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WestJet: The Pearson Decision Case Solution & Answer

In early 2003, WestJet management was reviewing its growth plans, taking into account especially if WestJet should move its base of operations in Canada Munro Hamilton Airport Toronto Pearson. WestJet has grown rapidly since its launch in 1996 and is now the second largest airline of Canada. WestJet had initially focused on Western Canada, but it’s in eastern Canada in March 2000 with an oriental base of operations in Hamilton, a secondary airport in the Greater Toronto Area. Pearson was Canada’s largest domestic and international airport, the main commercial airport for the Greater Toronto and greater nature competitor WestJet, Air Canada. Compared to Pearson, Hamilton was less crowded and charged much lower fees. WestJet Operations were modeled on Southwest Airlines. The use of secondary airports Hamilton as a base of operations was in line with the low price, high utilization has southwest. With rising costs and longer lead times due to congestion, located Pearson was probably not compatible with the business model of the West, but it was difficult for WestJet to ignore the potential for growth.
by
Roderick E. White,
Derek Lehmberg
Source: Ivey Publishing
25 pages.
Date Posted: November 23, 2005. Prod #: 905M54-PDF-ENG
WestJet: The solution of the decision of the Pearson case

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