LoFare Airlines Microworld
Key Learning points
The LoFare Airline game provides powerful general learning about the management of strategy over
time – diagnosing the state of an existing business and its market, setting appropriate objectives,
then steering strategy to deliver those objectives – plus specific learning about managing strategy
against competitors, and over an industry’s lifecycle.
Like all our games, LoFare Airlines demonstrates the simple, standard rules of strategy and performance:
- performance over time depends on the organisation’s resources
- those resources are won and lost over time
- growth depends on existing resources, management choices and competitive factors
This game also exposes some other specific and important learning points:
- strategy is often more about creating and capturing a potential opportunity than it is about capturing ‘market share’ of some market that already exists
- competition is often about competing for market (routes in this case) access as a route capturing customers
- strategy is about choices – whether to drive for growth or not, whether to take on competitors or seek a quieter life
- management of strategy must adapt as industry conditions change – from the small initial opportunity, through rapid growth with intense competition, to a mature end-game
