41–50 of 121 posts
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Why would they have offered to buy them in the first place then?
Frontier made an offer for Spirit.
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The problem is that Spirit is but going to survive 2024. Between their debt situation and a number of their A320 Neos about to be grounded thanks to a Pratt and Whitney eff-up, they won't be around long enough to keep anything competitive.
If that's the case, why does JetBlue want to acquire them now? Why not wait until they file for bankruptcy protection, and likely get a much better deal?
Earlier quoted context omitted.
Besides that it's a bad ruling because the US spent years allowing mergers between large players that were clearly anti-competitive, and now in the environment of dominant airlines, it's applying the rules that it should have to the big players, but to smaller airlines who are now at a disadvantage due to their size. It's an utterly feckless uneven application of the rules to everyone's detriment. You couldn't have d…
Yes this is terrible. All it does is ensure Spirit will continue to be terrible until it goes under and prevent a major competitor from arising for the big 3 airlines. The doublespeak required to say that keeping Spirit as it is pushes air ticket prices down is baffling, unless we are to assume that the quality that you get with Spirit is in any way comparable to the large airlines (it's not). It's almost like saying…
2) Their ticket prices are often a fraction of the others. Even if service quality is lower, I’d be surprised if it wasn’t pushing down overall prices.
He said straight up that Spirit Airlines is aiming to be the Dollar General of the skies. If you want something luxurious, go elsewhere. But he called out the other airlines who pretend like they are the Nordstrom of the skies, but don’t actually live up to that.
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Ironically I think Spirit’s big front seats are the best value in the sky in terms of price and comfort, and they’re usually available if you book early enough.
> big front seats Do you mean business class?
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The problem is that Spirit is but going to survive 2024. Between their debt situation and a number of their A320 Neos about to be grounded thanks to a Pratt and Whitney eff-up, they won't be around long enough to keep anything competitive.
If this is the case, then an acquisition to prevent a competitor from going bankrupt should generally not be anti-competitive? Since, they would no longer be your competition anyways?
An analogy would be two competing gas stations at a very busy intersection with no plots nearby to build more stations. Just by existing they either drive each other down on price or collude on it. One going under means a new station could exist, but one buying the other guarantees prices do not go down.
This is a bad ruling, Spirit is likely to go under without acquisition. Neither firm had particularly large share of market.
Besides that it's a bad ruling because the US spent years allowing mergers between large players that were clearly anti-competitive, and now in the environment of dominant airlines, it's applying the rules that it should have to the big players, but to smaller airlines who are now at a disadvantage due to their size. It's an utterly feckless uneven application of the rules to everyone's detriment. You couldn't have d…
Why not view it as, this is a good start and hoping it continues to prevent even more consolidation and monopoly in airlines and other industries? The notion that there has to be more consolidation to compete is only good for the companies monopolizing - not the consumer. Why should we be helping them make more profit by abusing market power versus delivering better products and competing?
Earlier quoted context omitted.
Besides that it's a bad ruling because the US spent years allowing mergers between large players that were clearly anti-competitive, and now in the environment of dominant airlines, it's applying the rules that it should have to the big players, but to smaller airlines who are now at a disadvantage due to their size. It's an utterly feckless uneven application of the rules to everyone's detriment. You couldn't have d…
Yes this is terrible. All it does is ensure Spirit will continue to be terrible until it goes under and prevent a major competitor from arising for the big 3 airlines. The doublespeak required to say that keeping Spirit as it is pushes air ticket prices down is baffling, unless we are to assume that the quality that you get with Spirit is in any way comparable to the large airlines (it's not). It's almost like saying…