Airlines from Asia and the Middle East are undertaking the
biggest market segmentation exercise ever, with targeted low cost brands becoming
the common model. Separate leisure and business brands controlled by a parent
are being established on an unprecedented scale in the region, starting back
in the mid-1990s with Air New Zealand’s establishment of LCC subsidiary,
Freedom Air. Since then, Qantas has been enormously successful with its Jetstar
franchise, with similar moves by Singapore Airlines, Thai Airways and Air India.
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