American Airlines Group, Inc.: A Return to Profitability Amid a Pandemic

Amsdell, A.; Kulkarni, N.; O’Rourke, J. S. (editor)
March 16, 2021
North America
Strategy & General Management, Accounting & Finance
13 pages
American Airlines, Profitability, pandemic
Student Price: 
$4.00 (€3.7)
Average rating: 

The Coronavirus / COVID-19 crisis of 2020 resulted government restrictions on travel, accompanied by a public loss of confidence in the safety of air transport, all of which led quickly to a decline in revenue for airline companies. American Airlines has implemented a number of important changes, but their survival in an unstable environment and unpredictable consumer market depends on whether these changes are sufficient to ensure safe travel and encourage the flying public to take to the air again.

Learning Outcomes: 
  1. To highlight the drastic impact that large and unexpected “black swan” events can have on a for-profit business.
  2. To provide an authentic example of a situation in which profit and ethically responsible behavior can come into conflict.
  3. To encourage discussion around the type of crisis management communication plans companies should prepared, exercise, and update.
  4. To encourage analysis of how to measure success as a company responds to an existential crisis.