Japan Airlines (JAL) is a black swan, or more precisely, a red crane called “tsurumaru” in the airline industry. It is nothing short of a remarkable turnaround story, a rarity in a highly competitive industry that saw national champions such as Malev go bankrupt and Air France, Iberia and the likes struggle to compete against an onslaught of low-cost carriers (LCCs) that have placed significant pressure on these legacy carriers’ …Read More
Tag Archives: Alan Joyce
The best is yet to come for Virgin Australia
Time flies. Three years into chief executive John Borghetti’s “Game Change” programme which has now evolved into the “Game On” phase, Australia’s second-largest carrier Virgin Australia transformed itself into a very different animal. Having uprooted from being a low-cost carrier (LCC) as Virgin Blue, the Brisbane-based carrier is now embarking on a portfolio strategy that promises to compete fiercely with flag carrier Qantas Airways in every single segment in the …Read More
Qantas pushes ahead with Asian strategy
While rivals such as Cathay Pacific Airways and Singapore Airlines (SIA) report lacklustre performance, Qantas seems to be upbeat about making headways with its Asian strategy to turn around its loss-making international operations. The Australian flag carrier took another step forward to enhance its presence in the region when it expanded its codeshare agreement with China Eastern Airlines (CEA). Qantas International manager China Andrew Hogg said, “We said we would …Read More
Is Qantas back on track?
Judging by its FY2012/13 first half performance, Qantas looks like it is back on track. The Australian flag carrier reported a net group profit of A$111 million (US$114 million), which is almost triple last year’s A$42 million. This was achieved in spite of the continuing show of red ink for its international operations, which one may even say was an impressive result considering the reduced losses of A$91 million from …Read More
Qantas, Virgin Australia face new industry normal
It is back to the future. In the movie the protagonist goes back to the past to seek guidance for the future. The same holds true for the Australian aviation market. Since the collapse of Ansett Australia in 2001, coupled with the proposed acquisition of Tiger Airways Australia by Virgin Australia, which is still subject to the regulatory approval from the Australian Competition and Consumer Commission (ACCC) whose final decision …Read More
A tale of three airlines in a rough year: SIA, Cathay and Qantas
It has not been a good year for Singapore Airlines (SIA), Cathay Pacific Airways and Qantas – these three airlines that are the closest rivals in the Asia/Pacific region. What they do usually make headline aviation news, whether in shaping up the competition or feeding the gossip mill, and the airlines themselves most probably are keeping a close watch of one another’s moves. It is a year that they share …Read More
Virgin Australia’s acquisition spree strengthens foundation for growth
It is “game on”, indeed. Following successfully achieving the 20% corporate market share earlier than originally envisaged which saw the increasingly stiff competition in the lucrative business travel market pushing down domestic business fares to an unprecedented low level since the collapse of Ansett Australia in September 2001, Brisbane-based Virgin Australia did not stand still. Neither did its aspirations stop soaring when Australia’s second-largest carrier recorded a 113% increase in …Read More
Qantas ups the ante in premium competition
Australian flag carrier Qantas is introducing improvements to its business class product, upping the ante in premium competition even as recovery in this segment continues to be slow. But, to quote poet Henry Wadsworth Longfellow, “Heights by great men reached and kept were not obtained by sudden flight but, while their companions slept, they were toiling upward in the night.” Among the improvements is the focus on the sleep factor …Read More
Qantas-Emirates partnership: How other players are affected
The Qantas/Emirates partnership should be about the survival of Qantas in a competitive market that has seen its international operations dipping into red ink. With the alliance, Qantas chief executive Alan Joyce is optimistic that the Australian flag carrier will revert to profitability a year after its formalisation which is pending approval by the authorities and expected to take off in April 2013. Joyce has good reasons to be sanguine …Read More