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Old 27th Dec 2013, 19:21
  #1331 (permalink)  
ALAEA Fed Sec
 
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Feel free to actually argue why not, it's a bit difficult to debate a faith based argument. I've given a fairly clear reason why Merc/Hyundai is not appropriate, if you want to go with the God, i.e. just believe, argument then we're not going to get anywhere.
Sorry Romulus, I don't believe you have given a clear argument. I don't argue based on theories or god, I like to look at behavior and in the case of airlines, pax loads. I'll show you.

Nothing of the sort. The premium product in this case is available only to a few, the rest of us travel down the back. Unless of course you are suggesting that economy travellers would pay a "substantial premium" for economy travel. Which actual behaviour suggests many won't.
Your statement about actual behavior is not supported by any data. You just make a broad brush statement that essentially says people won't pay much more to travel. I say that they need not pay much more at all and use a $10 argument to show how the 50Mill pax who travel on Qantas (based on reported pax numbers from their monthly data) could generate $500Mill more income.

Of course neither of us are privy to the actual fare prices but I think it safe to make a couple of assumptions here as I show you some further figures. I assume Qantas are charging a little more than Jetstar and PAL on the same routes. If people didn't want to pay a tad more, why do you get figures like this -

Qantas Sept loads to/from Manila - 75.3% versus PAL 63.3%

Qantas Sept loads to/from Japan - 83.5% versus Jetstar 67.1%

I say that people are prepared to pay a little more. What evidence do you hold that supports your argument that people won't?

As for your focus on efficiencies I would have to agree. I've always said that Jetstar, Qantas and Qlnik Engineers should be working from the one smoko room helping each other during quiet times. They'd use one combined set of tooling, one management/support structure and eventually one wage agreement. Unfortunately Qantas think it more important to make sure these guys aren't allowed to talk to each other. I tell you the place is being run by fools.
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