Low-cost airlines are ending their honeymoon period of low prices as American Airlines has started charging for extra baggage, suggesting other airlines may follow. Airlines globally have seen reduced profits due to various factors, so they are looking to customers to make up losses through additional fees. However, charging more fees is a bad business model that can backfire on the airlines.
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Low-cost airlines are ending their honeymoon period of low prices as American Airlines has started charging for extra baggage, suggesting other airlines may follow. Airlines globally have seen reduced profits due to various factors, so they are looking to customers to make up losses through additional fees. However, charging more fees is a bad business model that can backfire on the airlines.
Low-cost airlines are ending their honeymoon period of low prices as American Airlines has started charging for extra baggage, suggesting other airlines may follow. Airlines globally have seen reduced profits due to various factors, so they are looking to customers to make up losses through additional fees. However, charging more fees is a bad business model that can backfire on the airlines.
Copyright:
Attribution Non-Commercial (BY-NC)
Available Formats
Download as DOC, PDF, TXT or read online from Scribd
Low-cost airlines are ending their honeymoon period of low prices as American Airlines has started charging for extra baggage, suggesting other airlines may follow. Airlines globally have seen reduced profits due to various factors, so they are looking to customers to make up losses through additional fees. However, charging more fees is a bad business model that can backfire on the airlines.
Copyright:
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Hindustan Times
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The new charge is unnecessary It seems the honeymoon period of low-cost airlines is coming to an end (Penny for that pound, The Pundit, September 21). With American Airlines levying extra-baggage charges, it's only a matter of time before other airlines follow suit. Around the world, airlines' profits have dipped due to various factors. So, who better than customers to make up for the loss? But this is a bad business model and can backfire.