Scandinavian Airlines

The Transformation And Evolution Of Scandinavian Airlines

            

Scandinavian Airlines was formed shortly after the end of World War 2, by combining the efforts of several airlines and a private investor from Sweden. International travel was on the rise, therefore the creation of the alliance of like-minded aviation interests was created. Since the war had ended, the airways were once again safe to fly. Once the company was created, the flight operations in the European skies took place. Using the existing fleet assets and infrastructure helped. Over the years, a dedicated effort to provide quality service as well as taking advantage of new alliances ensued.

It is not surprising that SAS was formed as a business partnership involving entities across Scandinavia. The airline was launched in 1946, just one year after WW 2 ended. 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. 17 September 1946 marks the beginning of operations for the newly founded SAS. By the 1950s, and as a result of additional airlines joining and merging with SAS, the SAS consortium was created. The ownership shares were proportioned between the three countries and each country divided their share 50/50 between private investors and their respective governments.

Scandinavian Airlines did what any other airline would do and actually has done around the world. They sought ways to expand and capture as much market share as possible. To that end, they took care of business and eventually succeeded in their efforts to garner the domestic flight routes within Scandinavia. Gaining full or partial control of the smaller airlines operating in their domestic area was how they accomplished this feat. They also worked to do the same around the world and acquired Air Canada and the company that owned Continental Airlines.

We often have occasion to discuss in detail, the alliances built by SAS over the years. However, it’s important that we not forget about the code sharing agreements with other airlines as well. The meaning of a code sharing agreement is really nothing more than a legal agreement between two parties that results in mutually beneficial outcomes. Passengers are allowed to fly on each of the airlines with revenues to be passed or shared to the parent company ticket holder. SAS has such agreements with Lufthansa, Austrian and United airlines. Schedule integration is another benefit of this code sharing making catching that connection flight more seamless. {As you would expect with any company that is owned and operated by three separate countries, this can be problematic. The operations, however, of this company, continues to move forward as it always has. [But this approach has given SAS a great deal of diversity which is part of their strength.|Part of its overall tenacity, SAS continues to provide strength and diversi