FlyerTalk Forums - View Single Post - Will DL serve AKL (Auckland, NZ)?
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Old Nov 9, 2016 | 11:19 am
  #14  
ProfRB
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Join Date: May 2014
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I appreciate and agree with the insights offered by you wise and worldly FT-ers. I know that Delta can -- and does -- analyze individual routes for profitability, and can shift routes on a dime to fit demand. Still, I wonder if there is some value in having at least a moderately strong SE Asian presence, even if it's a moderate loss-leader, in return for the ability to credibly say "we're a truly global airline who can get you anywhere in the world". I don't think that would necessarily require adding very many additional routes, but it would require a robust partnership with a strong SE Asian regional carrier. I have no idea what the economics of such a partnership are. I also wonder if there's value in sacrificing some level of short-term profitability for the long-term investment in a market that's sure to grow down the road. On the other hand, I understand that this is a ruthlessly competitive (and competitively volatile) industry, and that anything beyond a modest loss would not be sustainable even if long-term it might be defensible. Thoughts?
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