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Old Jan 22, 02, 10:42 am
  #4  
Chiangi
 
Join Date: Sep 1999
Location: New York
Posts: 3,383
Kaoru-san, I once heard that JL typically carries over 100 top-tier elites on a 250-mile Tokyo-Osaka 'shuttle'! Not sure if this is true... but I am sure it would expand oneworld's customer base.

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">Originally posted by bedelman:
What does it mean for JL to get "a better deal from OW"?</font>
bedelman, Kaoru-san may be referring to the 'entry/admittance' fee an airline has to pay to join an alliance. This is a priviledge of being a founding member of an alliance.

I think somebody reported that when SQ joined Star, it wanted a recognition as founding member -- that is, they don't want to pay any additional fee to join the alliance.

Kaneko has also voiced his concern as to if there would be really a trade-off after JL joins oneworld.

In another interview, he also said to the effect that he has to value if it pays for JL to join it because if JL joins oneworld, JL would be the one paying for all the advertisements in Japan.

(NH -- All Nippon -- says it is paying quite a lot to advertise Star in Japan. But they also said it does bring in more revenue than what they pay for in advertisements for the alliance. NH is hardly known internationally and I think it makes sense for them to rely on an international alliance.)

<font face="Verdana, Arial, Helvetica, sans-serif" size="2">(As I recall, prior discussion -- perhaps in the JAL forum here at Flyertalk -- suggested that the constraint here might be compatibility of the JAL compter systems with the rest of OW. This seems to me somewhat different from "holding out for a better deal" generally...?)</font>
As far as I know, JL's CRS/GDS runs on Sabre. I don't know how this can be a problem. JL can get last seat availablity with AA, BA, AY, CX, QF, LA (UA, NW, CO, LH, TG, SQ, etc. etc....)

JL has already partnership with AA, BA, CX, QF and I think JL uses the same award booking inventory codes with these partners as oneworld carriers use. JL-issued award tickets on CX and AA are no different from AA-issued awards on CX or JL. A lot of integration has already been achieved. (BA still seems to have a bit different contract on award tickets with JL, though.) These bilaterals also cover a lot of routes already.

So, for JL to join oneowolrd, they need an added incentive. Besides, JL would also have to give up their ties with carriers like LH and TG. (With TG, JL has a longer history of ties with NH.)
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