I) On the Quality of Customer Service Load Factor: service quality in the airline industry can rightly be measured by the ease with which a customer can secure a seat on their preferred flight (Morrison, Yorrow, Lawton-Smith, Yamauchi & Murakami, 1995). A low load factor implies that a customer can easily acquire a seat in the flight of their choice, and vice versa (Eckel, Eckel & Singal, 1997)
This text examines how these trends have affected the aviation industry, and in particular, how they affect the quality of service delivery and airline operational costs. A Brief Overview Privatization of state enterprises serves five major objectives; i) reducing government size; ii) increasing the economy's productivity; iii) eliminating subsidies and expenditure that do not improve the welfare of citizens; iv) giving government ample time to concentrate on more strategic, high-priority issues; and v) improving the status of public financing (Kinnamon, 2002)
aviation industry, as has been discussed in the subsequent subsections of this text. I) On the Quality of Customer Service Load Factor: service quality in the airline industry can rightly be measured by the ease with which a customer can secure a seat on their preferred flight (Morrison, Yorrow, Lawton-Smith, Yamauchi & Murakami, 1995)
Aviation: Effect of Privatization on the Aviation Industry The aviation industry is one of the fastest growing global industries - contributing large amounts to the nation's revenue kitty every year, while also facilitating tourism, international investment, world trade, and economic growth. The industry is, "therefore, central to the globalization taking place in many other industries" (Ochieng & Ahmed, 2014, p
Proponents of privatized prisons have often painted a rosy picture of such an initiative. For instance, it has been noted that in comparison to state facilities, privatized prisons tend to be more responsive, creative and flexible (Stinchcomb 2011)
They are essentially arguing that resources are lost at a rate higher than they are gained. In other words, privatization of social security in an economy populated by overlapping generations of individuals that have time-consistent or time-inconsistent preferences, face mortality and individual income risk as well as borrowing constraints (Fehr, Habermann, and Kindermann, 884)
This social safety net program was originally based on the idea that people would claim their benefits at the age of 62 after working and contributing to the resource pool their entire lives. In the 1930's, when Social Security was first implemented, not as many people lived long enough to claim their benefits or didn't live long enough to claim them for very long (Shipman, 1)
This is because; the public sector prisons are wasteful in terms of money that is spent more than the available money. Privatized prisons tend to run more cost effectively as well as efficiently if it happens to meet the budget (Cheung, 2004)
Other researches concluded that private prisons generate more profit more than the public sector prisons. Furthermore, the operational cost is what tends to be used to estimate how a company performs, the cost estimates that come from private advocates on the private prisons could be quite misleading, and this is because the private facilities more often turn down inmates that cost much to handle than the others that cost less (Smith, 2012)
The complexity in administration of prisons is considered as one of the challenge private companies would face. Critics question the competence of private company owners to manage and run prison facilities (Bowman, Simon, & Paul, 2009)
In some states, some private companies undertake full ownership of the prisons inviting the government to evaluate the facility and offer to contract them to provide services in prison administration for a fee. The private prison operators set up the facility as a factor to fetch economic gain through the provision of the services (Brakel, 2002)
The privatization of prisons and the services will not help the government in providing the necessary alternative as correcting to wrong doers. Communication breakdown may result when information on prisons and the prisoners is being passed to the different private and public entities (Committee, 1996; Thomas et al
It is arguable that privatization of prison results to reformation of public sector by setting performance standards. The state is also in a position to monitor private operators and require changes (Cunningham, 2003)
This is the case where interested parties with absolute no prior experience undertake to run prison f or a profit venture. The big concern in this is having ideal measures to manage custodial matters in prison (Durham, 1994)
Some private companies may compromise the inmates' welfare while others may choose to create reasons to increase inmate's stay in their prisons. Additionally, private companies running prisons may be in position to form lobby groups that will advocate for higher imprisonment policy reform (Lanza-Kaduce, Lonn, Karen F
It is the observation by those against privatization of prison that imprisonment and management of prison is an important state function that should not be delegated to private companies. Fundamentally, privatization of prisons may increase inefficiency with the private operators undertaking cost-cutting measures (Thomas, Charles W
The New Zealand Civil Aviation Authority (CAA) is a separate agency that regulates the safety standards and security of air traffic. This allows the respective ANSP to focus on its core function of air traffic control (Dillingham, 2005)
ATC towards NextGen, a satellite navigation system It is also argued that not privatizing the air traffic industry has led to increased monopoly and oligopoly like situation in the U.S. market (Goetz, 2002)
During 1956 most private institutions were under government control and practitioners were inducted into these newly formed public entities resulting in formation of the biggest healthcare network with the most extensive workforce. The government ran these hospitals and was responsible for financing healthcare institutions of both urban and rural areas, aiming for equitable and universal healthcare network for all (Baru, 1989)
Practical steps are defined for enhancing the role of private sector by effective use of small clinics, healthcare centers in distant villages and underdeveloped towns resulting in equitable healthcare services with overall accessibility and affordability. Development and construction of private clinics is to be encouraged and doctors were allowed to start their own private hospitals besides their employment in public or private hospitals (Freeman & Boynton, 2011)