Some bimbo on a confession site: My life suck..blah..blah.. I screwed up my education..blah...blah... Boyfriend left me...blah blah.. Parents are unhappy.. blah..blah... Can I build a good carrier? blah.. blah... My (long and well thought out) reply: Frankly, my dear lady, I am not sure if you can build a good carrier. I mean, we all expected Vijay Mallya, with his flamboyance, money and connections, to be able to build a good carrier but his venture has gone bust. Air India isnt doing well either. In fact other than Indigo no one has been able to build a good carrier. The reason it is hard to build a good carrier in India is over-competition and undercutting of prices by Indian Airlines which cannot compete through better service so it tries to compete using the easiest possible path - ticket price. That forces everyone else to lower their prices and well no one ends up making money. Coupled with that, high cost of Aviation Turbine Fuel and taxes on top of that and we, my dear madam, have a situation where building a good carrier has become near impossible. Now you could of course try to build a good carrier abroad but globally too the situation is just as bad. Besides getting permit to fly an international carrier is harder than finding an ounce of story in a Salman Khan movie. Please understand that this is an endeavour where the initial investment is huge and the fixed cost are high too. I would, therefore, in all my wisdom suggest that is inconceivable for you to build a good carrier.
Posted on: Mon, 27 Jan 2014 10:04:16 +0000
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