Star Alliance Expansion

[Ukridge]

Interesting article in the German newspaper yesterday concerning the expansion of the Star Alliance http://www.welt.de/data/2005/03/16/611373.html
Your browser should allow a translation. If not, it looks as TAP has been added with South African soon to be online. Jaan Albrecht, the CEO of the Star Alliance also talked about expansion into China. The Star is not yet fully coupled with regional reach into China and this is something they very much wish to have. Africa, particulary West Africa is a region of interest.
Lufthansa's bid for Swiss is quite serious and will inolve Swiss' severing of its Oneworld relationship.
This is probably old news to most of you, but I found it interesting to glimpse at what Star has planned over the horizon. What I found the most interesting however, was the concept of a common Star reservation system. Now this is what such an alliance should be doing and I am pleased that such efforts are being made. I also like the motto "The airline network for earth."

Disclaimer - the above information was not the result of trenchant analytical work on the part of Ukridge. Nor did it involve this information being passed to me directly by Jaan Albrecht via telephonic or written communication.

 

[whlinder]

China and India will be the next 'battlegrounds' for the alliances. Who can come out of those regions with the best partnerships? IMHO it will be VERY interesting to watch what happens with regard to CX/CA, now that they might merge. CX is a pillar of oneWorld, but CA is a LH/US partner.

 

[Ukridge]

Excellent point Whlinder concerning India and one that I forget to mention. Albrecht was very clear about his interest in India as well he should. Just from a pure demographic consideration, India and China have to be at, or near the top, of any reasonable planning for the Star. Not only do these two countries embrace a significant percentage of the world's population, but more importantly, this percentage is now actively engaged in the world marketplace. Albrecht is astute in his desire to look for inter-China and inter-India connections for his passengers.
Although not overtly mentioned, there was his oblique reference to something in the Middle East (what we call the near East). I know that Emirates has often stated that they have no interest in an alliance but it does make one wonder. Emirates, Air China, and something in India would very much cement a strong Star.
Fascinating how it is going to play out and if Star can successfully manage having so many players on the pitch - it could get a bit out of hand if not careful. Service qualities need to be maintained if they are going to pitch the concept of my dropping a bag at the counter in London and picking it up somewhere in the middle of China, India, the U.S., or Africa.

 

[North by Northwest]

China Southern...largest carrier in PRC. China Southern entrenched with SkyTeam. Agreed, great credo for Star. I wanna puke evertime I see that dumb French slogan "Caring more about you".

 

[jimntx]

Disclaimer - the above information was not the result of trenchant analytical work on the part of Ukridge. Nor did it involve this information being passed to me directly by Jaan Albrecht via telephonic or written communication.

[post="256507"][/post]​

Oh, admit it. You learned this directly from Jaan when the two of you were having lunch with unnamed inside sources that are actively involved in the negotiations but that you can't name at this time. When would now be a good time to come clean about your insider connections.

 

[Ukridge]

"When would now be a good time to come clean about your insider connections."

Ok, you have cracked the code. B) I play squash every Thursday afternoon with Mayrhueber and Albrecht and they fill me in on the latest. Had to cancel last week though because I had a pheasant shoot with the new chief at BA and wanted to get the inside on his plans. Quite a bit on the plate at the moment juggling all this info without revealing the sources!
Or, it could be that I am employed in custodial services at the Star offices in Frankfurt and overhear all this in the exercise of my assigned duties.
Cheers

 

[Cosmo]

I play squash every Thursday afternoon with Mayrhueber and Albrecht and they fill me in on the latest.

Ukridge:

Be careful -- the guy who hands you a towel after your squash match may really be a certain US Airways captain in disguise, trying to overhear your high-level discussions so he can post it on USAviation and then claim that he said it first!

