Etihad Airlines’ business strategy of taking financial stakes in LCCs hasn’t produced the positive financial results desired.
Three big airlines, EK, EY and Qatar Airways, face over-capacity now compounded by electronic carry-on restrictions by the US and UK.
Figure 1. Click on image for a crisp view.
The thee carriers largely compete for the same connecting traffic through hubs only 72-235 miles apart (Figure 1). This is like having hubs in Milwaukee and Chicago (81 air miles apart) and Chicago-Detroit (237 air miles) with much, much smaller domestic catchment basins.
Declining financial results for Emirates, Etihad.
Deferring airplanes: 787s, 777X
Long-haul LLC, Trump travel ban, poor investments hurt the airlines.