Competition gets all Thai-ed up
July 28, 2007 by Evan Sparks
According to an AFP report, Thai “airlines are now required to submit their low-fare ads to the government for approval.” This after the government received complaints about additional taxes and fees and limited availability. Low-fare carriers have long neglected to advertise fees–as have mainline network carriers–but regulatory pressure is forcing innovative airlines to include taxes in their advertised prices, as legendary nickel-and-dimer Ryanair now does. Regulatory pressure may have the consequence of making travelers more immune to the high taxes currently charged, especially on international flights, but the Thai action seems to go beyond that, giving governments far too much authority over airfares, preventing true competition.
Thailand tries to clarify prices in ads by budget carriers [AFP via Yahoo News]
See also: How nickel-and-diming is consumer-friendly.
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Competition gets all Thai-ed up
July 28, 2007 by Evan Sparks
According to an AFP report, Thai “airlines are now required to submit their low-fare ads to the government for approval.” This after the government received complaints about additional taxes and fees and limited availability. Low-fare carriers have long neglected to advertise fees–as have mainline network carriers–but regulatory pressure is forcing innovative airlines to include taxes in their advertised prices, as legendary nickel-and-dimer Ryanair now does. Regulatory pressure may have the consequence of making travelers more immune to the high taxes currently charged, especially on international flights, but the Thai action seems to go beyond that, giving governments far too much authority over airfares, preventing true competition.
Thailand tries to clarify prices in ads by budget carriers [AFP via Yahoo News]
See also: How nickel-and-diming is consumer-friendly.
Like this:
Related
Posted in Evan's Commentary | Tagged asia, budget airlines, regulation |