Middle East majors to dominate international travel?
Join Date: Jul 2000
Location: Dubai - sand land.
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Originally Posted by krismiler
A merger between EK and EY would make sense with routes rationalised and operations from both airports.
Originally Posted by krismiler
With reduced demand for long haul international, flight frequencies will be reduced and an agreeable two hour connection in Dubai could turn into an eight hour one which may be enough to persuade pax to pay the extra $150 for a non stop on their national airline.
EK is certainly as integral to Dubai as CX is to Hong Kong and will almost certainly receive significant state support if needed. EY and QR are copycats which jumped on the bandwagon when they saw that their similar geographic positions meant they could replicate the EK business model. In the post virus era, aviation may not be such a good investment and the willingness of the Abu Dhabi and Qatar rulers to sustain losses comes into question. Something to fly the flag, transport the migrant workers and take the rich locals shopping may be a better option than pouring money down the drain in search of world domination.
EY have already lost billions and an alliance with EK might be an acceptable option as both states are part of the UAE and their airports are within reasonable travelling time of each other. Routes, schedules and fares could be coordinated with benefits to both parties. Code share flights could give the option of EK one way and EY the other which may increase load factors and reduce transit times. An hour and a half coach ride between the two airports beats an eight hour wait for the next flight.
Qatar have very helpful in trying to maintain a network and get people home when other airlines were grounding their fleets, and are setting up to be first out of the gate with plans already in place to gradually resume their network in the near future. They have certainly earned a lot of goodwill from stranded pax. Unfortunately cracks are already showing in their finances and unless their increasing flight numbers are matched by increasing pax numbers, their days as a major world airline may be numbered. Flying around with the economy cabin half empty and no one in the pointy end won't be sustainable for ever.
Everything depends on the speed and form of the recovery which at the moment is giving some cause for optimism.
EY have already lost billions and an alliance with EK might be an acceptable option as both states are part of the UAE and their airports are within reasonable travelling time of each other. Routes, schedules and fares could be coordinated with benefits to both parties. Code share flights could give the option of EK one way and EY the other which may increase load factors and reduce transit times. An hour and a half coach ride between the two airports beats an eight hour wait for the next flight.
Qatar have very helpful in trying to maintain a network and get people home when other airlines were grounding their fleets, and are setting up to be first out of the gate with plans already in place to gradually resume their network in the near future. They have certainly earned a lot of goodwill from stranded pax. Unfortunately cracks are already showing in their finances and unless their increasing flight numbers are matched by increasing pax numbers, their days as a major world airline may be numbered. Flying around with the economy cabin half empty and no one in the pointy end won't be sustainable for ever.
Everything depends on the speed and form of the recovery which at the moment is giving some cause for optimism.
Join Date: Sep 2011
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Rest assured, Roy, that your fears will not materialise. The ME3 will remain what they are and where they are, with their success in doubt, except maybe EK.
Taking over routes, as many fear on here, would need crew basings in Europe. Now the owners in the ME fear that more than the holy water.
Administrations that can't be told what to do and ...... (gulp!) UNIONS to deal with is their worst nightmare, even worse than mergers with other Arabs.
Not that they will disappear as formidable competition, no, but they will want to keep their business model as it is.
Taking over routes, as many fear on here, would need crew basings in Europe. Now the owners in the ME fear that more than the holy water.
Administrations that can't be told what to do and ...... (gulp!) UNIONS to deal with is their worst nightmare, even worse than mergers with other Arabs.
Not that they will disappear as formidable competition, no, but they will want to keep their business model as it is.
