Re: Avgas Coming Down?




Martin Hotze wrote:
"Robert M. Gary" <N7093v@xxxxxxxxx> wrote:

Of course, if you don't like the company I'm sure they would not send a
hit-man to your house if you chose to buy your gas elsewhere.


one outcome is that AUA (Austrian Airlines) is cancelling their flight from
Vienna via Bangkok to Sydney with a B777 due to inefficiency, better: too
little margin on profit. They have more than 80% seats sold per flight, so
they can't get much better on this long distance, and they can't get any
more economical as they already use a B777. Fuel prices cap their profit
margin. So they have to close this destination (at an 80%+ of sold seats!)

Sounds like a good example of free market getting rid of inefficient
airlines. There must be a reason they choose to not just raise their
fares. If its because of competition that just shows you that someone
else is able to do it more efficiently. If its because the customers
won't pay more it just shows that the route isn't important enough to
them. People have to decided what is important for them to spend their
money no. For most of the world, airlines are not a social service.

-Robert

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