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LY CEO: Can't Join Alliance Because We're Jewish

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LY CEO: Can't Join Alliance Because We're Jewish

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Old Feb 17, 2012, 3:02 pm
  #16  
 
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Originally Posted by entropy
I'm not surprised. Typical of LY to blame anything but themselves....
Global alliances typically look to fill "holes" in their networks.
True, but top markets from TLV (UK, USA, France, Canada etc.) are already well served by alliance members.

Originally Posted by entropy
Oneworld has europe to everywhere with BA (and IB I guess), BUT, they have the best fit for LY (possibly) if LY codeshares with RJ on the TLV-far east, those passengers could avoid schlepping around the arabian peninsula. And OW doesn't have any TLV-North america. And, AA codeshares with LY already, so why bother with the "alliance".
Yes, Oneworld would be the best fit, but Oneworld don't want to rule out EY possibly joining them (EY says that they may join an alliance, probably OW or *A). *A also don't want to rule out any Gulf Carriers joining them, and SkyTeam is already written off with Middle East Airlines and Saudi Arabian. If ME, QR, GF, KU, WY, EK, EY and SV don't want to be in the same LHR terminal as LY then I don't see them wanting to be in the same alliance.

Originally Posted by entropy
The truth is that LY is a penny-ante operator. They're as cheap as possible at every turn.
That's why when they need to expand in London, they become the only non low-cost airline at LTN (Instead of LGW)

Originally Posted by Jumpgate
None of the alliances need LY. It really doesn't plug any holes. Getting to TLV from N. America, S. America (via Europe or N. America), is exceedingly easy w/o LY.
I agree.

Originally Posted by Jumpgate
The most difficult places to get to from TLV is India and the rest of Asia. But via TLV's handful of flights, connections via IST, AMM, and that random KE flight to ICN, people seem to get by.
Yep, EL Al only operate to BOM, BKK, PEK and HKG, and only have limited codeshares from BKK. But otherwise, connections are okay.

Originally Posted by Jumpgate
When Moshiach comes and there's peace everywhere and everyone loves each other, maybe someday there will be flights on Qatar, Etihad, and Emirates from TLV to DOH, AUH, and DXB. LY would finally have to compete with real airlines instead of being shielded from competition as a side effect of geopolitical realities.
Yes, there would be competition, but even if peace comes soon, normalisation of relations, trade and travel would take some time to come, and only then would those airlines operate.
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Old Feb 17, 2012, 3:58 pm
  #17  
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I'd like to see LY become part of Oneworld, as it's probably the best fit for the airline if Royal Jordanian and British Airways doesn't make a fuss of it.

LY already operates from the same terminal as various other Middle Eastern airlines in some countries; and not all alliance members operate from the same terminal at all airports where more than one alliance member operates. So I don't see a terminal co-location issue being a major problem. The bigger hurdle will be if standing members of any of the big alliances are willing or unwilling to let LY in for far more narrow, immediate commercial self-interest reasons.
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Old Feb 17, 2012, 8:34 pm
  #18  
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Emirates from TLV to DOH, AUH, and DXB. LY would finally have to compete with real airlines instead of being shielded from competition as a side effect of geopolitical realities.
If there was true peace and EK was able to fly to TLV, LY would be burnt toast.
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Old Feb 18, 2012, 2:34 am
  #19  
 
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Originally Posted by entropy
If there was true peace and EK was able to fly to TLV, LY would be burnt toast.
I beg to differ. If it were possible TLV would have been able to become a real hub - with LY offering real connections, as TLV is positioned extremely well geographically, and if geopolitics and overflight restrictions were not an issue this location could be perfect ( at least as DXB or DOH) for connecting Europe with India, APAC and Africa.

That being said - they would still have to have competent management, which is not the case today.
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Old Feb 19, 2012, 9:24 am
  #20  
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Old Feb 21, 2012, 9:54 am
  #21  
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Originally Posted by BATLV
I beg to differ. If it were possible TLV would have been able to become a real hub - with LY offering real connections, as TLV is positioned extremely well geographically, and if geopolitics and overflight restrictions were not an issue this location could be perfect ( at least as DXB or DOH) for connecting Europe with India, APAC and Africa.

That being said - they would still have to have competent management, which is not the case today.
I don't think that LY management have the knowledge and experience of working on fares that aren't intended for the O&D market. If they had, then they would have had fares to JNB from NYC, AMS, LON, PAR etc. for the 2012 World Cup. They only offer connections in limited quantity on J-class/O-class from LON to BKK etc. If they were to create a real ladder of fares, perhaps they may fill up some planes during low season to/from TLV.
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Old Feb 21, 2012, 12:55 pm
  #22  
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I agree that if peace comes and relations normalize, LY is toast. It just can't compete with the fancy gulf airlines.

