, http://corporate.visitorlando.com/includes/content/images/media/docs/ State_of_the_Market_Apr2012.pdf, accessed on May 30, 2012. Do 6 7 This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 3 rP os Although tourism was admittedly the reason the area was so well known, Orlando was also home to many other businesses and industries. According to Michael Shiffhauer, executive vice-president at Enterprise Florida, a Florida business opportunities centre: Orlando should be known for a variety of things: tourism, of course, but also the space program, the simulation training industry, agriculture, the airport, the convention center. It should be known for business as well, but there is a lot here that doesn’t necessarily get conveyed. The message is not getting out and there is a lot that is not being told.13 The featured industries in the Orlando area included the following: Technology – The region’s second largest industry was technology: “Orlando boasts a high-tech ecosystem that has been building here since the 1960s, and which today is a strong technology industry of 2,600 companies that employs more than 42,000 people. An established technology sector means that companies growing or relocating to the area have immediate access to a high-tech infrastructure that has been in place for decades. This [infrastructure] includes immediate access to a tech-savvy workforce, renowned university research and development, unique partnership opportunities, and a wide variety of organizations and facilities dedicated to helping technologydriven companies flourish.”14 Defence – Companies such as Lockheed Martin and Siemens had located facilities in Orlando. Healthcare and Medical City – Healthcare had a major presence in the Greater Orlando Area. Lake Nona medical city was a $2 billion medical campus that included a medical school, research laboratories and hospitals. Countless other hospitals had established operations in the area: Florida Hospital, Nemours Children’s Hospital and Orlando Regional Medical Center with its subsidiaries Arnold Palmer Hospital for Children and Winnie Palmer Hospital for Women and Babies. Modelling, Simulation and Training – The simulation and training industry in Orlando was the largest cluster in the country. According to Thomas L. Baptiste, president and executive director of the National Center for Simulation, “Orlando and Central Florida are the epicenter for modeling and simulation. When you combine the power of the Research Park, close ties between a world class university, industry, and Team Orlando you produce a synergy found nowhere else in the world. Companies who want to be serious players in the modeling and simulation industry need to consider focusing their efforts on Orlando and Central Florida.”15 The simulation and training industry in Central Florida was comprised more than 100 companies, 12,500 direct employees and $3 billion in gross regional product.16 As the plans for the medical center proceeded, potential for medical simulation was also growing. Space – Located just east of Orlando, the John F. Kennedy Space Center was “the nation’s gateway to exploring, discovering and understanding our universe.” Although the space program ended in 2011, Kennedy Space Center continued “to make history as America’s spaceport,” as it entered the new era of commercial space flight.17 op yo No tC Do Another important part of Orlando’s economy was its exports. Florida was the fourth largest exporting state in the United States, after Texas, California and New York, with exports reaching $64.8 billion in 13 M. Schiffhauer, personal interview, May 2, 2012. Metro Orlando Economic Development Commission, “Top 10 Reasons,” www.orlandoedc.com/About-MetroOrlando/top10reasons.shtml, accessed on July 12, 2012. 