PPRuNe Forums - View Single Post - Government Loan to Virgin Australia
View Single Post
Old 2nd Apr 2020, 04:06
  #4 (permalink)  
RampDog
 
Join Date: Apr 2001
Location: Sydney,NSW,Australia
Posts: 114
Originally Posted by chance View Post
Lunch time TV news had a Channel 9 reporter, Chris Uhlmann saying that after the daily press conference with the PM that the Government is unlikely to prop up Virgin Australia with the loan that they were seeking. Shudder to think what will happen to all the staff and their families, suppliers etc if they don't reverse that. Not to mention what Qantas will do with airfare costs if Virgin collapses.
Here's a thought?
Virgin Australia will collapse only if its owners allow (or want) it to, not because the Australian Govenment ( with taxpayers money) won't lend them cash.
The owners are by majority all global players (including RB) and got in understanding the strategic risks they were taking with the existing business model that VA has operated under.
Maybe they can redefine the business for the times... and the future.
Here's a radical suggestion...let Sir Richard have his brand back, saving a few $$$$$ with that, and continue to run Tiger LCC (including a Tiger regional op) as OZ's competition to Qantas.
Unfortunately Darwin's Theory of Evolution also applies to business too.

Accreditation to - https://www.livescience.com/474-cont...ion-works.html
Quote "The theory of evolution by natural selection, first formulated in Darwin's book "On the Origin of Species" in 1859, is the process by which organisms change over time as a result of changes in heritable physical or behavioral traits.
Changes that allow an organism to better adapt to its environment will help it survive and have more offspring." Unquote


One more thought, everyone knows how this one panned out.
Back in the day, Ansett Australia, who had more than a competitive share of the Australian aviation market, but not fit enough to survive its failings and circumstances was deemed not worthy of a Government handout because of its foreign ownership.
It died an (un)natural death and the vacuum was quickly filled by a leaner and meaner operation.
So.... Go Tiger!!

RampDog is offline