 

[RowUnderDCA]

the Captain Clouseau of intermational airline industrial espionage

 

[Ukridge]

Come to think of it Cosmo you may be on to something. I remember sitting in on the lunch meetings when the Air France/KLM deal was being hammered out. The odd thing was that one of the caterers look very suspicious to me. Every time I motioned for my glass to be refilled or a second service of the main course, I could not help but percive that one of the wait staff had to quickly push a notepad back into his jacket. Since the meeting was an amicable one, I little suspected that our remarks would be overheard.
Now you have me thinking.... perhaps that waiter was the same one who was crewing on the yacht when we had the reps from South African Airways and TAP on board.... and as you mentioned at the fitness club for the squash.... :unsure:
I will be on the sharp when it comes time to host the delegation from Air China.

 

[Cosmo]

... a second service of the main course ...

Ukridge:

You must be even more Churchillian than I had previously suspected!

(Sorry, my apologies, but I couldn't resist an opening like that.)

 

[Ukridge]

Errrr. Uhhhhh. Ummmmm. Well, it would have been bad manners not to properly tuck in at the table no? My mum always told me not to offend the host and hostess

 

[novaqt]

Ukridge:

This article appeared back in July 2004 in The Hindu Business Line, an internet business journal. Could this be where Lufthansa and the Star might be interested in India?


"Rono Dutta to head Air Sahara
Our Bureau



New Delhi , July 10

THE private sector airline Air Sahara has a new person at the helm of affairs. Sources in the airline confirmed that the former President of the American airline, United Airlines, Mr Rono Dutta, is to head Air Sahara.

The current Chief Executive Officer of the airline, Mr U.K. Bose, is being shifted to assist in other operations of the Sahara India Parivar, sources said.

Although, Mr Dutta will take over at the helms of affairs of the domestic airline only now, he has been a consultant with the airline for the past four months.

During the short innings that Mr Dutta has already had with the domestic airline, he was said to be working on a project of whether Air Sahara should look at entering the low-cost model or not.

Mr Dutta, who was named to the post of President of United Airlines in June 1999, was put in charge of a Strategic Initiative Group of the airline to develop a revenue and cost structure that ensured long-term profitable growth in January 2002.

The former UA President, who held the position till September 2002, is no stranger to the Indian aviation industry.

In 2002, the state-owned airline Air India (AI) was considering a proposal to appoint him as an advisor to the airline. However, that proposal did not materialise.

The former airline CEO takes over the helm of board Air Sahara at a crucial time when not only is the airline slowly acquiring a larger share in the domestic market but is also looking to expand its wings further in the international skies.

The airline is already in talks with the two aircraft manufacturers to acquire wide-bodied aircraft which would primarily be used to launch operations to more international destinations."

 

[Ukridge]

Novaqt - Interesting article. Not sure if this is what LH/Star is looking into at the moment or not. I wonder if Air India is aligned with any of the groups at the moment? Perhaps a link-up with something so described in the article would be practical whilst looking for a broader footing by trying to woo Emirates into the fold. Inother words have the larger carrier outside of India but still a presence within the borders.
Just noticed that the Swiss/LH nupitals are going to win approval. Tuetonically speaking this is probably a good move for both carriers. Wonder how this will (if at all) affect any of the Star's planning.
Cheers

 

[novaqt]

Ukridge:

Don't know if Air India is linked with any other global network at the present. They are not linked with Star. I do believe that Rono Dutta accepted Air Sahara's CEO position with the hope of positioning Air Sahara with a global network in the future. The logical conclusion would be intra-India connection only at first similar to TED. Star would be the logical connection since Dutta knows the Star inside out and backwards. However, he could associate with a competitor. South African Airways is expected to become a Star partner by this Fall.

LH/Swiss Air nuptials will be a good marriage for the Star. Alot depends on profitability of Swiss Air route structure in Europe. It should provide alot more choices for the frequent flyers.

 

[cws818]

Is UA considering any sort of code-share with TP?

They have DOT approval for c/s with JK, and used to exercise it between IAD-MAD, but not that JK have discontinued the route, no UA-JK code-shares seem to exist. They do c/s with US on PHL-MAD, and US has onward c/s with JK out of Madrid - will they ever bring back the JK link?