what really happens at qantas ??, page-30

Bossdog,

I believe that QAN is on the wrong path with the Asian expansion plans. If they are so confident that it will work, why is Jetstar Asia still unprofitable? What is it that makes management think that they can set up in Asia and automatically make profits? They have already proven to themselves that they cannot achieve this, and that is with a LCC. With LCC's such as Air Asia and the like expanding almost monthly, how will a full service airline set up by QAN compete, especially on short route trips intra-asia? Are people really looking for a full service carrier to fly them on a flights that will mostly be under 3 hours? I am not convinced. Also, how much will QAN need to spend on setting up a full service airline? Wouldn't that money be better placed fixing the fundamentals here in Australia?

Unlike many, I believe that QAN is capable of providing a quality airline experience in both Domestic and Long Haul divisions. They get most of it right, but there are holes in their operations. If they consolidated a few services here, created a few new exciting routes, improved the FF program rewards/points usage flexibility and got back to the basics of focusing on the things they do well, QAN may again fly high and see a return to some healthy profits. QAN has made over 1 Billion dollars in profits before with operations based in Australia (with union workers), no reason why they could not do it again, but they do need to lift their game to achieve this (IMO). The recent times of outsourcing, downsizing the workforce from real jobs to casual part-time in many areas has only created a mediocre work force who will put in minimum effort, and it reflects big time with the final product. I say go back to giving people full time jobs, reasonable conditions and pay rises (when warranted) and you will end up with a very happy and productive workforce. This I believe is the key for QAN to return to its former days of glory as one of the world's best airlines. Sadly, it seems obvious that this strategy is not on the minds of current board and management. I believe that John Borghetti largely holds this philosophy and is making wholesale changes at Virgin to improve the business. Will be interesting in 3-4 years time to see which strategy works, as they are both heading in very different directions. If I was a private owner of a company such as QAN, I certainly would not be willing to throw truck load after truck load of cash into Asia, very risky ( as the case has so far been proven with Jetstar Asia and Jetstar Pacific Airlines). When will they learn the lesson??

Cheers to all,

Surfrat.

Cheers to all