Beginning in 2017, United Continental (NYSE: UAL) executed an abrupt strategy shift. After years of slow growth, the U.S. airline giant began expanding aggressively, with a particular focus on adding more routes to small and midsize cities.
However, United Airlines now plans to cut several small-city routes from its Chicago hub after Labor Day. This could mean nothing more than that these particular routes are underperforming compared to other small-city flights. Yet it is also possible that United is being forced to rethink its entire expansion strategy.
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United Continental’s Small-City Strategy
