eely
             (Freiberg, 1998, p. 4), much of the critical infrastructure of the airline
             industry such as airports and air traffic control still remain out of the
             industry's control. Further, destinations, frequency and scheduling of
             flights is often determined by bi-lateral aviation agreements between
             countries (Cox & Smith, 2003, para. 4-5, 16-17, 23-24). While regulation
             sometimes has its constraining effects on an airline's ability to compete
             and expand quickly, it also has a positive side as evidenced by federal
             loan guarantees to airlines that were adversely affected by the terrorist
             attacks in 2001. Consider, for example, the $900 million Federal loan
             guarantee, which supported a $1 billion loan closed by U.S. Airways in
             Economic Issues: As observed earlier, the airline industry's fortunes are
             directly impacted by economic cycles. Typically, both business and leisure
             travel increase during economic boom periods and decrease during downturns
             as corporations and individuals tend to cut travel budgets. Currently,
             however, the demand for business travel is increasing as the economy
             recovers (Southwest Press Release, Jan. 2004). The importance of the
             economic environment for the airline industry is also reflected in the fact
             that "â€for a typical major airline, business travel may account for 50% of
             the seats sold, but 80% of the revenue." (Grossman, 2002, para. 17) Another
             major economic trend that is key to an airline's operating costs is fuel
             price movements as the cost of fuel is significant in an airline's
             operating expense. Currently, airlines are seeing some relief from falling
             oil prices resulting in airline stocks closing higher (Cole, 2004, para. 1-
             Technological Issues: Information Technology has both benefited as well as
             adversely affected the airline industry. The optimal use of technology has
             helped the industry increase customer convenience while simultaneously
             red...