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Old May 19, 2005, 10:43 pm
  #16  
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Originally Posted by wr_schwab
Unfortunately, I have not been able to find the reference that AZ Travels the World used with UA and *. The best I found was here.
I sincerely hope you are right about the new book. It is a very refreshing way of looking at it.

The reference you seek is right under your nose . It's futher up, in point number five, in the same document you quote and provide the link to.
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Old May 20, 2005, 1:03 am
  #17  
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Originally Posted by wr_schwab
It behooves UA not to do anything to oppose the continued existance of US in *. Even if they did oppose US in *, UA alone does not *A make. *A needs to look at what is best for *A. The U.S. is too big of a market for the world's largest airline alliance to not have a presence in. They need a plan B if UA implodes. This merger gives *A a very good plan B to serve the U.S. market.
"Plan B" only is a real Plan B if Singapore, Thai, Asiana, China Air (or is it Air China, I forget), SAA, SAS, and LH re-align their USA touchpoints to CLT, PIT, PHX, LAS.

In other words, it's not a real Plan B.

UA is simply the best option as they dominate the most important sites (LAX, ORD, SFO, and to a lesser extent IAD) to the * Alliance partners.

I'm unfortunately tied to HP for some corporate west-coast travel, so hope I can accure those flights on UA MP some day soon.
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Old May 20, 2005, 6:32 am
  #18  
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Originally Posted by uastarflyer
"Plan B" only is a real Plan B if Singapore, Thai, Asiana, China Air (or is it Air China, I forget), SAA, SAS, and LH re-align their USA touchpoints to CLT, PIT, PHX, LAS.

In other words, it's not a real Plan B.

UA is simply the best option as they dominate the most important sites (LAX, ORD, SFO, and to a lesser extent IAD) to the * Alliance partners.
You are absolute right that UA is currently the best option today, to go into the U.S. from the major international gateways. However if you are doing contingency planning, which no doubt *A does, the best alternative (Plan B) is not always ideal but is better then the other options.

In the event that *A needs plan B, it is much easier to add traffic from these gateways to the new US's hubs then for the old US to quickly build on their own a comprehensive national network or find another NA partner for * that is strong in the western U.S. Both of which would be options if something happens to UA, but compared to the new US remaining in * not very good ones.
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Old May 20, 2005, 10:24 am
  #19  
 
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All great posts wr_schwab. You are very correct in pointing out that UA is very dependent on the US codeshare for revenue. Which is why they will not only support but lobby to retain the new USAirways in the *A. UA is probably licking its chops to have the dominant carrier in wealthy markets like PHX and LAS feeding its International routes.

Remember that UA is quickly shifting capacity internationally. This merger makes perfect sense for UA domestic feed to asia and europe.

Also, when looking at that rather impressive combined route map, you can't help but notice that the midsection of the country is lightly covered. It makes A LOT of sense for the new USAirways to heavily codeshare with UA out of ORD and even DEN. With the reduction in aircraft, the only way US/HP will be able to cover the mid-west is through a code-share with US IMHO.
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Old May 20, 2005, 12:47 pm
  #20  
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Originally Posted by wr_schwab
You probably can get there on UAX, but there is just something nice about being able to go to a location on your home airline. Besides think of the marketing possibilities to be able to say US serves ALL 50 States. It would help drive home the point that there is a new national low cost carrier in town. Although serving Delaware doesn't make much sense with PHL being so close by.
United served "ALL 50 States" back in the 80's with large jet service no less! But look where they are today. I would suggest that the "new" USAirways serve profitable (or at least breakeven) destinations (even if they only included say 47 states)!!!

Maybe they can serve Wilmington, Delaware non-stop from PHX and LAS (with a CRJ of course)!
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Old May 20, 2005, 1:04 pm
  #21  
 
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Originally Posted by formeraa
Maybe they can serve Wilmington, Delaware non-stop from PHX and LAS (with a CRJ of course)!
Great idea -- I live in ILG. There is just no reason for airlines to service ILG when PHL is only 20 minutes North. But please don't give HP/US any ideas on substituting a CRJ for the 757 going to LAS!!!

Last edited by dukeman; May 20, 2005 at 1:14 pm
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Old May 22, 2005, 4:33 am
  #22  
 
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Originally Posted by wr_schwab
SEA_Tigger reported in this thread , UA makes about $300 million from US codeshares annually. UA had a reported loss for the 2004 of about $617 million. UA can't afford to loose an extra $300 million in revenue on top of their current losses.
Although I've heard elsewhere that Star members have an absolute veto over members based in their home country, kicking HP/US from Star not only has the effect of losing revenue for UA, but creating a new competitor that's larger than US is. UA and US don't have huge overlap in the East despite IAD, but HP and UA do compete a bit more out in the West.

Originally Posted by wr_schwab
You probably can get there on UAX, but there is just something nice about being able to go to a location on your home airline. Besides think of the marketing possibilities to be able to say US serves ALL 50 States. It would help drive home the point that there is a new national low cost carrier in town. Although serving Delaware doesn't make much sense with PHL being so close by.
I'd love to see, say, ILG-CLT/PIT, but that's because I live just over the border in PA and can get to ILG in 10 min versus about 30 without traffic to PHL. I don't see Delaware service happening anytime soon (southern DE has US Express at SBY for that traffic) - it'd make more sense if PHL were located northeast of Center City rather than just south.

Originally Posted by wr_schwab
Both airlines have opened a new chapter in their histories today. Some people have said this is like lashing the Titanic to a lifeboat in a desperate attempt to save one airline by dragging down another.

I see it as something else. They have opened a new book. The pages are blank.
HP would not have gotten in this just out of charity - US without major reform and better management is still in trouble. But although this has to be viewed as a high risk merger, I think it can work. Besides, big rewards in business rarely come without big risk.
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