QANTAS STRATEGY Free Essay

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QANTAS STRATEGY

EXECUTIVE SUMMARY Qantas airlines has come across some issues and the one with the most concern is losing its competitive advantage in the domestic flights to Virgin Blue. If Qantas does not take any action, Virgin Blue would use its considerably lower cost structure to continuously erode Qantas’ market share and, by taking volume from the full-service carrier on its key routes, eventually undermine its economics. The CEO of Qantas, Geoff Dixon has launched a new carrier, Jetstar to compete with Virgin Blue and possibly the danger of a new entrant. Analysts appear to be concerned about its potential to cannibalise Qantas’ full-service business. While Dixon will no doubt try to finesse the competition between Jetstar and Qantas,

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