PPRuNe Forums - View Single Post - Merged: Tiger Tales
View Single Post
Old 4th Mar 2012, 00:51
  #1403 (permalink)  
DeltaT
 
Join Date: Mar 1999
Location: Someday I will find a place to stop
Posts: 1,021
Likes: 0
Received 18 Likes on 6 Posts
Porch Monkey are you confusing AA with TT?
TT didn't stop previously because of its fares

Remember your Economics from High School guys, the market forces for a product settle at a price, and for example say 80% passenger load the profit is ok for the operators with their costs, rather than drop the prices lower and not making as much with a 100% passenger load for example. All it then takes is for an operator aka LCC to come in and undercut everyone to get the same profits.
Its then Management of it all behind the scenes that can tip the scales as we have already witnessed several times that makes the difference after that.
DeltaT is offline