tuna pimp
carbon neutral
- Joined
- Nov 11, 2004
- Posts
- 228
atrdriver said:Which kind of shows how smart management types are. It is possible to fill up an airplane and lose money. Whether it is coordinated or not, proces need to go up across the board. Problem is, right now, those smart management types see a fare increase at a competing carrier as a possibility for increased market share, all while losing money to get it. Personally I would rather have 10% market share and make money than hav a 90% market share and be losing my a$$.
This is true at some carriers. By the same token, this is why some carriers are reducing capacity (AA, DL, UA). To increase yield by cutting back capacity. The other side of the equation is to then redeploy the capacity in markets that are more insulated from low fare attacks (Latin/transAtlantic).