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Non-Tech : Airline Discussion Board
JETS 20.74-0.6%Jan 24 4:00 PM EST

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To: Sam who wrote (1609)7/14/2021 11:48:23 AM
From: Art Bechhoefer   of 1699
 
The WSJ article overlooks the key variable in airline profits – number of gates, landing and takeoff spots for a given airport at a given time. United controls most of the space at Newark airport. American Airlines dominates Charlotte. Delta has a somewhat dominant position in Atlanta. Fixed costs are not entirely tied to aircraft ownership, since many airlines lease their aircraft. It is definitely tied to the cost of airport terminals and gates, which should have been mentioned in the article. Cost cutting should also have been noted, as expressed in cutting number of flights, creating fewer non-stop flights in favor of more stops and connections, and cutting food and other amenities to the bone. So much for customer satisfaction.

Art
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