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LIVE: The Hidden Struggles of Australia's Airlines: Why a Third Competitor Can't Seem to Take Off
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In this episode, Jeremy Cordeaux interviews aviation expert Bruce Dale, discussing the challenges faced by airlines in Australia, particularly the difficulties of maintaining a viable third airline in the market. The conversation covers the history of airline failures, the economic pressures on the industry, and the specific challenges of operating in the Australian market.
Key Topics Discussed:
- History of Airline Failures in Australia: Overview of the numerous airlines that have gone bankrupt in Australia, highlighting the difficulties of sustaining a third airline.
- Challenges in the Airline Industry: Discussion on why the airline business is inherently risky, including high operational costs and the need for additional revenue streams beyond passenger tickets.
- The Australian Market: Analysis of the unique challenges in Australia, such as long flight sectors, the concentration of population in a few cities, and the competitive pressures from established airlines like Qantas and Virgin.
- Rex Airlines: Examination of Rex Airlines' attempt to expand into major city routes and the financial difficulties they faced as a result.
- Future of Airline Competition in Australia: Speculation on whether another attempt at a third airline might succeed, given upcoming infrastructure developments like the Western Sydney Airport.
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