In early 2003, the WestJet was revising its growth plans, especially considering the need to move WestJet eastern Canada-based operations with Hamilton Munro Airport Toronto Pearson Airport. WestJet grew rapidly since its launch in 1996 and is now the second largest airline in Canada. WestJet initially concentrated in western Canada, but has entered eastern Canada in March 2000, with the eastern base of operations in Hamilton, the secondary airport in the Greater Toronto Area. Pearson was the largest domestic and international airport of Canada, the primary commercial airport for the Greater Toronto and the center's biggest competitor WestJet, Air Canada. Compared with Pearson, Hamilton was less congested and charge much lower. WestJet operations were closely modeled on Southwest Airlines. The use of secondary airports such as Hamilton as a base of operations is consistent with the low-cost, high-Operation South West. With higher costs and a longer turnaround time due to congestion, the base Pearson was probably not consistent with the Southwest business model;. However, it was hard to ignore the potential growth of WestJet "Hide
by Roderick E. White, Derek Lehmberg Source: Richard Ivey School of Business Foundation 25 pages. Publication Date: November 23, 2005. Prod. #: 905M54-PDF-ENG
Related Case Solutions & Analyses:
WorldSpace Satellite Digital Radio Service
High Point Aviation: Operating Breakevens
Waste Concern
Southwest Airlines: Singin the (Jet)Blues
“Do you really think we are so stupid?” A letter to the CEO of Deutsche Telekom (C), Spanish Version
Vodafone
Controversies of Progress: The Human Genome
McDonald’s Corp. (Abridged)
Raiser Senior Services–The Stratford (A)
Greendust: Revolutionizing the Returns Process
