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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsUnited Airlines: Another corporate crybaby that loves the free market -- until competition emerges
(Bloomberg) United Continental Holdings Inc. (UAL)s grip on Houston, home to its busiest hub, is under attack from Southwest Airlines Co. (LUV)
Southwest wants to build an international terminal at Houstons secondary airport, casting itself as a monopoly-buster that will serve Mexico, the Caribbean and Latin America. United says that dividing such flights in Houston threatens the citys main gateway, George Bush Intercontinental Airport.
Both carriers covet overseas travelers, who typically pay the highest fares. For United, the worlds largest airline, keeping those fliers lends urgency to its defense of a market it dominates. For Southwest, the biggest discounter, pulling some of those passengers to its base at the citys No. 2 airport would help boost profit.
United risks sounding like a bully thats trying to squelch new competition, said Henry Harteveldt, an Atmosphere Research Group LLC analyst in San Francisco. The big question is, what does Houston feel is the best use of their money and whats best for the community? ...............(more)
The complete piece is at: http://www.bloomberg.com/news/2012-05-03/united-fights-southwest-in-texas-to-keep-grip-on-busy-hub.html
KG
(28,749 posts)convinced an army of mom's-basement dwelling doofuses to call into radio shows all day claiming the lack of free markets is why they're living in their mom's basement.
xchrom
(108,903 posts)Major Nikon
(36,814 posts)Corporations use government regulation to squash competition all the time, and nowhere is this more true than in aviation.
JustAnotherGen
(31,681 posts)Because I hope Southwest is successful.
We spent three days in hell at the Belize in Balmopan this week because of an egregious mistake made by United.
Finally make it back in the wee small hours of the morning on Wednesday to New Jersey. We are waiting for our ride and one of the Town Car Drivers heard us raging about this and he said . . . "well, it's going to be your only choice for the Caribbean".
Now - American flies in there as well . . . but I've had horrible experiences with them to (traveled extensively for leisure and business over the years).
The more airlines to choose from - the better. At least I have PLENTY to choose from when traveling to Europe - but I'm soured on Central America until I have an option other than those two. And I really really really want to see Panama, Guatemala and Costa Rica in my life.