Topic Author
Posts: 648
Joined: Thu Sep 07, 2000 9:52 pm

US Airline Industry - Bad

Thu Jan 11, 2001 6:43 am

In the US why do all of the big airlines just buy out competitors instead of actually trying? In my opinion they are just lazy. If they competed properly (like in the UK - BA vs. Virgin) they would get better and better producing better service and comfort (just look at BA and Virgin)

What do you think?
(Dont take offence, it's just my opinion)
Posts: 4727
Joined: Sat Dec 04, 1999 1:58 am

RE: US Airline Industry - Bad

Thu Jan 11, 2001 7:41 am

Whle I am totally against all these mergers, even after a AA/TWA or UAL/U merger the US will have far more airlines than any other country. Everybody knows that TWA was "financially troubled", but at the same time, many have questioned whether or not USAir can survive without the merger (I personally wish they could). So, perhaps it's just "survival of the fittest" at work.

I guess the reason that the US airlines don't work harder at service and comfort is because both of those result in higher fares. Give us a choice, and the vast majority of us will take price over anything else.

RE: US Airline Industry - Bad

Thu Jan 11, 2001 7:52 am

For many airports the availability of landing slots at peak times is the critical factor that stops airlines from expanding.
Matt D
Posts: 8907
Joined: Fri Nov 19, 1999 6:00 am

RE: US Airline Industry - Bad

Thu Jan 11, 2001 8:34 am

You can call it "laziness" or "cheating" or whatever you want, but the bottom line is this:
it is capitalism at its finest. Why take the time to build market share over a period of several months or years, which might not even be successful when you can just buy it and have it overnight? Buying out an airline has a dual purpose in the eyes of the shareholders:
1. Like I said, it's a shortcut to building up a market.
2. It eliminates that much competition.

Posts: 2809
Joined: Fri Jan 05, 2001 11:29 pm

RE: US Airline Industry - Bad

Thu Jan 11, 2001 8:48 am

Well, at least it means there will be less crappy airlines to choose from. Hopefully, if they are not troubled by competitors, they can devote more resources to improving customer comfort and service ( I won't hold my breath). I am sorry if any one takes offense, but my experiences with several airlines have been less than satisfactory.
fuddle duddle