Seminar paper from the year 2008 in the subject Business economics - Operations Research, grade: 1st - 76 %, University of Lincoln, language: English, abstract: This paper aims to investigate in the limitations and benefits of the strategic group model in relation to the appliance of the model to the European airline industry. Therefore, the first part will shortly summarize the model including issues concerning the appliance as well as advantages. The second part will than have a short look at current trends and factors driving the industry. This will be followed by the appliance of the model to the chosen industry while plotting the 22 investigated enterprises within strategic group maps each showing the interrelation of two chosen criteria. Finally, the model will be critical evaluated concluding in giving evidences about the overall value of the model.