That is hardly the outcome of competition, rather a typical case of consumers loosing sight of what is truly driving the market they cherish (LCC presence) and whoring out to the "most competitive" (i.e. he who is bleeding the most to serve the customer) carrier. If you think CO & Co. will continue their present behavior once ATA is out, you're sadly mistaken.
Exactly. As I said before, watch over the next few months..CO will reduce capacity, and hike fares. We can be pretty sure that CO
wasn't making money on such a large capacity increase. That's not competition, it's predation, and it smells like lav tank after a transcon flight.
is *not* "simply adding capacity to meet the extra demand ATA generated." That's just rationalization.
They should investigate any time an airline increases flights to compete, eh, Jim?
If a Cartel-network carrier increases capacity on a route that an LCC has newly entered and dropped fares (and thus yields) through the floor, and the result is that the LCC can't make money and pulls out, you bet DOJ should investigate. Every time. That's the one way the network carriers get the message.
Don't like it? Don't have to. Just keeping free markets open and free.