Originally Posted by tnkrdrvr

I would argue diversification is good. You simply need to diversify into areas that leverage preexisting company strengths. Why does United not have a dedicated freight service for moving the more valuable types of time sensitive cargo that can pay to move jets even when pax demand is low? Why didn’t corporate leadership look into business ventures where it’s IT architecture could serve other businesses’ needs? United was content to just be a pax hauling airline with no significant cash flow from other business lines. This meant it would always be vulnerable to anything driving down demand for air travel significantly. A diversified corporation draws income from several areas enabling it to weather downturns in any one business line.