Originally Posted by
da42pilot
United and Delta “chase the same revenue” because they’re competing airlines.
The regional model blows but so does this attempt at an explanation.
When I think of revenue I think of "competition." Either competing against myself or competing against another not wholly owned, or fractionally owned by myself.
That's an external revenue stream, not internal. When you think of revenue, think of your own organic revenue within your own network.
if I owned taco bell, McDonalds, Burger King, In-N-out burger, popeyes fried chicken, KFC, Arby, and Wendy's I no longer have any real competition. But if i owned Bob's burgers as a family owned business with 6 franchise locations and my sister opens up a burger joint with my family name on it, and provides the burgers at 50 cents under my break even point she's stealing revenue from the family business. Heck, she's even using our recipe and our vendors for supplies. It's time to reign her back in or cut her out.