In the News

BA launches Level to take on Norwegian Airlines

Graham Watson

27th March 2017

This is an interesting article looking at whether the low-cost model can be applied to long-haul travel. Norwegian Airlines have had success in flying to the US, such that IAG who own British Airways have launched their own new low-cost, long haul operator, Level, who will be flying to LA and Buenos Aires.

Norwegian is now the third biggest airline at Gatwick Airport, with twice-daily departures to New York and a daily flight to Los Angeles, and attributes its success to the Boeing 787, which because of its composite materials is much cheaper to run, and offers the opportunity for greater exploitation of internal economies of scale.

Graham Watson

Graham Watson has taught Economics for over twenty years. He contributes to Tutor2U, reads voraciously and is interested in all aspects of Teaching and Learning.

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