Market entry
Stellar Frontier discusses the opportunity for an aerospace firm to enter the space tourism market.
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Our client, Stellar Frontier, is a space exploration company based in the US. They have been a supplier of NASA for the last 70 years. They have taken part in all the major space programmes (e.g., Apollo, Gemini), as a subcontractor, providing technologies and parts of rockets to NASA.
They have developed a new technology that they believe will allow them to send tourists to space at a lower cost than current options. This programme would involve a reusable vertical launcher, basically a rocket that takes off vertically and lands back vertically on its launch pad. It would carry 20 tourists per trip, for a 2.5 hour revolution around the planet. If they decide to go ahead with this, it would be the first time that they build the whole launcher, commercialize it and operate it themselves. It would be ready in 4 years for its first commercial flight.
Should they go ahead and launch this programme?
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