maxblast72
Well-known member
- Joined
- Jun 5, 2006
- Posts
- 931
With no fuel hedge advantage, Southwest has a 10% cost disadvantage to carriers like Frontier, Jetblue, and Airtran. It was easy for Southwest to pull traffic off of the legacies 10 years ago with their huge cost advantage as Southwest had 90% of the LCC market as Airtran and Jetblue were just starting to grow. In todays market, Southwest is facing other strong LCCs everywhere they look as well as legacy carriers that have cut cost dramatically in bankruptcy.
Be interesting to see how Southwest adapts to the new market. Their first step is to try to reduce competition by buying a bankrupt competitor in DEN.
Be interesting to see how Southwest adapts to the new market. Their first step is to try to reduce competition by buying a bankrupt competitor in DEN.