Branson mulls cheap airlines in India and China
Thread Starter
Join Date: Mar 2001
Location: Townsville,Nth Queensland
Posts: 2,717
Likes: 0
Received 0 Likes
on
0 Posts
Branson mulls cheap airlines in India and China
Reuters
Branson mulls cheap airlines in India and China - paper
Sun 8 August, 2004 01:00 (UK)
LONDON (Reuters) - The entrepreneur at the helm of Virgin Atlantic Airways, Richard Branson, is negotiating the launch of low-cost airlines in India and China, the Sunday Express has reported.
The plan would follow similar moves in the United States and Nigeria, and comes after the success of no-frills airline Virgin Blue in Australia.
The head of the airlines-to-music empire was "very close" to closing a deal with an Indian airline and was in discussions with Chinese firms, a source close to Branson said, the newspaper reported.
Sources told the paper Branson had talked to India's Jet Airways, Air Sahara and Air Deccan.
"I am looking at India and China and we are very close to securing a partnership in one of those countries to launch a new domestic airline," the newspaper quoted Branson as saying. "We hope to have operations in both countries soon."
Virgin Atlantic was not immediately available for comment.
===========================================
Branson mulls cheap airlines in India and China - paper
Sun 8 August, 2004 01:00 (UK)
LONDON (Reuters) - The entrepreneur at the helm of Virgin Atlantic Airways, Richard Branson, is negotiating the launch of low-cost airlines in India and China, the Sunday Express has reported.
The plan would follow similar moves in the United States and Nigeria, and comes after the success of no-frills airline Virgin Blue in Australia.
The head of the airlines-to-music empire was "very close" to closing a deal with an Indian airline and was in discussions with Chinese firms, a source close to Branson said, the newspaper reported.
Sources told the paper Branson had talked to India's Jet Airways, Air Sahara and Air Deccan.
"I am looking at India and China and we are very close to securing a partnership in one of those countries to launch a new domestic airline," the newspaper quoted Branson as saying. "We hope to have operations in both countries soon."
Virgin Atlantic was not immediately available for comment.
===========================================
Join Date: May 2004
Location: Brisvegas
Posts: 38
Likes: 0
Received 0 Likes
on
0 Posts
I wonder whether Sir Dick has factored (or is prepared to pay) bribes to government officials in both of those countries.
Seeing the effective problems with such basic fundamental elements such as certainty of title ( which is an absolute must for any foreign investment) then I would hesitate in thinking it worth while.
A fast food chain setting up shop in China encountered such a problem as was reported world-wide some years back.
3 days prior to opening, a government official told the store manager to be that the shop had to be relocated.
No funds were forthcoming (nudge nudge, wink wink) and shock horror, they were forced to move to a less desirable position and delay start up.
Yes, certain countries like that are attempting to crack down on corruption but lets face it, in a cut price airline they are going to get no tax breaks, no incentives and when the profit margin is so thin, their respective governments are going to want to protect their own government owned airlines!
I would say Sir Richard can do better elsewhere.
Seeing the effective problems with such basic fundamental elements such as certainty of title ( which is an absolute must for any foreign investment) then I would hesitate in thinking it worth while.
A fast food chain setting up shop in China encountered such a problem as was reported world-wide some years back.
3 days prior to opening, a government official told the store manager to be that the shop had to be relocated.
No funds were forthcoming (nudge nudge, wink wink) and shock horror, they were forced to move to a less desirable position and delay start up.
Yes, certain countries like that are attempting to crack down on corruption but lets face it, in a cut price airline they are going to get no tax breaks, no incentives and when the profit margin is so thin, their respective governments are going to want to protect their own government owned airlines!
I would say Sir Richard can do better elsewhere.
Props are for boats!
Join Date: Oct 2000
Location: An Asian Hub
Age: 56
Posts: 994
Likes: 0
Received 0 Likes
on
0 Posts
Is Branson in Nigeria?
Surely not he would be mad. Its the most corrupt Country on Earth.
Sheep
The plan would follow similar moves in the United States and Nigeria, and comes after the success of no-frills airline Virgin Blue in Australia.
Sheep
