Speedtape
Well-known member
- Joined
- Oct 10, 2004
- Posts
- 1,973
General,
Find a new sport! The day frequency is reduced as you describe it, is the beginning of the journey to your next bankruptcy. Thank goodness airlines are not run by pilots or the fortune teller pundits that call themselves airline analysts. Take a deep breath, take your medicine, and find something to do better with your time. How many hours did you waste writing 10,000 posts? How many of your predictions have come true? Are you really a pilot?
So far, none of Boyd's predictions have come true. The only thing that is happening, is that in a buyer's market and a trend to reduce capacity, your company is renegotiating lease payments on all their planes--rjs, md88's, and 737's. The lessors have no choice. Yes, there has been some adjustments in the rj fleets also--but elimination will never happen.
Hub networks have to have more feed and frequency, not less. High aircraft utilization is another element that improves hub networks. Higher frequency, during peak demand seasons, accomplished by increasing aircraft utilization, allows your company to capture additional traffic without increasing the size of the fleet. In slower demand seasons, frequency on a daily basis is adjusted by using future booking stats and balancing supply with demand by parking planes, reallocating flying to smaller planes, and reducing costs. This concept was introduced by Whitehurst and Bastian and has proved to be much more financially efficient.
The smallest plane in your fleet will always be an rj and not an MD88 or MD90. High fuel costs have an inflationary affect on your customers including the business traveler and your pleasure travelers--it's not the cost of the ticket, but the increased costs of everything consumed which reduces discretionary income. This will affect demand. When demand goes down, rjs will replace those larger planes that cannot break even as load factors drop. MD88's will replace 757's, and 757's will replace 767's--downsizing capacity to match demand.
BaBye!
Find a new sport! The day frequency is reduced as you describe it, is the beginning of the journey to your next bankruptcy. Thank goodness airlines are not run by pilots or the fortune teller pundits that call themselves airline analysts. Take a deep breath, take your medicine, and find something to do better with your time. How many hours did you waste writing 10,000 posts? How many of your predictions have come true? Are you really a pilot?
So far, none of Boyd's predictions have come true. The only thing that is happening, is that in a buyer's market and a trend to reduce capacity, your company is renegotiating lease payments on all their planes--rjs, md88's, and 737's. The lessors have no choice. Yes, there has been some adjustments in the rj fleets also--but elimination will never happen.
Hub networks have to have more feed and frequency, not less. High aircraft utilization is another element that improves hub networks. Higher frequency, during peak demand seasons, accomplished by increasing aircraft utilization, allows your company to capture additional traffic without increasing the size of the fleet. In slower demand seasons, frequency on a daily basis is adjusted by using future booking stats and balancing supply with demand by parking planes, reallocating flying to smaller planes, and reducing costs. This concept was introduced by Whitehurst and Bastian and has proved to be much more financially efficient.
The smallest plane in your fleet will always be an rj and not an MD88 or MD90. High fuel costs have an inflationary affect on your customers including the business traveler and your pleasure travelers--it's not the cost of the ticket, but the increased costs of everything consumed which reduces discretionary income. This will affect demand. When demand goes down, rjs will replace those larger planes that cannot break even as load factors drop. MD88's will replace 757's, and 757's will replace 767's--downsizing capacity to match demand.
BaBye!
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