Airline management thinking. Is US-centric but interesting as shareholders need to trust management to balance customer needs but make money
http://www.strategy-business.com/blo...lone?gko=f1ee7
Extract -
There’s a market-based method to airlines’ current approach to pricing and passenger perks. Most industries don’t cut prices unilaterally unless market conditions, or competitors, force them to. But persistently rising demand proves that airlines don’t need to cut prices to goose sales.
And
But the flying public, simply put, should get over itself. For the fare increases have far more to do with the dynamics of the broader travel marketplace than with the short-term greed of companies.
And counterintuitive as it may seem, airlines are making a smart long-term move.