A few half truths, assumptions and disinformation there:
Originally Posted by Ultergra
Jetstar has around what, a 40% lower cost base.
On basis do you make this statement? Are you comparing apples with apples? Are the customers getting comparable levels of service at that lower cost base? It is easy to lower your cost base by providing inferior levels of service through understaffing, making customers wait in long queues, packaged vs fresh food etc. Then there is the issue of the relative fuel burns of equipment.
Originally Posted by Ultergra
Q International has experienced 787 drivers, it get morphed into a Qantas company (Qlink , Jetconnect etc) and Qantas expands. Passengers, none the wiser.
Any expansion of Qantas will be via a lower cost base.
That may be the logic, however, it neglects competitor behaviour. Are EK / SQ / CX / NZ are going to going to roll over and allow QF back on to the routes they have abandoned or reduced presence? Not likely, they will put the boot on the throat of any return. The brand has been trashed, customers have been conditioned to go elsewhere & join their frequent flyer programs. As a result a significant number will not be returning, especially with low cost base service standards.
Vietnam, SINGAPORE, Japan, HK, not so good. Sell their stake, make some money.
They would sell if they could, they know very well they can't get their investment back.