Route demand: 6/37/267
Airline 1 has 3/31/309 (excessive Y demand)
Airline 2 comes in with 0/67/607.
Can't decide whether dumb or troll as he's not going to make any money.
Competing - how not to
Started by 52N13E, Jul 10 2012 08:53 PM
#1
Posted 10 July 2012 - 08:53 PM
#2
Posted 10 July 2012 - 09:06 PM
They likely have connecting pax from one of their hubs. This makes it more profitable to compete on routes, and add the extra frequencies to compete on a route. This is how you have available seats vastly outnumber demand on routes such as JFK-LHR.
#3
Posted 11 July 2012 - 01:51 PM
Likely, but still...I find adding 600 seats to an already plugged up route simply over the top.
#4
Posted 11 July 2012 - 02:11 PM
The initial airline should attempt to sub in a more fuel efficient airplane on the route and then squeeze fares to the point that the route spammer cannot compete. As they have twice as many flights, their loss will be doubled. ;-)
Co-founder of MB Global Alliance
#5
Posted 12 July 2012 - 02:34 AM
The above is correct, best plane you can get and squeeze the route till he leaves or cries uncle
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