American Airlines and United Airlines announce that they were lowering the prices of their tickets. They are trying to go after the lower priced market more aggressively. Lower cost carrier airlines have become very big and popular which is causing some competition to with the bigger airlines such as Delta, United and Continental. These big companies have realized that people want to get places at a cheaper rate and they don't want to watch all the business go to the smaller companies like Spirit.
Do you think that more people will fly with American and these other big airlines if they were to lower their prices?
Do you think it is a smart choice to lower their prices in order to be better compete with lower cost carrier airlines?
Do you think that they will lose money by lowering their prices or make just as much as they were before?
https://www.washingtonpost.com/business/economy/these-new-air-fares-are-for-the-cheapest-of-the-cheapskates/2017/02/22/b0a25892-f92b-11e6-be05-1a3817ac21a5_story.html?utm_term=.db01626823af
I believe that if the price is comparable then more people will fly with them, but cheaper may not always be better. I believe that they will be making more money by lowering there price, because they are seen as a better airline, and many more people will b able to fly with them now.
ReplyDeleteYes, people would definitely fly with bigger, well-known airlines if they lowered their prices too. However, it wouldn't be a smart choice because they wouldn't be gaining money as much money and losing money if they did so, especially if they're doing so to compete with the smaller and cheaper airline companies.
ReplyDeleteI think a lot of people would would fly to the US because of the cheap air fair because want to come for vacation. I also think it is not a smart idea to compete against lower cost carrier airlines because it would just cause more controversy between the two and eventually those with lower cost carrier airlines will run out of business.
ReplyDeleteIf consumers are giving their business to companies with lower air fares, the larger companies have no choice but to lower their prices in order to stay in business.
ReplyDeleteI definitely think with airlines you get what you pay for. If the larger air companies lower their prices obviously they wouldn't be making as much money as they used to, especially if the quality of their services decrease. Some people pay the extra price for airlines because of comfort whereas others (mostly younger people) don't care as much, they just want to get to their destination. If the quality remains the same for larger airlines priced at the price of smaller airlines I believe they have the chance of winning over majority of customers due to their superior services.
ReplyDeleteI think it's great that airlines are now targeting a new group of people who can afford cheap flights. This market has good potential to be reachable for a lot more people and I think airlines can do it
ReplyDeleteI think that because flights are becoming more affordable, more people are going to be able to use this source of transportation that have not before.
ReplyDeleteI know that a lot of people will start flying more because tickets are expensive, especially for going out of country. They would loose money with doing this but more people buying tickets will make up for it.
ReplyDeleteYes I believe that more people would choose American and other big named airline companies if they lowered their prices. If they lowered their prices they would most likely keep same people as they had previously but rather get more people just by lowing the prices. I am not so sure that it is as wise as it seems but it might bring more people to fly on the bigger named airlines just by the cheaper tickets for air fare. I believe that the big airline companies would make just as much maybe even more if they lowered the ticket pries. There would be more clients for the big named airline company for cheaper then for the smaller named airline company for the same cheap price as the big named airline company.
ReplyDeletePeople will choose the bigger companies after they lower their prices because they have a long history and are therefore trustworthy. Also, compared to smaller companies, bigger companies have a wider range of flight time, seating, flight transfer, and destinations because they have more airplanes. The airline market is extremely biased toward bigger companies because they have more and better resources to win the competition.
ReplyDeletePeople will choose American airlines if they lowered the prices just to save money. they will make more money if they do lower the price. Im not sure if they will lose money but for sure they will be making more because people would love buying cheaper tickets.
ReplyDeleteI believe more people will start flying with these airlines especially since they have bigger names and a good reputation. I think they will have more people flying with them too because the bigger companies have more destinations, larger planes, and a variety of times, so more people would be drawn to purchasing tickets from these companies. I think this would help them make money and sell more seats for each flight compared to the past.
ReplyDeleteI believe people would fly with American and other airlines if they lower their prices. It is smart to lower the prices because people would continue to use the cheaper airlines if the others didn't change their prices. I'm not sure if the bigger airlines will lose money because selling at a cheaper price could mean more people are going to buy their tickets.
ReplyDeleteI would fly with cheaper airlines, but I would also pay a little more for quality of the flight. It is a smart business move to lower the prices of air fares, considering that people will want to fly as cheap as possible. I am not too confident that the big airline companies would lose enough money to make big news, but as long as they keep a good reputation no money should be lost.
ReplyDeleteMost definitely people would start to fly with American airlines because it's cheaper. The reason people would buy the ticket is because the demand price is lower for the consumer. That benefits the consumer by a plane ride and saved money.
ReplyDeleteI think it's smart to lower the price because the economy is filled with middle class people and even upper class people would love to save money as well. American airlines is making a very smart choice in their business.
I think that by lowering the prices of air fair, more people will fly. But, if the price is cheaper, that may mean that the service is too (uncomfortable seats, no leg room, etc.).
ReplyDeleteI think that by lowering the prices more people will fly American Airlines and more people with lower incomes will be able to fly somewhere they may have never been able to fly before.
ReplyDeleteThere is a different between low cost carriers and the mid range carriers like continental. The low cost carrier market is already saturated with airlines and will only cause more problems for companies like United and american to try and appeal to lower cost tickets.
ReplyDeleteAll people care about is that they get to their destination, and they do it cheaply. Most people don't really care about the quality of the flight as long as the flight is cheap.
ReplyDeleteI personally think that the bigger airline companies will ignore this since their business are doing so well. Yes, decreasing prices may do some good to them, but really in their situation I do not think so.
ReplyDeleteI think they would want to fly cheaper, I mean I would. I think it is a smart idea because then people would want to fly through your airlines. I think they will get more money just not a lot.
ReplyDeleteYes I believe more people will fly with their airlines because that is a more higher ended business and since they are going to make prices cheaper more people will feel the need to go with them
ReplyDeleteYes, I do think that more people would fly with these airlines if they lowe the price. A big problem with travel and vacation with people is that the prices and costs are too much and cannot afford it. THerefore, I believe that if the prices are lower, the consumers will be more willing and persuaded to take the flights and travel
ReplyDeleteYes, I believe that lowering the prices will increase the number of people who fly with them increase. However, they have to be careful because it may cause people to have more difficulty finding tickets and seats to get where they need to go. On the other hand, flying is so expensive and the price prevents a lot of people from traveling by plane. So by lowering the cost, it will allow more people to fly.
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