Many travelers are concerned over the future of cheap traveloptions in the United States, including cheap airplane tickets, discounttravel deals, and cheap vacation packages,given that only four major U.S. based airlines continue to operate after all ofthe recent airline consolidations.
U.S. flight attendants tend to make a pre-flightannouncement which many passengers now find ironic where they thank fliers fortheir business saying We know you have a choice in airlines. Increasingly that is no longer the case.
However, competition could easily return to U.S. skies ifforeign airlines were allowed to fly within the United States. Not only would prices be likely to drop, butselect foreign airlines offer service far superior to what US fliers areaccustomed to.
Today international airlines do fly in this country, butthey are not allowed to fly point to point destinations domestically.
Experts believe that foreign airline competition ondomestic routes and capital investment in U.S. airlines could quickly andsignificantly improve passenger service, cause fares to drop, and encourage newstart-up airlines, as well as relieve overcrowding.
Unfortunately changing such a policy is difficult becausebefore we would allow foreign airlines to fly domestic routes in the U.S. wewould insist that the European Union (EU) allow U.S. airlines to do the same inEurope.
Other objections to changing current laws includeopposition from unions which fear that relaxing competition laws would endangerAmerican jobs, and domestic airlines which do not want the competition.
Currently some international airlines receive subsidiesfrom their governments or face less tax and regulatory burdens, which placeU.S. airlines at a competitive disadvantage.
The barriers to foreign airlines flying domestic routes incountries other than the ones where they are based are not insurmountable. Avianca is a Colombian airline, owned by aBrazilian, which offers flights between different cities in Spain. LAN, a Chilean airline, connects severalcities in Colombia. Outside observersbelieve this type of competition leads to passengers enjoying more choices aswell as better service.
Many airline customers believe that current governmentregulations are in place to help the airlines at the expense of consumers andmore efficient businesses.
The EU is supporting a move to open Americas skies tocompetition, as seen by negotiations for its Transatlantic Trade and InvestmentPartnership treaty. Until foreignairlines are allowed to fly US domestic routes, travelers should considerflying on Virgin America, which embraces the superior service culture of itsEuropean namesake, Virgin Atlantic.
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