Ethiopian Airways leads cross-border strategy in Africa
Airline groups from Asia, Europe and Latin America have successfully pursued expansion over the years by adopting cross-border strategies. Africa has emerged as the latest testing ground for cross-border joint ventures, with Ethiopian Airlines pursuing several projects.
Ethiopian has had a pan-Africa strategy for several years, starting with the launch of its West African affiliate, ASKY, in 2010. Ethiopian launched a second JV in 2014, in Malawi. However, Malawi Airlines is still tiny, operating only two aircraft, and implementation of the group’s cross-border strategy has, until very recently, been painfully slow.
The strategy has accelerated significantly this year with the establishment of several new projects. A new JV in Chad launched at the beginning of Oct-2018 and a subsidiary in Mozambique launched on 1-Dec-2018. A JV in Zambia is next in line and Ethiopian is also on the hunt for more new airline projects throughout the vast continent.
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