четверг, 19 февраля 2015 г.

Frequent flyer arrangements are limited, whereas American is closer to Cathay via the oneworld allia


The new American Airlines is fulfilling old dreams. The world s largest airline air ticket auction deals had eyed services from Dallas to greater China but was limited by factors including cost base, labour conditions, aircraft type and product to sustainably offer flights. Now through re-structuring, a new fleet and re-vamped product American Airlines has three three new routes in greater China: its first ever Hong Kong service launched in Jun-2014, Dallas-Shanghai launched in Jun-2014 and from May-2015 a planned Dallas- Beijing route.
air ticket auction deals “We’ve wanted to do this for a long time,” American VP Asia-Pacific Erwan Perhirin said at the launch of the Hong Kong route. Hong Kong with the Beijing and Shanghai routes mark the start of what will likely be further expansion from American in Hong Kong and broader Asia – and maybe even Australia / New Zealand too. The growth is dampened by financial performance, with American CEO Doug Parker remarking American s Asia services are loss-making air ticket auction deals and investments for the long term .
American s Asia network has been on-and-off in terms of profitability, with some profitable years but also some unprofitable ones caused by various factors, such as the Mar-2011 tsunami in Japan . Mr Perhirin believes American’s new scale and cost base combined with a refreshed fleet can bring consistent profits to American s Asia network.
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The route is also American’s fifth from Dallas to Asia (Beijing, Hong Kong, Seoul , Shanghai, Tokyo). The route reflects American’s recent air ticket auction deals building of an Asian presence from its mega hub in Dallas, but Dallas-Beijing is not a new thought. American considered a Dallas-Beijing route for new US-China route authorities in 2006, but the route was longer than American’s pilot union contract allowed.
Negotiations to operate the longer service air ticket auction deals did not produce a favorable outcome, with the union requesting conditions that affected the commercial viability of the service. However, bankruptcy restructuring allowed American to change its contracts in ways that now permit longer flights without the commercial restraints American air ticket auction deals previously experienced. air ticket auction deals This was also a factor delaying American’s entry into Hong Kong.
At the time of American’s entry into Hong Kong, Mr Kirby remarked American wanted air ticket auction deals a Dallas-Beijing route pending regulatory and Chinese slot approval. Dallas airport also saw a Beijing service as its final destination on its immediate wish list of air service developments. The growth further supports Dallas’ position as a hub to Asia, and reflects the growing Dallas/Ft Worth economy.
American will make use of seven of what it has identified as the remaining 37 weekly frequencies available to US carriers between the US and first tier Chinese cities. There is a total allocation of 161 frequencies, air ticket auction deals 124 of which were in use as of 13-Jun-2014.
1 Delta provides nonstop-to-nonstop China connections over Tokyo from the following U.S. points: Detroit , Minneapolis , Seattle , Portland , San Francisco , Los Angeles , Atlanta , John F. Kennedy , Salt Lake City (seasonal) and Honolulu .
American Airlines’ launch in Hong Kong complements a more well-established presence from its two main peers Delta Air Lines and United Airlines . American’s inaugural Jun-2014 Dallas-Hong Kong route started amid a flurry of trans-Pacific routes, prompting questions of sustainability.
The Hong Kong-US market has not experienced the same growth as mainland China-US, with about 28,000 weekly seats over the last two years, but this increased to about 35,000 weekly seats in Jun-2014 with American launching Hong Kong service, Delta resuming non-stop service and Cathay Pacific growing services. Overall there is over- capacity in the North America -Asia market.
air ticket auction deals American’s Hong Kong route has distinct advantages. It finally air ticket auction deals gives American’s corporate and loyal customer base an online option for Hong Kong, and a more southern online transfer point than at Tokyo (or at American’s smaller transfer point in Shanghai). American has been able to reach Hong Kong and other Asian points via Cathay Pacific and Japan Airlines codeshares.
But JAL codeshares and destinations are limited air ticket auction deals and sometimes ran at a premium. air ticket auction deals Codeshares on Cathay’s extensive US-Hong Kong flights air ticket auction deals also often ran at a premium. Further, American-operated flights hold advantages over codeshares to frequent flyers, who can be willing to pay a premium.
The selection air ticket auction deals of Dallas allows American to offer onward flights to most major North American destinations in four hours. Some destinations will naturally be circuitous from Dallas given the Hong Kong-Dallas flight length (it is the eighth-longest route in the world based on distance), but local traffic and nearby connections are strong.
