PPRuNe Forums - View Single Post - Qantas may franchise Jetstar.
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Old 5th Jun 2007, 10:09
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What The
 
Join Date: May 2007
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JQ has been profitable since its inception
Only because an enormous amount of cost was carried by the PARENT ENTITY. Under a franchise arrangement it is highly unlikely that that support would be available.

3K on the other hand has been a failure mostly because they couldn't get the traffic rights they needed, and the problem that SIN just isn't a great place for LCCs to get a start.
Welcome to the business environment of Asia. Do you think Ryanair, Easyjet or Southwest would react differently in trying to protect their patch. The Jetstar model will face enormous challenges on the cultural issues alone when trying to start in ANY country. It is perceived as the arrogant Qantas bastard child of its arrogant CEO. Welcome to the world where the Government is on the other side for a change.
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