Greyhound Air

GREYHOUND AIR: COULD THE DOG FLY? Many air lane exertion observers have called it one of the worst new product launches in Canadian history. Greyhound Air was counterbalanceed by Greyhound Canada Transportation Corp. in July 1996, and had to be shut down on the 21st of September 1997 later losing almost $30 millions in about 15 months of operations. The end was required by Laidlaw Inc., who had meanwhile acquired Greyhound in a gracious takeover.

Although it is unusual for a bus transportation company to start an airline business, the decision was not surprising given the companys office staff and the background of its management. Greyhound made a profit in for each one year of operations yet bus travel had been declining since the beforehand(predicate) 1990s, because of competition from charter and discount airlines. Huiseman, named CEO at Greyhound in 1988, was a former Canadian Pacific Airlines executive. He had started introducing some elements of airline management at Greyhound a long clock time ago. His idea was to upgrade the bus companys image by fashioning it an Airline on wheels. He experimented with wider seats, arm rests and video merriment in its buses. In 1989 Huisman brought in John Munro as vice-president of marketing. Before that, Munro had worked for Canadian Airline International Ltd. and CP Air.



In the beginning Munros initiative was to raise the standard of service at Greyhound to the airline level. Soon, however, the idea of starting a new airline surfaced. As Huiseman said, they just sine qua noned to offer the public a new opportunity to travel.

Initially, the new airline was oriented towards value-conscious travelers. Its just the ticket prices often were only one third of the fares charged by major national carriers on the same routes. Although Greyhound could not foregather the frequency of the larger airlines, it operated on all major routes...

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