Finnair’ strategy was built around an assumption that its ge…
Finnair’ strategy was built around an assumption that its geographic position would continue to give it an advantage in connecting Europe and Asia. In 2022, Russia’s invasion of Ukraine led to the closure of Russian airspace, forcing Finnair to reroute many Asian flights and significantly increasing flight times and costs. The company’s previous strategy had relied heavily on Helsinki’s location and efficient connections between Europe and North Asia, so the unexpected change fundamentally altered the economics of that strategy. Finnair had to revise its network, increase its focus on other regions, and reconsider how it would use its aircraft and partnerships. What is the most important lesson managers can take from Finnair’s experience?
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