Case Writers: Alessandro BUCCELLA and Herman FUNG
This case forms part of a series with Note on the European Airline Industry and European Airline Industry: Ryanair in 2003, but can be used independently. The case describes the strategy of Lufthansa as a major network carrier in Europe. It also describes the entry of low-cost carriers in the German market. The case describes the strategies used by other incumbent airlines in defending against the entry of low-cost carriers, ranging from imitation, to entry preemption and deterrence.
This case can be used to explore the following themes:
How an incumbent can respond to industry entrants with distinct advantages
The constraints that limit competitive responses by incumbents
Whether and when entry preemption and deterrence is a viable strategy
- AR2004
- AR0405
- AR2003
- AR0203
- RD0703
- AIRLINES
- LOW COST CARRIERS
- COMPETITION
- NETWORK CARRIERS
- ENTRY
- COMPETITIVE STRATEGY
- ENTRY DETERRENCE
- STRATEGIC GROUPS
- European Competitiveness
- Europe