PPRuNe Forums - View Single Post - Emirates 'non-stop to anywhere' breakthrough
Old 1st October 2007 | 14:53
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Desert Diner
 
Joined: Dec 2005
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From: Magic Kingdom
The one real kink in this future Business Plan is that the airline will have to make its revenue by connecting passengers.

Currently, the ME airlines make their profits from O&D passengers and at best break even by the Asia/Europe connections. Becoming the worlds biggest airline will result in most pax being connections. As GF has shown, that model does not result in a profit.

Given that Etihad and Qatar are having the same ideas, all three will be undercutting each other for the same pax. As a result, all these new planes will indeed be sitting on the ground, not necessarily due to lack of crew but due to lack of profitable route. At best, EK may become the worlds biggest aircraft leasing company.
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