Sponsor Message:
Civil Aviation Forum
My Starred Topics | Profile | New Topic | Forum Index | Help | Search 
UAL+US, AA+TWA Are These Mergers Doom For Other's?  
User currently offlineJm-airbus320 From Jamaica, joined Aug 2000, 304 posts, RR: 0
Posted (13 years 6 months 2 weeks 4 days 5 hours ago) and read 1668 times:

With the impending mergers of UAL+US, AA+TWA is this trouble for the rest of the industry? Forecasters see these as creating market share juggernauts in the US, but what about the rest of the world's airline industry? Will we see these combinations forcing smaller or medium sized airlines to codeshare with them in order to survive?,or will they be wiped clean off the aviation scene by these megapowers?
Food for thought: will passengers really benefit in the long term from these mergers, the slash pricing technique will certainly come into place, but what happens when the competition has been eliminated. A public held at ransom by pricing? Let me know what you think. The US congress can maybe control whatever is to come, but what about those tiny countries who can't?
jm-airbus320

5 replies: All unread, jump to last
 
User currently offlineN628AU From United States of America, joined Oct 2000, 343 posts, RR: 0
Reply 1, posted (13 years 6 months 2 weeks 4 days 5 hours ago) and read 1643 times:

I think it is very interesting that the day after all the hoopla about how this buyout is going to push the UA-US deal thru to approval, more opposition has come out. This could be American trying to prove the critics right and forcing the hand of the DOJ to throw both of them out. Will be an interesting few months to say the least.

User currently offlineTheSilverBirds From United States of America, joined Jan 2001, 92 posts, RR: 1
Reply 2, posted (13 years 6 months 2 weeks 4 days 5 hours ago) and read 1642 times:

Even more to add to this. Once both of those mergers have gone through, if they do, Northwest will most likely merge with Continental. Thus leaving Delta alone amongst the large US based carriers. Listen to this; In 2000, Delta held 20% of domestic travel in the US, and so did Southwest. Southwest is growing as we speak and with little time will surpass Delta. Interesting stuff, huh?

User currently offlineVirginFlyer From New Zealand, joined Sep 2000, 4537 posts, RR: 41
Reply 3, posted (13 years 6 months 2 weeks 4 days 3 hours ago) and read 1624 times:

I saw a cycle regarding the idea of consolidation (it was in realtion to rail...)

Deregulation/startups -> mergers/consolidation -> regulation -> breakups -> deregulation...



"So powerful is the light of unity that it can illuminate the whole earth." - Bahá'u'lláh
User currently offlineMbj-11 From Jamaica, joined Aug 2000, 386 posts, RR: 1
Reply 4, posted (13 years 6 months 2 weeks 4 days 3 hours ago) and read 1622 times:

These mergers are setting a dengerous standard.Airlines such as those from the Caribbean can be forced out of business. This merger is definitely gonna put the airlines worldwide under pressure, those who are not in alliances are really gonna suffer.


Jesus is the Christ and he alone saves
User currently offlineRyeFly From United States of America, joined Jun 2000, 1396 posts, RR: 0
Reply 5, posted (13 years 6 months 2 weeks 4 days ago) and read 1617 times:

In my opionion, I can see obvious advantages and major disavatages to all this merging. Maybe I just always try to see the good points who knows. Some good points of these HUGE airlines are new routes to cities or counties that are not currently being served. Improvements on FF miles for passengers and easy connection of flights, baggage and improved schedules. I think the smaller airlines can survive just fine as well if they can offer a good product in which the customers and employees can form a bond with them. In a smaller airline this is a lot easier then a mega carrier. Some airlines like Piedmont, the new Midway, Jet Blue and Southwest have been sucessful in this style of business.

We will begin to see frustrated passengers at major hub airports around the coutry because of an increase of traffic delays at the key locations. Charlotte would be one of these airports if United wants to expand drastically. With increases in ticket prices, lost baggage, poor service, over crowded hubs people will begin to choose the smaller carrier or drive to a less crowded airport with more competitive prices. For example this is already going on at Raleigh Durham over Charlotte. This will only help out the smaller airports in my opinion. Finally, these maga carriers will begin show signs that they have grown to large to fast and will begin to streamline its fleet and over all size down. Eventully, the industry will bring us with about the same ammount of airlines as we have today but with different names. Airlines such as Southwest, Midway, Air Tran, Jet Blue, Alaska, Frontier, may be playing the parts of todays, US Airways, Continental, Northwest in the not too distant future. Wouldn't it be kinda ironic for these large airlines getting swallowed up by names like Jet Blue and Frontier? Its sorta like The big fish eating a baby fish's older brother. Then the fish grows up and look who's invited over for dinner. 

Who knows, its a tricky industry. What logically makes perfect sense never seems to happen when we all sit back and look at things. Its fun to try and figure out though.


Top Of Page
Forum Index

This topic is archived and can not be replied to any more.

Printer friendly format

Similar topics:More similar topics...
What Are These Planes Used For? posted Mon Sep 3 2001 02:28:12 by Caribb
AA/TWA Vs. UAL/US posted Sun Jul 1 2001 01:48:56 by BOS2LHR
Final Approval For UAL/USAir & AA/TWA posted Wed Jan 10 2001 08:52:49 by Notarzt
US/HP Merger Compared To AA/TWA Acquistion.. posted Wed Nov 29 2006 17:35:45 by AASTEW
Deadline For Other Bids For US Airways posted Fri Jul 1 2005 17:18:56 by Airbus3801
Are These The House Colors For The Avro Rj? posted Tue Feb 26 2002 01:10:57 by Mirrodie
Need AA/TWA Reg#s For Flights I Took posted Wed Jan 9 2002 23:21:43 by AKelley728
Now That UAL/US Is Dead, Will AA Buy New 757's? posted Wed Jul 25 2001 07:54:11 by Boeing nut
AA Throws Cold Water On The UAL/US Party, Too? posted Thu Jun 21 2001 14:58:01 by Globetrotter
AA-TWA-AAEAGLE VS UA-US. Which One Is Bigger? posted Wed Apr 11 2001 11:52:00 by United Airline