Sky-high ambitions
More budget airlines in Asian skies will mean more competitive pressures, but any airline that manages its costs and differentiates its services can still thrive.
- Published: 10 Oct 2012 at 14.17
- Newspaper section: Asia focus
Despite weaker bottom lines, fiercer competition and high fuel prices, the biggest burden for any airline, the low-cost carrier (LCC) business in Asia remains attractive with more room to grow, say industry executives.
The reopening last week of Don Mueang in Bangkok to serve budget carriers was evidence of a belief that demand for affordable flights will continue rising. So too was the demolition last month of the budget terminal at Changi, where Singapore authorities are building a new one to serve 7 million passengers a year.
Kuala Lumpur already has a dedicated LCC terminal, and AirAsia is urging Indonesian authorities to follow suit, though not necessarily in Jakarta.
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