Prof. Vaaler Co-Authors Op-Ed on Why Some International Airlines Discriminate Against Israel and Taiwan by Erasing Them from Online Route Maps
Professor and John and Bruce Mooty Chair in Law & Business, Paul M. Vaaler, published an op-ed in the Star Tribune explaining why several international airlines, including major U.S. carriers, single out Israel or Taiwan for erasure from online route maps. Some airlines discriminate against one or both countries by erasing them from their own online route maps—American Airlines erases Taiwan from its online route maps. Other airlines accommodate erasure by others in their alliance—Delta Airlines accommodates erasure of Israel and Taiwan from the online route maps of its SkyTeam alliance partner, Saudia. Airlines erasing these countries or accommodating erasure by alliance partners seem to be catering to the discriminatory preferences of customers and countries in the region, even though this business strategy contradicts U.S. foreign policy and may be objectionable to many U.S. customers, shareholders, and lawmakers.
More detail about Professor Vaaler’s research on “discriminatory product differentiation” in the international airline industry is available in his new article co-authored with Professor Joel Waldfogel, Frederick R. Kappel Chair in Applied Economics at the Carlson School of Management: “Discriminatory Product Differentiation: The Case of Israel’s Omission from Airline Route Maps.” Strategy Science, 4(2): 70-93 (July 2019).