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Organizational ‘type’ has been dramatically influenced by the rise of globalization and it has been argued that success or failure of larger businesses in the future will depend upon their ability to compete globally. Certainly many industries in the post-war era have seen a rapid concentration of activity with the emergence of a few dominant companies. Global competition is clearly well advanced in industries such as motor vehicles, pharmaceuticals, soft drinks and, more recently, financial services, but globalization is a more recent phenomenon in the airline business, having been restricted for so long by regulation, government ownership and consumer preferences.
Airlines are seeking to maximize their ‘global reach’, in the belief that those that offer a global service (with a competitively credible presence in each of the major air travel markets) will be in the strongest competitive position. In a global airline context, the triad is modified so as to broaden the Japanese leg of the triad to include the wider Asia–
Pacific region and for the crucial markets to include not only the constituent markets of the triad but also the flows between them. Thus, globalization, and particularly developments in the key markets, is an important external driver for alliance formation.

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