FlyerTalk Forums - View Single Post - Should UA develop new hubs/focus cities?
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Old Jun 12, 2019, 7:54 am
  #104  
fly18725
 
Join Date: May 2013
Posts: 3,361
Originally Posted by MIDWESTERNFLYER
Yes, but that is quite heavily offset by the proximity of those airports to the core business districts of NYC and DC

And, just because a city that a hub is in is superior economically, doesn't mean an airline would trade one of their hubs to be in that location.
Umm, I don't think anyone was talking about the economics of the city or MSA, but rather the economics of the hub itself.

Specifically, SFO generates more, higher yielding O&D traffic. Therefore, it is economically superior as a hub to other hubs that have less O&D traffic or lower yields, e.g. DTW. Therefore, an airline would be stupid to not "trade" a hub in DTW for a hub in SFO. Of course, this is a dumb argument (that is becoming circular) because we're past a point where airlines would trade hubs.
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