15 Metro Orlando Economic Development Commission, www.orlandoedc.com/Industry-Strengths/Modeling-SimulationTraining/, accessed July 8, 2013. 16 Metro Orlando Economic Development Commission, “Modeling, Simulation & Training,” www.orlandoedc.com/IndustryStrengths/Modeling-Simulation-Training/, accessed on June 3, 2012. 17 Kennedy Space Center, www.kennedyspacecenter.com/ accessed on June 28, 2012. 14 This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 4 rP os 2011. Florida also had the highest trade surplus among all U.S. states. International business and foreign direct investment in Florida sustained nearly one in six jobs with exports projected to double by 2014.18 A branch of the World Trade Center was located in Orlando; the organization brought business and government agencies involved in international trade together to promote and enhance the Orlando economy. op yo In addition to diverse industry presence, the Greater Orlando Area was also diverse in terms of people. The Orlando MSA had a total population of 2,134,411; 10.45 per cent from Latin America first, then 2.65 per cent from Asia, 1.86 per cent from Europe, then 0.57 per cent from Africa.19 In Forbes magazine’s 2011 list of Best Cities for Minority Entrepreneurs, Joel Kotkin wrote “As the American economy struggles to recover, its greatest advantage lies with its diverse population.” The Orlando-Kissimmee metropolitan statistical area (MSA) ranked ninth on the list.20 Hispanics made up 22 per cent of the population in the area, which had attracted more than 20,000 Hispanic-owned business operations to Orlando. One out of every six people in Orlando was born outside the United States, the majority from Latin America.21 FOREIGN BUSINESS PRESENCE IN ORLANDO Identifying foreign companies doing business in Orlando was important for MCO, as it indicated traffic between Orlando and foreign countries and potential underserved markets. According to a foreign direct investment study of the Greater Orlando Area, 312 foreign companies conducted business in almost 800 separate locations across Central Florida’s seven-county area of Brevard, Lake, Orange, Osceola, Polk, Seminole and Volusia.22 tC The foreign companies engaged most often in manufacturing, services, wholesale trade and retail trade (see Exhibit 3 and Exhibit 4); in fact, over 75 per cent the foreign-owned companies in the Greater Orlando Area were involved in the following four sectors: No Manufacturing (88 firms) Services (64 firms) Wholesale Trade (49 firms) Retail Trade (35 firms) More than 30 foreign countries had a business presence in Orlando. More than three-quarters of the foreign-owned companies were from the United Kingdom, Germany, Japan, Canada, France and Switzerland (see Exhibit 5): United Kingdom (60 firms) Germany (51 firms) Japan (37 firms) Canada (32 firms) Do 18 Enterprise Florida, “Florida’s 2011 Merchandise Trade & Florida-Origin Exports,” 2012. Metro Orlando Economic Development Commission, “Diversity in Metro Orlando,” www.orlandoedc.com/core/fileparse.php/98857/urlt/Demographics_DiversityinMetroOrl_2010.pdf, accessed on June 3, 2012. 20 Joel Kotkin, “The Best Cities for Minority Entrepreneurs,” March 31, 2011, www.forbes.com/sites/joel kotkin/2011/03/31/the-best-cities-for-minority-entrepreneurs/, accessed on June 3, 2012. 21 Metro Orlando Economic Development Commission, “Orlando’s Diversity Provides a Competitive Advantage,” www.orlandoedc.com/News/2008/11/orlandos_diversity_provides_a_1.php, accessed on June 2, 2012. 22 Research conducted by authors. 