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Love Them and Lead Them

The Practical Leader

Airline revenues collapsed while fixed costs stayed high. If you’re going to bet on an airline most likely to soar as travel resumes, put your money on Southwest Airlines. .” Companies decimated by the pandemic especially need to feel the love to bounce back. That’s particularly true in the airline industry.

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Business Model Generation : Blog | Executive Coaching | CO2 Partners

CO2

It is useful to to distinguish between two broad classes of business models Cost Structures: cost cost-driven and value-driven from the following categories Cost-driven, Value-driven. Technology and its role in travel 2.0 Pulse Meme Feed What Is Your Brand Against?

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Health Systems Need to Completely Reassess How They Manage Costs

Harvard Business Review

The middle layers spend their entire days in meetings or on conference calls, traveling to meetings outside the hospital, or negotiating contracts with vendors. In larger facilities, there is often an astonishing proliferation of special care units, ICUs, and quasi-ICUs that are expensive to staff and have high fixed cost profiles.

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Don’t Compare Virtual Reality to the Smartphone

Harvard Business Review

The theory of disruption explains why incumbent businesses – with high fixed cost infrastructures and embedded beliefs about what the market wants – fail to adopt business models that lower the cost of their services and drive product accessibility to entirely new sets of users.

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Of Course Disney Should Use Surge Pricing at Its Theme Parks

Harvard Business Review

Since theme parks are high fixed cost/low variable cost entities, revenue from discount-enticed new customers is virtually all profit… free money. Should beer prices at the TD Garden be higher at a rowdy Boston Bruins game than when a traveling circus is using the arena? This would result in growth. I think so.

Price 8
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Does Your Startup Have a Spending Strategy?

Harvard Business Review

So not only were the current fees too weak to support his fixed costs, but future clients were turned off by his apparently excessive tastes. To address those cost overruns, Colin subleased some space, cancelled a redundant and very expensive trading service, and let one person go.

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Why Tesco’s Strengths Are No Longer Good Enough

Harvard Business Review

Why travel to a supermarket for the monthly big shop if you can buy it online and have it delivered? Hard discounters aim for twice the volume with the same fixed costs so they can make the same returns at half the gross margin. And of course, online shopping is the other big trend that started at the turn of the century.

Retail 11