ABSTRACT
This chapter discusses a changing landscape—how different aviation organizations are meeting the needs of the changing passengers. It provides some examples of the successful products and services introduced by emerging competitors—unconventional businesses—to meet the changing needs of the marketplace. The unconventional airlines are offering products, for the first time in the new entrants' history, that actually appeal to business travelers. Historically, conventional airlines developed a business model where a passenger could travel rather seamlessly between virtually any two points in the world. Each airline must find the optimal cost-revenue structure for its own business model for its targeted customers, not only to achieve low costs but also to generate value for its market segment. Unfortunately for conventional airlines, unconventional airlines continue to play to their strengths—stay focused on core competencies, provide value for money and manage customer expectations—to keep diverting passengers to their services.