19 This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 France (21 firms) Switzerland (19 firms) Ireland (11 firms) Italy (10 firms) Sweden (10 firms) DOMESTIC COMPANY PRESENCE IN ORLANDO rP os 9B13M070 t Page 5 op yo Business in Orlando often revolved around the “Four D’s” — Disney, Darden, Defence and Development. Disney’s development over time had provided the city with its international reputation as a tourist destination. Darden, the world’s largest full-service restaurant company, was headquartered in Orlando. The business represented several brands that were recognized internationally: Red Lobster, Olive Garden, LongHorn Steakhouse, the Capital Grill, Bahama Breeze, Seasons 52 and, more recently, Eddie V’s and Yard House. The company owned and operated more than 2,000 restaurants and employed more than 180,000 people.23 Orlando’s defence industry had a gross regional product of $3 billion; such companies as Lockheed Martin, Northrop Grumman and Booz Allen Hamilton had operations in Orlando. Hand in hand with the defence industry was development, particularly modelling, simulation and training (MS&T), which was prevalent in the Greater Orlando Area. MS&T was also expanding into healthcare: With our region’s strong reputation for MS&T and the emerging life sciences cluster with the Lake Nona Medical City and two of the nation’s top healthcare systems, Florida Hospital and Orlando Health, Metro Orlando has seen a merging of these two industries into the medical simulation sector which holds great potential for the region to be a leader.24 tC A similar study of domestic companies in the Greater Orlando Area had identified 1,719 domestic companies in nearly 2,200 separate locations across the six-county area of Brevard, Lake, Orange, Osceola, Seminole and Volusia.25 The most common industries in the Greater Orlando Area were services, retail trade and public administration; however, services represented more than half of the 1,719 companies. In total, services, wholesale trade and public administration represented nearly 75 per cent of all companies: Services (897 firms) Retail trade (225 firms) Public administration (159 firms) No Do The same study also identified the largest 100 domestic companies by employment and the largest 100 domestic companies by sales volume. Forty-nine companies held a place on both lists. Of these 49 domestic companies, more than half operated in the service industry, 14 per cent operated in manufacturing and 12 per cent operated in finance, insurance or real estate; these industries represented more than 80 per cent of the 49 companies (see Exhibit 6): Services (27 firms) Manufacturing (7 firms) Finance, insurance and real estate (6 firms) 23 Darden, “Our Brands,” www.darden.com/restaurants/, accessed on July 10, 2012. Metro Orlando Economic Development Commission, “Orlando’s Defense Industry Continues to Grow,” www.orlandoedc.com/News/2012/06/orlandos_defense_industry_cont.php, June 4, 2012, accessed on July 10, 2012. 25 Study conducted by authors. 24 This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 6 MIAMI INTERNATIONAL AIRPORT rP os Roughly 43 per cent of these companies had business relationships with varying countries, including operations, franchises, distributors and business interests. The most prominent countries were Canada, United Kingdom, Mexico, Germany, France and Japan. op yo Miami International Airport (MIA), located approximately 360 kilometres (225 miles) south of MCO, was one of the busiest airports in the world, ranking 28th in the world for total passengers (see Exhibit 7). More than 80 airlines serviced MIA, nearly 50 more airlines than were serviced at MCO. Miami had a huge presence in the international marketplace. In 2010, Miami was the second busiest airport in the United States for international passengers, behind only JFK in New York. Orlando was 15th on that list. Miami was well-connected to Latin America, offering direct flights to many cities in Central America, South America and the Caribbean. Direct flights to popular Canadian and European cities were also available.26 MIA was ranked 27th in the world in total