Business Case Studies & Business Publications

The Battle for Logan Airport: JetBlue Ai...

Harris, Jared D., ...

Case

The Battle for Logan Airport: JetBlue Airways versus American Airlines

Harris, Jared D.; Lenox, Michael; Goldberg, Rebecca

S-0229 | Published October 21, 2013 | 22 pages Case

Collection: Darden School of Business

Add To Cart Buy Now

Product Details

JetBlue Airways is only five days away from entering the Boston market by establishing a presence at Logan International Airport. The VP of strategy for JetBlue considers the range of potential competitive responses that he might expect from such established airlines as American Airlines, so he can anticipate and prepare. As the largest major carrier operating out of Logan, American had more at risk than the other major carriers and had not yet decided how best to compete with the LCCs. How would American respond? This case is a counterpart to S-0116, which takes the perspective of the incumbent, American Airlines. Instructors who wish to teach S-0229 will also need accompanying materials S-0250 and S-0118.

• Explore entry strategies in a competitive market. • Discuss likely competitor reactions to entry and the implications for entrants. • Consider the differences between various firms in a competitive environment and how these differences might inform the firm’s most attractive options. • Introduce game theory and payoff matrices.