Abstract
This case study describes the journey of Oman Air, the flag carrier of the Sultanate of Oman from operating losses to profitability. The main concern of Oman Air's top management now is to consolidate these gains and to ensure sustained profitability and growth over the long term. The airline has faced challenges from existing and emerging competitors operating on both full-service and low-cost business models. In addition, the recent strategic decision of the Government of Oman to pull out of the much larger Gulf Air made Oman Air the only national airline of Oman. Oman Air now needs to reposition itself from a major regional airline to a full-fledged international airline to service the long-haul markets.
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