8.3 Airline Research Paper: Final Submission (PLG1)
Christopher W. Guerrero
Worldwide, Embry-Riddle Aeronautical University
ASCI 602: The Air Transportation System
Professor Douglas Mitchell
December 14, 2025
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8.3 Airline Research Paper: Final Submission (PLG1)
American Airlines is considered one of the largest and most renowned companies in
the world, founded in 1934. Its initial specialization was in airmail, and shortly thereafter, it
opened passenger flights that shook the air travel industry to forget and masked the past
successes, such as the Douglas DC-3 aircraft and the entry of jet airplanes in the late 1950s.
American has been at the forefront of shaping the international aviation sector over the years
and has set the pace with the pioneer frequent flyer program and consolidation of its power
through the acquisition of TWA in 2001. American Airlines of today has a vast, diversified
fleet that serves both domestic and international markets, with hub-and-spoke routes. The
company is facing numerous issues, including fuel costs and labor unions, competition with
low-fare airlines, but as a result of modernization to its fleet and other services to customers,
as well as sustainability, American has been in a position to remain competitive. The paper
will describe the fleet structure, how the routing works, how American Airlines made a profit
and sustained itself, and how the company should operate in the future.
Fleet Analysis
Overview of American Airlines' Fleet
As of 2024, American Airlines Group’s fleet exceeded 1,500 aircraft when including
mainline operations and its regional carriers Envoy Air, PSA Airlines, and Piedmont Airlines,
making it the largest airline family in the world by total aircraft count. This combined fleet
consists of a mix of narrowbody and widebody aircraft designed to serve diverse domestic
and international markets (Ranabhat, 2025). The narrowbody mainline fleet is primarily made
up of the Airbus A320 family and the Boeing 737 family, which operate short- to medium-
haul routes (Ranabhat, 2025). On the widebody side, American deploys Boeing 777 and 787
Dreamliner aircraft for long-haul international operations (Ranabhat, 2025). In addition to its
mainline fleet, American Airlines Group relies heavily on its regional subsidiaries operating
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under the American Eagle brand. Envoy Air operates Embraer E170 and E175 aircraft, PSA
Airlines operates Bombardier CRJ-700 and CRJ-900 aircraft, and Piedmont Airlines operates
the Embraer ERJ-145, which supports short-haul connectivity to American’s major hubs
(American Airlines, n.d.). These regional jets allow American to serve smaller
communities, maintain high-frequency schedules, and funnel passengers into its broader
network.
Fleet modernization remains central to American’s strategy, with investments
in newer, more fuel-efficient models such as the Airbus A321neo and the Boeing 787
Dreamliner (Ranabhat, 2025). These aircraft offer lower emissions, improved fuel burn,
and enhanced passenger comfort, supporting both domestic growth and international
expansion (Flightradar24 Blog, 2025). Moreover, American’s recent orders for the
Boeing 737 MAX 10 and the Airbus A321XLR further reflect its plan to optimize
operations with next-generation narrowbody aircraft that deliver greater efficiency, longer
range, and additional flexibility across high-demand domestic and short-haul international
routes.
Issues Associated with Fleet Composition
Although fleet diversification allows the American to have flexibility in its operations,
there are immense problems associated with it. The types of the narrow-body and wide-body
fleets, which have various technical needs, result in a complicated environment to operate.
Such diversity makes the maintenance process difficult, since various aircraft models have
different parts, procedures, and tools for maintenance (Harrison et al., 2012). Moreover, crew
training is more complicated, as pilots and crew will have to be trained on different aircraft
models, which will raise the costs of training and decrease efficiency (American Airlines,
2024). In addition, both narrow- and wide-body jets give the airline more flexibility in its
routes, and the airline can serve a greater number of markets, but at a higher price. For