Originally Posted by
Bucking Bar
Slowplay, ACL, or anyone else ...
What is your take on Qatar, or Emirates, and their plans for growth. Part of the reason I didn't jump is the impression they are inflating a bubble with unsustainable growth. However, I've not dug into their margins, or load factors as they expand.
Informally, a surprising number of international travelers I've spoken with recently have mentioned either having traveled on, or were anticipating their first trips on Qatar. Does the competitive advantage these carriers enjoy as a result of their quasi government sponsorship make them unstoppable, or is their trajectory more likely to the Indian carriers that were growing so quickly just a couple of years ago?
They are going after soft targets like Air Berlin that has 5th Freedom Rights. I suspect you will see them try to branch out from just the ME hub and spoke system. They have the money and governmental backing. Even if their bubble does pop some day, the current trajectory leads to many headaches for us and the European carriers in the meantime. Best way to fight them is legislatively; ala make sure foreign ownership rules are always under the majority control(all foreign ownership not just one party), and cabotage is a national security issue as well as a jobs issue. Just my .02