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It appears that the trend for “all business class” airlines is on the way out. The year-old Maxjet filed for bankruptcy on Christmas Eve; and now the UK’s TimesOnLine is reporting that “Virgin has quietly dropped a plan to launch an exclusive transatlantic service for businessmen. BA’s rival project is understood to have stalled.” Maxjet is blaming “economic turmoil” which includes high jet fuel prices. Meantime, the airline is scrambling to help get their passengers on Eos, which is a “First Class only” airline. |
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What does this mean for the legacy rapid airlines international expansion, especially since they have placed such a great emphasis on first and business class service? Does this imply that that the market is smaller or more price sensitive than the airlines assume?
Comment by KJK — December 31, 2007 @ 1:44 am