Well i see it as a bit of both.
Cost is obviously the first thing on an airlines mind when they think of a handling agent they want to see what it will cost to do a basic turn around and check-in etc etc.
However if they know their customers are going to get miffed with delays and rubbish service from other newer cheaper agents, they will pay for it.... you would hope at least.
Its a shame that its so ruthless, im all up for competition in the market place. Lets face it ground handling isnt microsoft and there isnt a monster monopoly. SOME stability would be nice for all involved though, especially when the station and its staff actually does what its paid to do.
