Sharing is for Business

WestJet Airlines Ltd is looking to expand itself by following through with a new strategy of aligning itself with other airlines through the process called code-sharing. Code-sharing is where an airline sells the seats of another airline under the first airline’s name. By doing this, WestJet can expand into the overseas traveling market. Their first pact is with Cathay Pacific Airlines, but it does not stop there, as WestJet plans to negotiate business with other companies in the up and coming years.  This strategy will help the North American based WestJet to reach out to new target markets, who are seeking to travel to other places besides North America. WestJet is attempting to team up with well known airlines, whose name will help draw in consumer’s interest into using this code-sharing option.

This kind of idea would probably have helped RyanAir.  Instead of making customers pay to go to the washroom, or to get other privileges, RyanAir could have also created code-sharing with other airlines and thus opening up to new markets and being able to charge more on certain flights but still remain relatively cheap in comparison to other airlines.

http://online.wsj.com/article/BT-CO-20101004-710637.html

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