Product details

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Case
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Reference no. 9-808-107
Subject category: Entrepreneurship
Published by: Harvard Business Publishing
Originally published in: 2008
Version: 30 November 2009
Length: 26 pages
Data source: Field research

Abstract

Linear Air is an air taxi start-up established to take advantage of the emergence of Very Light Jets, which incorporate new technology that cuts jet operating costs by about 40%. Air taxis could make use of the 5400 smaller regional airports throughout the US, potentially revolutionizing air travel. But the nascent air taxi industry doesn't yet exist, and there are competing conceptions of what the industry should look like. The founder must evaluate what customer segments to target, what business model to utilize, how to encourage development of the industry ecosystem, and more broadly how to help shape the industry so that it does not develop a highly competitive structure akin to the existing airline industry.
Location:
Size:
19 employees, USD2.3 million
Other setting(s):
2004-2007

About

Abstract

Linear Air is an air taxi start-up established to take advantage of the emergence of Very Light Jets, which incorporate new technology that cuts jet operating costs by about 40%. Air taxis could make use of the 5400 smaller regional airports throughout the US, potentially revolutionizing air travel. But the nascent air taxi industry doesn't yet exist, and there are competing conceptions of what the industry should look like. The founder must evaluate what customer segments to target, what business model to utilize, how to encourage development of the industry ecosystem, and more broadly how to help shape the industry so that it does not develop a highly competitive structure akin to the existing airline industry.

Settings

Location:
Size:
19 employees, USD2.3 million
Other setting(s):
2004-2007

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