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A story for cabbies to learn from
In the late 90s a small company called easyjet stormed into Europe and started to fly between small eu airports they had a reducing price policy to attract customers
they were loosing at the first few years millions of euros then ryanair came to the same market reduced the price even a bit more
IATA (the tfl of the skys) banned them from major city airports
Proper Airlines with many years of experience used to charge mad prices between 2 eu cities
I remember going to Paris used to cost around 400-500 pounds in the late 80s and most of those money goes to profits
To deal with the competition major airlines like BA first step was complaining against those companies
When they found complaining takes them no where and they started loosing they started reducing their prices with IATA helping them to keep the closest airport to the cities
Some of them sat on a table and formed something called alliances like star alliance which is the best response to Ryanair and easy jet the overall journey costs less from Heathrow on star alliance than ryanair from Stanstead leaving the cheap airline carriers with only cheap and stupid passengers
LTDA and tfl can learn alot from this
I look at the future in karhoo
In the late 90s a small company called easyjet stormed into Europe and started to fly between small eu airports they had a reducing price policy to attract customers
they were loosing at the first few years millions of euros then ryanair came to the same market reduced the price even a bit more
IATA (the tfl of the skys) banned them from major city airports
Proper Airlines with many years of experience used to charge mad prices between 2 eu cities
I remember going to Paris used to cost around 400-500 pounds in the late 80s and most of those money goes to profits
To deal with the competition major airlines like BA first step was complaining against those companies
When they found complaining takes them no where and they started loosing they started reducing their prices with IATA helping them to keep the closest airport to the cities
Some of them sat on a table and formed something called alliances like star alliance which is the best response to Ryanair and easy jet the overall journey costs less from Heathrow on star alliance than ryanair from Stanstead leaving the cheap airline carriers with only cheap and stupid passengers
LTDA and tfl can learn alot from this
I look at the future in karhoo