Re: Loss shifts JetBlue's focus to climbing back into black

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Actually, the 190 was a good order decision relative to what B6 wanted to do. 
 Its CASM is so much lower than that of the A318, it made sense for them to 
go that route, particularly since it was for a fleet over 50.  Also, if you 
look at WN's first year of major growth (1982), you will see that they added a 
significant number of cities.  But back then, there was lots of room for growth. 
 B6's problem is that it isn't 1982 and markets need to be refined, not 
flooded.  They have done things backward.  They have started out as a medium-long 
haul airline, the only way their CASM numbers can go is up.  WN on the other 
hand focused on making money on shorter hauls and now reduces their CASM numbers 
constantly through longer haul expansion.  Beyond this, like I said before, 
B6 should have a booking system similar to WN's where people can choose their 
fare based on what they want, not just based on how many seats B6 has sold on 
the aircraft (which is what Open Skies does).  Neelman (who developed the Open 
Skies system) needs to redesign it to allow them to show the full range of 
fares, including a higher level completely refundable fare (which they don't sell 
for any price) like WN does.  


In a message dated 2/22/2006 2:25:36 PM Central Standard Time, 
damiross3@xxxxxxxxxxx writes:
The number one difference between WN and B6 when it comes to growth is the 
rate of growth.  WN adds no more than 3 cities a year while B6 is adding twice 
as many.  

A high rate of growth is dangerous to an airline.  Look at the original 
Braniff.  They expanded rapidly after deregulation in 1978.  They are no longer 
with us.

B6 made a major blunder when it ordered so many aircraft for delivery in a 
relativley short period of time.  Also made a bad decision in order the 190.

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