The question is, with so many new flight and carriers, is their enough business to make it profitable today?
Glad to herar that I am not on my own in regard to this question! Overcompetition is a dangerous phenomenon - there are many people only willing to pay cheap prices, without relizing what this can mean for a sector ar an economy as such - the LCC phenomenon in the US has lead to dangerous situations for UA
, US etc, who now face bancrupcy.. let's see, what will happen in Europe, and tehn Asia,.. only few players will survive
However, in regard to your question, it seems like the US-India offers enough secondary markets for more players to enter, so it looks like they can be very profitable. Since Indian careers will be able to offer cheaper prices (at least well-established AI
), it looks like that rather India will benefit, since US-India is a market where primary perfect competition (=price) rules.
I think your question is a very good one and relevant for many markets, and I hope that we pax, who only want to save, save, save, think about this and what we are doing to the economy as such in always demanding everything cheaper - does this really make us happy? ,)
"The earth provides enough resources for everyone's need, but not for some people's greed." (Gandhi)