The Challenges Facing Sabre Company in Today's Business World Essay

Sabre is a complex company that is difficult to fit into a specific industry. Although they were once a division of American Airlines, and remain closely tied to the airline industry, they are not direct competitors of other airline companies. Sabre has several business lines, therefore determining true competitors change with each business unit. Because the core competency is its computer reservation system, the competitive focus will be on other computer reservation system's companies. Currently Sabre is the market leader. Amadeus Global Travel Distribution, Galileo International, and Worldspan GDS are the other leaders in the CRS industry.Amadeus is a GDS and technology provider base out of Spain, and traded on Madrid Stock Exchange. They serve the marketing, sales, and distribution needs of the international travel and tourism industries. The data network and database is comprehensive and is the largest in Europe. The Amadeus system provides access to hotels, rental cars, airlines, ferry, rail, insurance and tour operators through 50,000 travel agency location and 8,2000 airline sales office.A key development at Amadeus is the agreement with priceline.com and acquisition of vacation.com. Amadeus Global Travel Distribution System will be connected to NameYourOwnPrice Services of Priceline.com. Acquiring vacation.com gives the strong European company a foothold in the highly sought after U.S. market. Vacation.com is North American's leading vacation selling network. One third of U.S. leisure travel are vacation.com products. Through this strategy Amadeus gains the agency only extranet that provides members news, preferred supplier information, and marketing material.The dot.com strategies fives the company an opportunity to develop an on-line strategy to compete with Sabre's highly successful on-line website Travelocity.com. Amadeus has introduced an interface that maps Amadeus products into an Internet presentation. This technology allows interfacing with the GDS to be supported through a variety of communication types. Although Amadeus is determining the role of the Internet on its business, they are not moving away from their commitment to the travel agency model. They are quick to point...

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