Wasathangi
I am just stating the reality....ANZ is a different ball game all together.
which is quite different to what you posted here:
Every Major you mentioned has a LCC branch/section. Also are located in HIGHER POPULATED AREAS AND SHORTER ROUTES TO OTHER HIGHLY POPULATED COUNTRIES Not a country with only 22 million..Geez, should I go on
which was in reply to Air Ace:
If you are correct, I wonder how Air New Zealand, Singapore Airlines and the Middle East carriers make a profit as full service international airlines competing against LCCs and Qantas makes a profit domestically?
Virginexcess
Not doubt higher costs are part of the problem but as has been pointed out in other threads labour costs etc are very often a smoke screen. I know the motor car industry is different from aviation, however Germany has high labour costs and a motor car manufacturing industry that are doing quite well. I think Lufthansa are doing OK too.
If you want to deal with labours costs you also need to deal with the excessive salaries of CEO's etc.
Wasathangi
The LCC model works on short sectors of around three hours or less but longer than this it hasn't been a roaring success. I'm not sure it it the way of the future for long haul.