Airline segmentation - or how to be 'half pregnant'?

Legacy airlines worldwide have adopted varying ways of responding to LCC competition. Now the economic downturn has sapped their most lucrative business customers, the challenge becomes even greater. But, hampered by long-standing union agreements and huge fixed investments in infrastructure, a growing number of carriers are trialling new products within their existing operating structure, in an attempt to segment the market and fend off competitive incursions.

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