Topic Author
Posts: 372
Joined: Mon Jun 23, 2003 2:57 am

Why Is Emirates Growing?

Thu Sep 11, 2003 7:09 am

Just a simple question: why is Emirates growing so fast and what are their plans for the future? I'm monitoring ACARS on SE Europe now, and it's only Emirates flights to Dubai. What is the common Emirates passenger? One flying between Europe and Asia and connecting in Dubai or just going to Dubai?

Any more info on Emirates highly appreciated.
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Joined: Thu Feb 01, 2001 8:04 am

RE: Why Is Emirates Growing?

Thu Sep 11, 2003 7:18 am

Basically, the ultimate goal of the UAE is to use EK to transform Dubai, UAE from a petroleum-dependant exporter to a worldwide hub for business and tourism. Very similar in manner to the way that SQ/Changi turned Singapore into a worldwide crossroads
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RE: Why Is Emirates Growing?

Thu Sep 11, 2003 7:30 am

Emirates' 'typical' pax? There isn't really a 'typical' EK passenger, which is part of the reason they have been so successful in capturing market share thus far.

Yes, there are a lot of European pax flying through to Asia/Australasia via DXB, but there is also a LOT of O & D between DXB and various European cities - Dubai has become an extremely attractive holiday-spot - only about 6-7 hours by air, guaranteed sunshine, tax-free top-notch shopping, liberal values (relative to its conservative neighbours)....it's the new St.Tropez, albeit with an Arabic flavour.

Sorry, got a bit carried away....

They also exploit the labour market between Asia/India subcontinent and the Middle East...they've got their fingers in a lot of other markets too......and they are VERY, very rich - obviously.

But to its credit, the UAE govt is promoting/encouraging economic diversification, and the tourism boom has been spectacular.
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RE: Why Is Emirates Growing?

Thu Sep 11, 2003 7:47 am

I would second DoorstoManual's analysis......thats pretty much it along with a VERY progressive thinking and daring managment...and i would say 60% traffic is transit and 40% is to Dubai itself..they have used Dubai's central location to its fullest..
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Joined: Thu Mar 08, 2001 8:06 am

RE: Why Is Emirates Growing?

Thu Sep 11, 2003 8:23 am

Having alot of available $$$$$ always helps an airline to grow too! Despite their huge growth they are still one of the most profitable airlines on the planet. Don't think they have ever made a loss actually, but the airline is key to Dubai's future growth so I don't think it would ever be allowed to fall into a loss making establishment.
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RE: Why Is Emirates Growing?

Thu Sep 11, 2003 1:48 pm

These are the reasons why EK is growing :

1. DXB is very much dependant on Emirates so the DXB govt pumps a lot of $$$ into EK and its subsidiaries esp DNATA and the local hotels

2. DXB is a v v v safe city with no tension and minimal violence

3. It has beautiful beaches and world class hotels and other facilities at competitive rates thus proving to be a very attractive destination for everyone.

4. VISAS are very easy to attain for all nationals and EK too gives free 1-2-3 day/night stays for pax during certain times of the year

5. Emirates is by far the best airline WHEN IT COMES TO MARKETING THEIR PRODUCT AND BRAND NAME. This has according to me made the airline a household name in the key markets of UK-USA-CAN-AUST-IND-PAK etc etc.

6. DXB plays host to world famous events such as tennis, PGA, the worlds richest horse race plus the mega DXB Shopping Festival every March.

7. TAXES are v v v v low in DXB so the airline imports its aircraft free of cost with no duty.

8. EKs financial results are not only of the airline's operations itself...when EK declares a profit (every year since 1987), it also includes (but doesnt mention) the $$$ made from its DNATA and other network agencies/companies!

9. DXBs geographic location is too good...it lies right in the middle of Europe/Africa and Australia as well as Europe/Africa and the Far East...so that has a huge bonus for EK when it comes to getting the transit traffic for these routes.

10. DXB has an open skies policy with all airlines/countries, so naturally they expect to get the same or some big concession/benefit when EK is interested in flying to other countries!

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