international passengers, behind such international cities as London, Paris and Hong Kong.27 As a result of these statistics, Miami posed a real competitive threat to MCO, as many travellers were willing to travel the 360 kilometres (225 miles) to bypass a connecting flight to an international city. TAKING OFF INTO THE FUTURE To pursue the regions, countries and airlines with the most potential and greatest benefit to MCO, airport management needed to evaluate the following key factors and variables: tC Passenger traffic at MCO Foreign companies operating in Orlando Number of employees Sales volume Industries represented Diversity of Orlando (in terms of population) Lack of airline service (or underserved markets) International locations where Orlando’s large domestic companies conducted business No Do Surrounded by data, the executives set out to answer the key questions for success: What two or three industries should MCO focus on attracting to Orlando? What countries were the dominant players in these industries? How could MCO use this information to meet MCO’s real need: more airline business and more direct flights? Wrapping up the meeting, the executives considered what they needed to get the new ideas off the ground. 26 Miami International Airport, “Airport Statistics,” www.miami-airport.com/airport_stats.asp on Feburary 21, 2013. Miami International Airport, U.S. and Worldwide Airport Rankings: Passengers and Freight, 2010, www.miamiairport.com/pdfdoc/Rankings-2010.pdf on February 21, 2013. 27 This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 7 Visitor Volumes (millions) rP os EXHIBIT 1: ORLANDO VISITOR VOLUMES, 2007–2011 2009 48.745 48.888 46.583 51.455 54.29 5.5 Domestic 45.907 45.515 43.319 47.780 50.50 5.7 Leisure 35.334 35.282 33.992 38.263 40.46 5.7 Business 10.574 10.233 9.326 9.517 10.04 5.5 International 2.838 3.343 3.264 3.675 3.79 3.0 Canada 0.783 0.910 0.865 0.960 0.99 3.3 Overseas 2.055 2.433 2.399 2.715 2.78 2.3 U.K 0.990 0.959 0.831 0.839 0.82 –1.85 op yo 2008 Total 2010 f2011 % change 11/10 2007 Source: Visit Orlando, “State of the Market,” http://corporate.visitorlando.com/research-and-statistics/orlando-visitorstatistics/visitor-forecast/, April 2012, accessed on May 30, 2012. EXHIBIT 2: INTERNATIONAL VISITORS TO ORLANDO, FLORIDA 2007 1,300,000 1,275,000 990,000 – – 25,000 – – – – – – – – – – 2,055,000 783,000 – 2,838,000 1,483,000 1,439,000 959,000 – – 44,000 – – – – – – – – – – 2,433,000 910,000 – 3,343,000 No tC Europe Western Europe United Kingdom Germany Belgium Eastern Europe Caribbean South America Argentina Brazil Venezuela Central America Africa Middle East Asia Oceania Total Overseas Canada Mexico Total International 2008 2009 1,386,000 1,339,000 831,000 – – 47,000 – – – – – – – – – – 2,399,000 865,000 – 3,264,000 2010 1,462,000 1,422,000 839,000 – – 40,000 – 822,000 – – – – – – – – 2,715,000 960,000 – 3,675,000 2011 1,355,000 1,319,000 767,000 – – 40,000 – – – – – – – – – – 2,788,000 1,015,000 – 3,803,000 % change 11 / 10 –7.3 –7.2 –8.6 – – –10.0 – – – – – – – – – – 2.7 5.7 – 3.5 Do Source: Visit Orlando, “International Visitors to Orlando,” http://corporate.visitorlando.com/research-and-statistics/orlandovisitor-statistics/visitor-volumes/, accessed on July 10, 2012. This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 8 rP os EXHIBIT 3: FOREIGN-OWNED AND DOMESTIC-OWNED COMPANIES IN THE GREATER ORLANDO AREA, BY INDUSTRY Foreign-Owned Companies Source: Created by authors. 