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Old 7th Feb 2008, 09:36
  #1033 (permalink)  
LGS6753
 
Join Date: Jul 2003
Location: Under the flight path
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Businesses can compete in their markets on one of two bases: Price or Service. If they compete on price, they have to be the lowest cost provider, and remain so. If they compete on service, they identify one or more unique service propositions (USPs), and sell on them. These could include brand, quality, FFP, service, in-flight gourmet experience, etc.

No business can compete on both, and none should try. Ryanair has been very successful competing as the lowest cost provider, and would be foolish to try and change its entire corporate strategy. You and I may not like aspects of their service, but millions accept these drawbacks, and fly with them every year.
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