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1. The rise of the low-cost carrier (LCC) business model has transformed the airline industry business environment in most parts of the world. Beginning with Southwest Airlines in the USA in the late 1970s, through to easyJet and Ryanair since the mid-1990s in Europe and Air Asia since the early 2000’s, the airline industry in the largest markets of the world have been radically reshaped by this business model. As a result, many traditional full-service network carriers (FSNC) have adapted their business models to cope with this threat.
Choose any 1 airline, from any business model, and using relevant strategic management theory, evaluate how your chosen airline has adapted its business model over time and analyse its recent commercial performance. Provide recommendations for future strategic direction.
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