With respect AirLCY. IOM have nothing to be careful about. Flybe's problems on IOM are of their own making. A few years ago when Flybe acquired the BAConnect routes off the island they did to Euromanx what is happening to them now. Flybe sold seats 4 months in advance, at rock bottom prices. This meant that flybe enjoyed the benefit of free cash for 4 months, before putting a posterior on a seat. Euromanx saw its load factors plummet overnight, and eventually went bust in ignominious circumstances. There is more to the Euromanx saga, but that is for another thread.
Flybe did not have to invest anything, in The Isle of Man, other than training on aircraft types. The flightcrew, cabin crew, and engineers were all available locally, and more importantly, they were on similar salaries to those already afforded to Flybe staff. Initially, Flybe also enjoyed the support of The Isle of Man government, and the travelling public.
From the day Flybe gained their monopoly on IOM they proceeded to squander goodwill, and co-operation at an ever-increasing rate. Firstly the air fares became eye-wateringly expensive, which were backed up by excess baggage charges that would have been the pride of a mafia shaking down some unfortunate business. Also, they started to cancel flights at short notice, at a rate that everyone who used the airport on a regular basis couldn't fail to notice. The damage was done.
Flybe squandered a 24 carat opportunity to exploit their monopoly to the benefit of their business, and customers alike. Many regular customers at Ronaldsway understand that there is a premium to be paid for flying on and off the island. But Flybe's corporate attitude was, "if you don't like it, tough, you have nowhere else to go". Having flown with Flybe on many occasions with respect to my business I am in a position to be of the view that flybe's approach to their customers is one of disdain, and contempt. Only a lunatic would predict future developments in the air travel business. If Flybe, eventually succumb to the intense competition they are experienceing from EasyJet on The Isle of Man then they only have themselves to blame.