AA at LAX and Asia flying

AC AA LA FA

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Aug 21, 2002
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http://www.thestreet...oo&cm_ven=YAHOO Found this a good read on AA's position at LAX and their strategy moving forward. With new management and business plan on the horizon it will be interesting to see how much of the "Cornerstone" concept will be included in maximizing performance and profitability. It has been noted by US that there are other revenue generating opportunities that fall outside of the current "5 hub" arena. While an impressive presence is important at LAX, dominating the market or continuing to try might be very difficult if not impossible to do.
 
note that they are quoting a former AA employee who is now at VX. Not exactly the most likely person to know AA's strategic plans, current finances, or even the state of the int'l market.

Also, note that the article states that the LAX article highlights that the LAX market is highly competitive.

LAX is of utmost strategic importance for AA to hold onto but the chances of them profitably growing LAX- Asia are very low.
 
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Cush, in my opinion might know AA's operation better than other observers/analysts as a result of his time at American. In the end it is just another opinion and you know what they say about those....LAX has been and always will be important to American and yes very competitive-especially to Asia. At a gate restricted and fragmented market such as LAX you can only do so much. I think it might be time to fine tune what AA has there and consider capturing other revenue. Many of these opportunities have gone unexplored as a result of the staunch focus on 5 stations and their hub status..I think to come with the merger there will be an adjustment made to that approach.
 
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