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· Posted on
February 21, 2024

Qantas and Emirates want to renew their vows

The pair want to extend their strategic alliance for another five years...and let the good times roll.

What's the key learning?

  • In 2012, Qantas and Emirates announced a strategic alliance, which saw Qantas re-route passengers going to Europe through Dubai, rather than Singapore
  • The pair had already extended the partnership through to 2023, but are now seeking to extend it a further 5 years to 2028
  • In the business world, companies can come together in two ways: a joint venture, or a strategic alliance.

Background: Qantas is Australia's largest airline (which actually stands for Queensland and Northern Territory Aerial Service)...and Emirates is the world's largest airline.  

What happened: In 2012, Qantas and Emirates announced a strategic alliance, which saw Qantas re-route passengers going to Europe through Dubai, rather than Singapore. Beyond that, the crew coordinated their pricing, sales and schedules.  

What else: The pair had already extended their partnership through to 2023, but are now seeking to extend it a further 5 years to 2028

So what's the key learning?

💡In the business world, companies can come together in a couple of different ways. The two most common being a joint venture, or a strategic alliance.

💡A joint venture is when two or more companies join together to form a whole new business, to carry out a particular task. Like how Mazda and Toyota created the Mazda Toyota Manufacturing company in the US, with the goal being to increase production.

💡A strategic alliance is an agreement between two or more companies to pool their resources together and work towards a common goal. And, it's delivered a huge upside ($80 million per year) for Qantas and Emirates.

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