A couple days ago I commented on the stock market's odd reaction to the Northwest Airlines strike. I stand by my comment, and apparently The Economist does too. While British Airways has cut $1.8 billion/year in costs and is in a strong financial position, they have been crippled by their recent strike. Northwest Airlines, on the other hand, anticipated the likelihood of a strike, and on the verge of bankruptcy with little to lose, didn't give much in their union negotiations.
Tags: airlines, strategy, Northwest, strike, British Airways