The service links Hong Kong with the constantly expanding Dallas/Ft Worth area, and is especially convenient air ticket auction deals for connections to the US South and Southeast, regions that have not been large targets for one-stop or non-stop air ticket auction deals services from Asia. International connections to Latin America can be a strength at Dallas; Dallas is American’s second-largest hub for Latin American flights ( Miami is larger but non-stop flights from Hong Kong unviable for now). Nonetheless, American planned flight times to facilitate connections to key Latin American destinations including Bogota , Lima , Rio De Janeiro, Santiago and Sao Paulo.
The US’ reluctance to offer transit visas does disadvantage American (and other US carriers) in the Asia-Latin air ticket auction deals America market. US carriers can offer more Latin American destinations than the Gulf carriers and shorter connections than European carriers, and they are often competitively priced.
Airlines in almost every region is vying to be transit hub for the Asia-Latin America market . Europe air ticket auction deals , the Middle East and North America are the established transit markets, but other regions see a role. Australia sees some traffic via LAN ’s and Qantas ’ Sydney -Santiago services while Air New Zealand has in the past expressed interest in being a hub for Asia-Latin America, and in Africa Ethiopian Airlines can offer connections between its growing Asian network and emerging Latin American presence. Non-stop flights from Asia to Latin America beyond Mexico are unviable for the foreseeable future. ( AeroMexico links Shanghai and Tokyo to Mexico.)
Connections air ticket auction deals are also good in Hong Kong, where American can leverage its partnership with fellow oneworld carrier Cathay Pacific. Delta and United do not have a local partner. Cargo is also an important air ticket auction deals part of the equation, not just because of Hong Kong’s air ticket auction deals natural air ticket auction deals cargo role but the ability to route cargo beyond Dallas, air ticket auction deals especially to Latin America. American is bullish on its cargo prospects although it acknowledges payload restrictions are a factor. As would be expected, volumes air ticket auction deals are stronger out of Hong Kong.
As part of American’s entry into Hong Kong, it plans to grow its codeshare service on Cathay Pacific around Southeast Asia and India . Cathay s website does not show its codeshare on American s Hong Kong-Dallas service when ticketed non-stop, air ticket auction deals but does show it when booked as a connection. American sees itself significantly closer to Cathay than its partner in mainland China, air ticket auction deals Hainan Airlines. American describes its relationship with Hainan air ticket auction deals as “tactical” and confined to specific markets: codeshares on US-mainland China services and select behind gateway codeshares.
Frequent flyer arrangements are limited, whereas American air ticket auction deals is closer to Cathay via the oneworld alliance , although Cathay was the one which pushed for restrictions on economy fare classes that are mileage accruable. Although American is growing its Cathay partnership, it does not see this being at odds with its joint-venture with longtime ally Japan Airlines (Cathay is not part of the JV). Further, American believes Cathay and JAL having a commercial relationship outside the oneworld framework helps smooth air ticket auction deals American’s relations with the two.
Despite the strong prospects for American’s presence in Hong Kong, the service eventuated only in 2014. As noted with the Dallas-Beijing example, bankruptcy restructuring gave American greater control over crew matters that impacted commercial feasibility.
The Hong Kong’s route prospects also changed with American reducing its cost base, taking delivery of 777-300ERs better suited to the route, having a more premium product (the -300ERs in business class have lie-flat seats all with direct aisle access, unlike its -200ERs that are only now being retrofitted) and, finally, greater air ticket auction deals scale from American’s merger with US Airways .
Mr Perhirin acknowledged air ticket auction deals American’s previous under-development air ticket auction deals in Asia. “We were a late comer in Asia,” he said at the Hong Kong launch, which the airline saw as the first example of Asian growth from the “new” restructured American.
air ticket auction deals The restructuring – giving American air ticket auction deals (record) profits and boosting cash – is allowing American to “take more risk” while hard products matching that of leading international airlines makes American “more confident about new markets where consumer expectations are high”, Mr Perhirin saud. Finally, American’s aircraft backlog, air ticket auction deals including new aircraft to the fleet like the A350, 777-300ERs and up to 100 787s, gives it opportunity to evaluate routes it could not have offered in the past. Retrofitted 777-200s can also change route dynamics.
American’s growth in Asia is aimed around new cities (as seen with Hong Kong) and additional air ticket auction deals service to existing points (as seen with Dallas-Beijing/Shanghai). Hong Kong is likely to receive additional service at some point, air ticket auction deals with Mr Perhirin noting its initial 14 local staff, including 10 in sales, were not placed air ticket auction deals to support a single daily service indefinitely. But he cautions the

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