Originally Posted by
WaterRooster
Say that a combined company with a CASM half of a legacy carrier shouldn’t make them concerned? Take a look at Europe and the ULCC model over there as an example. I’m not saying tomorrow they will dangerous but give it 5 years to really get rolling and yes, it should be a concern.
CASM is not the end-all be-all competitive advantage ULCC leaders would have you believe. Driving CASM into the ground is not how big airlines actually create and sustain their success. UAL's loyalty program alone is worth more than 4 times the combined market cap of NK & F9.