Special: Why Airlines Fail — Spirit Airlines as the Case Study

A one-time framework episode. Sarah and Mike use the collapse of Spirit Airlines as the case study to explain why airlines fail — not because demand disappears, but because of five structural pressures that stack on top of each other: high fixed costs, fuel volatility, competitive pricing, cyclical demand, and operational leverage. Pan Am, Eastern, TWA, and now Spirit — different decades, same forces. Why airlines create enormous consumer value while remaining among the toughest businesses to invest in.