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Authors
Advisor(s)
Abstract(s)
This paper examines the rise of a distinct alternative to the traditional business model dichotomy between low-cost and full-service carriers (i.e. the hybrid business model) and questions its viability as an alternative for growth and profitability. Using a comparative assessment of business model innovation practices of two well-reputed carriers, Air Berlin and JetBlue, the paper highlights the importance of taking into account several components of a business model when deciding to experiment with it as these choices have important implications for an airline's performance. Our results suggest that, following the transition from a no-frills to a hybrid business model, a misalignment between the value proposition and the other elements of the business model will hinder an airline's ability to achieve a sustainable competitive advantage.
Description
Keywords
Business models Innovation Hybrid carriers
Citation
Corbo, L. (2017). In search of business model configurations that work: lessons from the hybridization of Air Berlin and JetBlue. Journal of Air Transport Management, 64 (B), pp. 139-150.
Publisher
Elsevier