312 88 64 49 35 30 68 122 897 72 225 78 12 12 3 1 1 88 1 12 0 156 op yo Finance, Insurance and Real Estate Manufacturing Services Wholesale Trade Retail Trade Transportation, Communications, Electric, Gas and Sanitary Services Construction N/A Agriculture, Forestry and Fishing Mining Public Administration Domestic-Owned Companies EXHIBIT 4: FOREIGN-OWNED INDUSTRIES IN THE GREATER ORLANDO AREA, BY COUNTRY OF ORIGIN Number of total businesses Agriculture, Forestry, and Fishing Germany Japan tC United Kingdom Canada France Switzerland Ireland Italy Sweden 60 51 65 32 21 19 11 10 10 1 1 0 1 0 0 0 0 0 1 0 0 0 0 0 0 0 0 3 2 1 1 2 1 1 0 0 5 17 13 7 8 6 7 3 1 10 4 4 0 2 2 0 0 0 Wholesale Trade 9 9 10 4 2 1 0 3 4 Retail Trade 3 7 5 5 2 1 1 2 1 Finance, Insurance, and Real Estate 2 4 1 3 2 1 1 1 0 23 5 31 11 3 7 1 0 2 1 0 0 0 0 0 0 0 0 2 2 0 0 0 0 0 1 2 Mining Construction Do No Manufacturing Transportation, Communications, Electric, Gas, and Sanitary Services Services Public Administration N/A Source: Created by authors. This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 9 op yo rP os EXHIBIT 5: 312 FOREIGN-OWNED COMPANIES IN THE GREATER ORLANDO AREA, BY COUNTRY OF ORIGIN Do No tC “OTHER” FOREIGN-OWNED COMPANIES IN THE GREATER ORLANDO AREA, BY COUNTRY OF ORIGIN Source: Created by authors. This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 10 Canada United Kingdom 13 12 11 10 9 9 9 9 9 9 8 7 7 7 7 7 6 6 6 5 5 5 5 5 5 5 5 5 5 Panama Poland Romania Saudi Arabia Turkey Bolivia British Virgin Islands Cayman Islands Colombia Czech Republic Denmark Finland Lebanon Lithuania Malta Norway Philippines Serbia Venezuela Azerbaijan Bermuda Bulgaria Costa Rica Croatia Cyprus Ecuador El Salvador Estonia Fiji Guam Guatemala No tC Mexico Germany France Japan Australia China India Italy Puerto Rico United Arab Emirates Singapore Ireland Malaysia Portugal Russia Spain Bahamas Belgium Brazil Argentina Aruba Dominican Republic Hong Kong Jamaica Korea Kuwait Qatar Sweden Taiwan Country 4 4 4 4 Greece Hungary Indonesia Israel Netherlands New Zealand Oman Do Austria Bahrain Chile Egypt Number of Companies with Relations 4 4 4 4 4 3 3 3 3 3 3 3 3 3 3 3 3 3 3 2 2 2 2 2 2 2 2 2 2 2 2 Country Tunisia Turks & Caicos U.S. Virgin Islands Ukraine Uruguay Vietnam Zambia Afghanistan Angola Antigua Barbados Belize Bosnia Botswana Ethiopia Georgia Ghana Gibraltar Guyana Haiti Jordan Kazakhstan Kenya Luxembourg Macau Macedonia Malawi Maldives Montenegro Nicaragua Pakistan Papua New Guinea Paraguay Sri Lanka Swaziland op yo Country Number of Companies with Relations 14 14 rP os EXHIBIT 6: INTERNATIONAL BUSINESS RELATIONSHIPS OF DOMESTIC COMPANIES IN THE GREATER ORLANDO AREA, BY COUNTRY 2 2 2 2 4 Honduras Latvia Morocco Mozambique Northern Mariana Islands 4 4 4 4 4 4 Peru Slovakia Slovenia South Africa Suriname Switzerland 2 2 2 2 2 2 2 Tanzania Trinidad & Tobago Uganda Vanuatu Yemen Zimbabwe Number of Companies with Relations 2 2 2 2 2 2 2 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 Source: Created by authors. This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 11 Number of Passengers (2009) Airline Main Airport Hub Africa/Middle East Emirates Airline 27,454 Dubai International Qatar Airways 10,212 Saudi Arabian Airlines 18,334 Doha International Jeddah-King Abdulaziz International Asia/Pacific rP os EXHIBIT 7: THE WORLD’S LARGEST AIRLINES (BY NUMBER OF PASSENGERS) Headquarter City Country Dubai United Arab Emirates Doha Qatar Jeddah Saudi Arabia Kuala Lumpur Malaysia Beijing China 14,253 Kuala Lumpur International Air China 39,841 Beijing Capital International Air new Zealand Group ANA - All Nippon Airways 12,368 Auckland Auckland New Zealand 44,562 Narita International Tokyo Japan Asiana Airlines 12,372 Incheon International Seoul South Korea Cathay Pacific 24,558 Hong Kong International Hong Kong China China Airlines 10,024 Taiwan Taoyuan International Taipei Taiwan China Eastern Airlines 44,043 Shanghai Hongqiao International Shanghai China China Southern Airlines 66,279 Guangzhou Baiyun International Guangzhou China op yo AirAsia 11,206 Soekarno-Hatta International Jakarta Indonesia Hainan Group JAL Group (Japan Airlines) 17,879 Haikou, Hainan