And The Airlines Say They Are Not Making Any Money!!! B.s.

[msr]

You can rarely find a flight that is not full or oversold. Forget nonrev. They are not making money. How can this be? Every flight is oversold of full and they are claiming no money. Well HELLO raise the ticket prices!!

 

[bvt1151]

Raise ticket prices and everybody leaves.

Don't you think if it were that easy, they would have already thought of it? I guess this is why pilots shouldn't run airlines.

 

[ATR-DRIVR]

When the seat sells for hundreds of dollars less than what they used to, everyone buys = full airplane. Everyone after 9/11 dropped the ticked prices to lure travelers back. They got used to the cheap fares. The LCC's have continued in that vein. The legacy carriers which have much higher overhead costs continue to lose money. That, higher oil prices, and terrible managment have contributed to where the legacy carriers and in some case's, other carriers are today.

 

[Indypilot]

Go to google, type in Oligopoly, and read. You will find the answer.

After that, type in elasticity of demand, and read, more answers.

 

[FarginDooshbahg]

Also, it takes EVERYONE to go along with a fare increase. Even one dissenter, and everyone else will raise the fares back up. No matter what it seems, there will always be someone that CAN do it for less, so they WILL do it for less. Therefore, "just raise the ticket prices" simply doesn't work. Great in theory, impossible in practice.

 

[cargojunkie]

the govt needs to regulate again...

 

[BeeKeeper]

Here's why. Not wanting to deal with the hassles of non revving, I bought a pos space ticket from SEA-CLE-SEA. The ticket cost $224 on United. All the other airlines were within a few dollars of that. United's share after taxes, $175.26. Sorry, but I just can't believe they're making any money on that. I was paying more for that route 10 years ago. No pilot wage is going to make that fare on that route profitable. Isn't this just a basic supply and demand problem?

 

[LegacyDriver]

the govt needs to regulate again...

(Sarcasm) Yeah, that will solve everything.

 

[KingAirer]

Its time the majors get together and decide that they have to change the way they are doing things. Even some of the LCCs are making money, look at ATA. Somebody needs to step up and say, we arent going to be the cheapest but we are going to have the best product out there. Obviously the way there are doing it isnt working.

 

[SLFLYHI]

Its time the majors get together and decide that they have to change the way they are doing things. Even some of the LCCs are making money, look at ATA. Somebody needs to step up and say, we arent going to be the cheapest but we are going to have the best product out there. Obviously the way there are doing it isnt working.

Bob Crandall tried this in the 80s and got nailed by the government for collusion, which as everyone knows, is against the law. Your best product comment sounds good, but everyone's product is basically the same. When you treat flight attendants like criminals, and gate agents like kindergardeners, your product is likely to be lousy.

And the way they're doing it isn't working because of fuel prices and overextension of debt from the 90's. The majors have the only transportation system that can satisfy the needs of most americans. It's only a matter of time until a few bloated legacy carriers fail and the remaining players shift the majority of domestic flying to RJs to continue the success of the hub and spoke concept.

XJT IAH FO