• Competitor Analysis: Helvetic Airlines

Resources and Capabilities

• Ten Fokker 100s
Current Strategy • Experienced management
“To be very lean, very team
little, and very simple” • Boasted capital reserves of
SFr 30 million
Strategic Moves and
Outcomes
* Standard price policy
(€99), regardless of
the time of booking
and the destination.
Assumptions
“to take advantage of the
weakness of Swiss--including
Objectives both network
To take advantage on low-volume routes carriers and newcomers
abandoned by Swiss. flaunting a low-cost business
model”
Helvetic Airlines
Current strategy
• Serving 14 destinations from its Zurich hub
• Direct threat to Flybaboo
• Standard Price policy (€99)
• Planned to expand its operations to between 20 and 25 European
destinations by the end of 2004
Objectives
• Take advantage on low-volume routes abandoned by Swiss
• On its way to serving 14 destinations from its Zurich hub by June 2004.
• To gain advantage over Flybaboo or other competitors from its SFr 30
million capital reserves
Helvetic Airlines
Resources and capabilities
• Ten Fokker 100s  100 leather seats and longer travel range (2.300 km)
• Experienced management team
• Large capital reserves for a new entrants
• Weakness  Doesn’t have public awareness as high as Flybaboo

Assumptions
• To be very lean, very little, and very simple
• Its standard price policy more attractive and provided complete
transparency
• Directly effect the Flybaboo operations and market share because Helvetic
Airlines is the only one direct competitor that actually taken off