China 47,952 Haikou Meilan International Narita International and Tokyo International Tokyo Japan Jet Airways 12,039 Chhatrapati Shivaji International Mumbai India Jetstar Kingfisher Airlines Korean Air Lion Air tC Garuda Indonesia 10,233 Melbourne Melbourne Australia 11,060 Bengaluru International Bangalore India 20,410 Incheon International Seoul South Korea 13,377 Soekarno-Hatta International Jakarta Indonesia 11,947 Kuala Lumpur International Kuala Lumpur Malaysia 23,622 Sydney Sydney Australia Shenzhen Airlines 15,109 Shenzhen Bao’an International Shenzhen China Singapore Airlines Thai Airways International 16,480 Singapore Changi Singapore Singapore 18,477 Suvarnabhumi Bangkok Thailand Virgin Blue Airlines 18,251 Brisbane Brisbane Australia Malaysia Airlines No Qantas Europe 10,382 Belfast International Belfast United Kingdom Air Berlin Group 27,911 Berlin-Tegel Berlin Germany Air France KLM 713,394 Paris-Charles de Gaulle Paris France Leonardo da Vinci-Fiumicino Rome Italy Vienna International Vienna London Heathrow London Austria United Kingdom Do Aer Lingus Alitalia Austrian Airlines Group British Airways At MCO? 21,728 9,945 31,825 yes This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860 9B13M070 t Page 12 Number of Passengers (2009) Airline easyJet 45,164 Main Airport Hub London Luton Madrid-Barajas Airport and Barcelona El Prat Iberia Group 25,560 Lufthansa 55,589 Norwegian Air Shuttle 10,754 Flughafen Frankfurt am Main Oslo Airport, Copenhagen, Stockholm-Arlanda, HelsinkiVantaa Ryanair 66,500 Dublin SAS Scandinavian Airlines 21,383 Swiss rP os EXHIBIT 7 (CONTINUED) Headquarter City Country United Kingdom London Madrid, Barcelona Spain Frankfurt Germany At MCO? yes Norway Ireland Denmark, Norway, Sweden 13,784 Zurich Zurich Thomson Airways 11,239 London Luton London Switzerland United Kingdom Turkish Airlines 25,099 Ataturk International Istanbul Turkey El Dorado International Bogota Colombia op yo Copenhagen, Stockholm-Arlanda, and Oslo Airport Dublin Copenhagen, Oslo, Stockholm Latin America/Caribbean Avianca 10,157 Gol Linhas Aereas 28,385 Congonhas Sao Paulo Brazil LAN Airlines 15,406 Santiago International Santiago Chile TAM Linhas Aereas 28,957 Guarulhos International Brazil yes Canada yes North America Alaska Airlines American Airlines Atlantic Southeast Airlines 22,206 Montreal, Quebec Seattle, Anchorage, Portland USA Dallas, Fort Worth USA Dallas/Fort Worth International Hartsfield-Jackson Atlanta International Atlanta USA Houston USA George Bush Intercontinental Hartsfield-Jackson Atlanta International Atlanta USA Ontario USA Toronto Pearson International tC Air Canada 15,561 85,719 13,170 45,573 No Continental Airlines Delta Airlines ExpressJet Airlines 161,047 13,395 Hartsfield-Jackson Atlanta International Seattle-Tacoma Int’l , Ted Stevens Anchorage International , Portland International yes yes 10,261 LA/Ontario Int’l Indianapolis USA JetBlue Airways 22,450 Denver International New York USA Mesa Airlines 10,963 John F. Kennedy International Phoenix USA Pinnacle Airlines 10,771 Phoenix Sky Harbor International Memphis USA SkyWest Airlines 21,246 Memphis International Hartsfield-Jackson Atlanta International St. George Dallas, Fort Worth USA USA yes O’Hare International Chicago USA yes Do Frontier Airlines Southwest Airlines United Airlines 101,430 56,083 yes US Airways 51,016 Phoenix Sky Harbor International Tempe USA yes WestJet 14,039 Calgary International Calgary Canada yes Source: Air Transport World — World Airlines Report 2010, www.nationsonline.org/oneworld/ major_airlines.htm, accessed July 10, 2012. This document is authorized for educator review use only by UTOMO SARJONO PUTRO, Institute Teknologi Bandung (ITB) until May 2023. Copying or posting is an infringement of copyright. Permissions@hbsp.harvard.edu or 617.783.7860