The Electronic Processing and Management Data

120). By the mid1970s, " cut was much more than an inventorycontrol placement. Its technology provided the strand for generating flight plans . ., tracking sp atomic number 18 parts, scheduling crews, and developing a range of decisionsupport systems for management" (Hooper, 1990, p. 122).

American Airlines installed the prototypal SABRE terminal in a cash in one's chips action in 1976 (Hooper, 1990). Over the following 10 years, not yet were more touch off agents and other reservations offices added to the system, new serviceshotel, rail, and letting care reservationswere also added (Hooper, 1990).

The SABRE system eventually became a calculating machineized reservations system (Hooper, 1990). It is by far the largest of such systems now in existence (Copeland and McKenney, 1988). Today, SABRE is neither a proprietary emulous weapon for American Airlines nor a general distribution system for the airline industry, It is an electronic travel supermarket, a computerized middleman linking suppliers of travel and related services . . . to retailers exchangeable travel agents and directly to consumers like corporate travel departments" (Hooper, 1990, p. 122).

In the previous(predicate)1990s, SABRE terminals are in use at travel agencies and other travel retailers in 47 different countries (Fortune, 1990) at more than 14,500 key locations (Hooper, 1990). The system "provides f

As Apollo provides crucial competition for SABRE, the new Confirm CRS may also predict to encounter significant competition. Texas Air (Continental Airlines) and EDS (now a computer services subsidiary of General Motors) are participating in a 50/50 joint venture in the development of a new CRS to compete with the Confirm system (Henderson, 1990). The competing system will be called EDS/System1 (Henderson, 1990).

One hoped for result of deregulation did appear to happen perform reductions. A careful analysis of most fare reductions, however, revealed that (1) they adopt generally been limited to specific routes, (2) outlayreduced seating room on each flight are often kind of limited, and (3) offsetting price increases are often compel on other routes (Labich, 1984).

Two examples of route pricing exemplify this effect. On the New YorktoLos Angeles route, coach fare in 1978 approximated $385 just abouttrip. In early1991, the list price for this trip approximates $398; however, this price must be discounted for pretension, before it may be compared with the 1978 price. The inflation discounted price approximates $200. Thus, on the New YorktoLos Angeles route, the fare has been clearly bring down under deregulation. Deep discounting often reduces the cost to $198 in 1991 dollars. By contrast, in 1978, the SeattletoSan Antonio coach fare approximated $280 roundtrip. In early1991, the list price for this trip approximates $339, which, when discounted for inflation, approximates $170. The deregulated environment resulted in a significant fare reduction; however, the level of the reduction does not compare with that on the more heavily traveled route. Further, cryptic discounting is seldom found on the SeattleSan Antonio route.Adverse economic factors which continue to provoke the industry spur some carriers to engage in obscure discount pricing, with the result that all carriers eventually join in the practice. Discounting has adversely affected industry profitabili
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