Originally Posted by
Bucking Bar
Asia is a terrifically competitive market with LCC and Premium airlines that would be tough to beat from US soil. For one, we have to deal with the Department of Homeland Security and the travel restrictions they impose on non US Citizens. Then there is the issue of cheap foreign labor and government subsidies.
'Cheap foreign labor' in Asia...yes, Japan...hell no! They are one of the most highly paid (if not the highest) work forces in the world. Have you seen what a JAL pilot makes?
Now if you talk about India, Thailand, China etc....it is very difficult to compete with their overall labor expenses. But Japan is a whole different story. Having flown through our NRT hub a lot, I can see great potential for our company there. For one, they have a very high O&D market....it is the bigggest city in the world...and also one of the richest. Japanese are one of the most travelled people in the world. You see them everywhere in the US on vacation....from Anchorage to Miami! And Japanese vacationers are not your typical back-packers. They are business class travellers. And don't forget the real business travellers from Japan....from their huge manufacturing industry.
I am happy to see DAL being aggressive in defending the NRT hub. I think our current management is doing a great job on being pro-active.