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View Full Version : Emirates need not worry about lo-co competition


BahrainLad
26th May 2004, 09:22
Dubai Airport refuses access to low-cost carriers (http://www.gulf-news.com/Articles/Business2.asp?ArticleID=122072)

How close are the DCA and EK again?

desert_knight
26th May 2004, 18:55
Hmmmm......I don't see too many posts about the lack of Low Cost Airlines out of Heathrow!

Seriously, Dubai is probably one of the world's easiest airports for a scheduled airline to get slots into. Low cost airlines are already operating out of the UAE from Sharjah Airport......only about 20Kms down the road from Dubai International Airport.

BahrainLad
26th May 2004, 19:17
Not the case, low-cos are perfectly welcome at LHR if they can get the slots and pay the fees.

If they apply for slots (readily available as you say) and pay the fees at DXB, the airport authority will take steps to prevent them from flying.

Slight difference.......

desert_knight
26th May 2004, 19:44
LHR is effectively closed to Low Cost carriers, they would not get the slots and anyway, could not afford to operate on the charges applied in the remote event that they were awarded them.

Dubai Airport has decided it does not want low cost carriers and is honest enough to state the fact.

It is hardly going to protect Emirates from competition, as your post would seem to imply, because low cost airlines are already operating from an airport only 20 kms away - a distance that is hardly going to deter those looking for such flights.

ozcamel
26th May 2004, 21:16
I thought DXB airport has an open skies policy!

BahrainLad
26th May 2004, 21:49
LHR is effectively closed to Low Cost carriers.

Yes.

But not closed.

Tallbloke
27th May 2004, 11:44
Most low cost carriers would not want to use Heathrow, it does not fit into their business plan..the chances of being able to turn an aircraft round in 20 minutes are slim, too much time is spent taxying / holding, the fees are far to high etc etc. Plus Lo-Co are not interested in interlining.

Personally I think there is a market for Lo-Co interlining with long haul carrier, perhaps easy and Virgin could come to some arrangement at Gatwick.....

Incidentally, I read somewhere that BA's penetration at LHR is quite low when compared to for instance KLM @ AMS or Air France @ CDG

easyprison
27th May 2004, 12:13
I thought BMI relaunched as a low cost airline a few years ago.

BMI= LHR

Young Paul
27th May 2004, 14:07
bmi has a low-cost fare structure, and the prices are low cost - as for that matter are BA's on competitive routes. However, since they interline, code-share, provide catering and newspapers free, have a business class, have lounges, they are not a low-cost airline.

However, I agree with those people who say that there is a world of difference between LHR - where presumably a genuine low-cost airline could join the queue for slots there, if it wanted to - and Dubai, apparently, where the airport authority has just said "no way" to any low cost airline.

Intruder
27th May 2004, 20:54
Let's see... Are the following airlines not "low cost" and the airports not "major world hubs"?!?

Jet Blue is BASED at JFK, and operates to Dulles (IAD).

Southwest operates to Houston (IAH) and LAX.

Song operates to ATL, JFK, LGA, and LAX.

Ted operates to IAD, Chicago (ORD), LAX, and SFO.

Methinks Dubai just wants to keep the competition out!

Oblaaspop
28th May 2004, 14:49
Good!!

That'll make my descion to emigrate to Dubai and join EK in July even more sound!:cool: ;)

Cap 56
28th May 2004, 15:33
Dubai is a holiday resort.

As such the touroperators are very important. If you keep them out then ……

maxalt
28th May 2004, 20:04
....EK get all the business!

In trim
29th May 2004, 11:05
Intruder's comments are correct......many of the US Low-Cost carriers operate from major airports.

The key difference, however, is that in the US most major airlines have their own terminal and ground handling and can configure these pretty much how they want them.

Can't see that happening if easy or Ryanair were to enter LHR !!

Cap 56
29th May 2004, 15:34
In the past, the European Commission has had problems with EK and has argued that while favoring competition this needed to be on a fair and on an equal basis.

EK Managing Director, Mr. Flanagan has reacted rather strongly against these arguments, always referring to the open sky policy of the Dubai Government and the independece of EK.

Having said so, I would of course like that my own employer would have the means Mr. Flanagan has, but at the same time I would realise something is not really right.

A320 SFO
29th May 2004, 19:51
Is it by chance the the Prime Minister MAKTUM bin Rashid al-Maktum is directly related to Emirates...along with various other Ministers and Municaipality members.

stormin norman
30th May 2004, 06:41
Dubai and the middle east is a great place to work, but most of the countries are in effect private estates.So if the rulers don't want anything they don't have it. (Voting booths,unions,workers rights,public enquiries etc)