I find it funny that airlines complain about regulations all the time but at the same time run back to mama (Govt) when the market drops / chapter 11 or when there are real competitions outside the cartel. If they want Govt protection, the need to accept certain regulations to prevent them being too greedy. Or if they want real free market, they should stop taking any tax breaks, debt support in the event of bad economy and not complain about competition entering US.
I like what someone said earlier in the thread, non-refundable tickets are completely acceptable when airlines promise not to sell those seats in case of cancellations alongside making them transferable. If they do want to sell them again, they need to return the fuel surcharge + taxes, they should only be allowed to keep the base fare.
I support successful airlines business all over the world but I don't want some legacies to form a cartel and screw the customers and any new entrants that may try a new/better solution.
How do you define greedy?
DL, AA, UA all earn less than 10% ROI.
Try looking at what other industries generate. If the airlines are greedy, oh my I wonder what what word you would use for healthcare sector, tech, etc.
Change fees are just part of the overall pricing model. It was allows the base fares to remain so low. In fact, anybody surprised by Parker’s comment really is just not to smart. It doesn’t take a rocket scientist to figure out that if a business is selling a cheaper version of its product (non-refundable ticket) and allows you an exception via a fee and that fee is outlawed, the end result is that the business will either stop allowing exceptions altogether (and the change fee in practice is the cost of the ticket) or they simply stop selling the reduced rate product and everybody buys a refundable ticket. Either way, the airlines will still generate the same income it will just be distributed more evenly across their customer base and those least capapable of absorbing the added cost will be subsidizing those who can.
There is a reason most businesses do not allow their employees to purchase the cheaper Basic Economy tickets and that is because they do not allow any changes even with a fee. The flexibility is worth the extra costs to them. Legislation that restricts change fees would more than anything subsidize the cost of travel for large businesses at the expense of individuals (most of whom never pay change fees because they don’t change their tickets).
Way to pick up a single word out of a whole paragraph and purposefully avoiding the point I tried to make in my post. Like I said, airlines are free to make fare rules as they see fit, but only if they don't come running back to Govt to complain about competitions or when the going gets tough to ask for tax cuts or any other help from the Govt. You can't expect to have "Heads I win, Tails you lose" situation.
I agree. The US3 got their panties in a bunch and had to go running to the govt for help and to be coddled because they felt threatened by “unfair” practices of the ME3. Because the ME3 offers a FAR SUPERIOR hard product and experience and customer service and so on and so on it’s practically endless. Then they gripe that the ME3 are subsidized and pay bottom wages to the crews. Well then maybe reevaluate how much you pay your employees. They obviously get paid much better than ME3 crews and have much shittier attitudes. You have high pay you have union backing yet it’s hard for you to act like you at least like your job and smile to your customer and treat them as a guest not as a nuisanced cattle with a wallet. Even flying on international budget carriers you get smiles and treated like you matter. I never fly a US airline outside of this country and always opt for the international option.
Well US3 how about trying to compete with them and their business model instead of competing with the business models of F9, G4 and NK??
Let’s not forget how they ran into the arms of Washington to be saved and needed to be bailed out post 9/11 by the government. So they can run to the government when they need protection, but passenger rights are exempt? Sounds very hypocritical but what more can you expect from a large corporation that has to answer to the traders on Wall St and the overall bottom line.
717, 727-100, 727-200, 732, 733, 734, 735, 73G, 738, 739, 742, 748, 752, 753, 762, 763, 772, 77W, 787-10, DC9, MD80/88/90, DC10, 319, 220-300, 320, 321, 321n, 332, 333, CS100, CRJ200, Q400, E175, E190, ERJ145, EMB120