I agree that TLV has potential as a hub esp for connecting traffic from Europe to Africa & Asia. It also is more geographically logical to connect there from N. America to Africa that in Europe or the Gulf.

But TLV & LY would have to move fast.

The reality is that lack of peace in the Middle East has a side effect of protecting LY from a ton of competition and allowing it to become complacent in its way of doing business, treating its frequent flyers, and up keeping its fleet.
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Old Feb 21, 2012, 3:58 pm
  #23  
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Originally Posted by Jumpgate
I agree that if peace comes and relations normalize, LY is toast. It just can't compete with the fancy gulf airlines.

I agree that TLV has potential as a hub esp for connecting traffic from Europe to Africa & Asia. It also is more geographically logical to connect there from N. America to Africa that in Europe or the Gulf.

But TLV & LY would have to move fast.

The reality is that lack of peace in the Middle East has a side effect of protecting LY from a ton of competition and allowing it to become complacent in its way of doing business, treating its frequent flyers, and up keeping its fleet.
I don't know how much longer that will last. It's competition is now UA - the largest airline in the world, and part of the largest alliance, *A. UA is really working to improve the hard products, is already lie-flat, and may switch to a 3-cabin plane. They offer E+ which is extra legroom, and lots of them (70 seats or so) for about $100, and free for elites. They will be installing WiFi as well.
LH is upgrading C to lie-flat. LX is already there. LH may be installing WiFi, and LX may follow soon after. Factor in AC and US, and *A has a nice wide-body presences will solid carriers.
If you add the other airlines that are there, you can see that the competition is really upping its offerings and game, and is quite large. How much longer can LY last before becoming a competitive airline?

They do have some going for them: To the Far East, they're the only ones. For short-haul flights, they're the best, and pricing is that much off from the competition. Finally, you have a market, for sure in USA, and probably other places, that just won't fly anyone but LY. Some are deluded; some do it to support an Israeli company; some do it for security. Whatever the reason, some of those people can be convinced to switch; others not.
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Old Feb 22, 2012, 12:30 pm
  #24  
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; some do it to support an Israeli company;
I would, but its more important to sleep well (and as long as LY has frayers who pay more and put up with a lousy hard product, what incentive do they have to improve)?

I'd be much happier supporting an Israeli company because they excel.
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Old Feb 22, 2012, 12:42 pm
  #25  
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Originally Posted by entropy
I would, but its more important to sleep well (and as long as LY has frayers who pay more and put up with a lousy hard product, what incentive do they have to improve)?

I'd be much happier supporting an Israeli company because they excel.
I agree with you 1000%. Unfortunately, not everyone else does. Or maybe they don't realize what a disservice they're doing to themselves (and others).
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Old Feb 22, 2012, 2:52 pm
  #26  
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I've also seen this phenomenon. A good friend of my parents' lives in Center City, Philadelphia. She has grandchildren in Zichron Yaakov so she makes regular trips to Israel.

She *always* makes the trek to EWR or JFK just to fly El Al even though there is a non-stop on US from PHL or easy one stops in Europe on BA/LH/AF. Her reasoning is "safety".
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Old Apr 2, 2012, 4:02 am
  #27  
 
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Red face

Through tighter integration with partners, LY could achieve the many of the same benefits of joining an alliance without having to satisfy all the alliance requirements.

Terminals - Move to partner terminals or terminals with a particular alliance presence.

Lounges - Contract to use partner lounges at LY destinations and partner hubs.

FFP - Arrange for deep reciprocal benefits between LY and partner programs.
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Old Apr 2, 2012, 5:08 am
  #28  
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Originally Posted by ByrdluvsAWACO
Lounges - Contract to use partner lounges at LY destinations and partner hubs.
They already have this with many partners

FFP - Arrange for deep reciprocal benefits between LY and partner programs.
They have such a crappy program, they need to just restart the whole program entirely
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Old Apr 4, 2012, 4:34 pm
  #29  
 
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Originally Posted by joshwex90
They already have this with many partners
Not really. In ORD they use AZ's lounge, JFK uses the Jet Air lounge, MIA-Club America, etc.
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Old Apr 5, 2012, 1:46 am
  #30  
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Originally Posted by ByrdluvsAWACO
Not really. In ORD they use AZ's lounge, JFK uses the Jet Air lounge, MIA-Club America, etc.
Meaning that you can almost always access a lounge, no matter what the airport
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