Publications
Publications
- February 2022
- HBS Case Collection
Lilium: Preparing for Takeoff
By: Navid Mojir, Vincent Dessain, Mette Fuglsang Hjortshoej and Emer Moloney
Abstract
Lilium is a German company focused on developing electric vertical takeoff and landing vehicles (eVTOLs) that can be used to offer air taxi services. The company went public in September 2021 through a special purpose acquisition company (SPAC) deal, raising more than $800 million. While Daniel Wiegand (the co-founder and CEO) is confident about the design of the company's latest seven-seater aircraft, he is still struggling with the business model. Lilium has three main options. First, it can offer air mobility services to passengers, i.e., become a full-service B2C company. Second, it can become an original equipment manufacturer (OEM), selling its jets to other companies that offer mobility services (B2B option). Third, Lilium can choose a hybrid option, offering air mobility to end-users in certain markets while selling its jets to other air mobility service providers.
Keywords
SPACs; Business Model; Forecasting and Prediction; Green Technology; Capital Markets; Venture Capital; Initial Public Offering; Rural Scope; Urban Scope; City; Disruptive Innovation; Growth and Development Strategy; Technological Innovation; Demand and Consumers; Market Timing; Industry Growth; Infrastructure; Logistics; Product Design; Product Development; Production; Service Delivery; Service Operations; Strategic Planning; Partners and Partnerships; Risk and Uncertainty; Urban Development; Sustainable Cities; Business Strategy; Competitive Strategy; Competitive Advantage; Air Transportation; Aerospace Industry; Air Transportation Industry; Green Technology Industry; Transportation Industry; Travel Industry; Germany; Munich; Brazil; United States; Florida
Citation
Mojir, Navid, Vincent Dessain, Mette Fuglsang Hjortshoej, and Emer Moloney. "Lilium: Preparing for Takeoff." Harvard Business School Case 522-084, February 2022.