Airlines and Airline Subsidiaries

Over the past few years, the airline industry has experienced a number of changes. This was mainly influenced by the global crisis that was experienced between the years 2008 and 2009. In this period, there was a drastic drop in the number of domestic flights in many countries, including India, US, UK, among others. Many people preferred cheaper ways of travelling which included using the train, the bus or their own personal vehicles. Other people started using the less known airline companies for their domestic travel. Well-known, established airlines experienced a major drop in profits while minor airline companies raked in profits.

Major airlines saw the need to still cater for the local clients while maintaining their international clients. This led to the collaboration between major airlines and minor airlines. The major airlines would focus on international flights while the minor airlines would focus on local flights. The catch was that the minor airline would have to work under the name of the major airline. For example, in India, one of the major airlines is Jet Airways. It is a well-known airline that flies to various destinations all over the world. It collaborated with one of the minor airline companies which catered for the local market. The minor company, which is now a subsidiary of Jet Airways, is known as JetLite. While Jet Airways provides airline services for the international market, JetLite offers services for the domestic market.

There are some differences that exist between established airlines and their subsidiaries. One of them is the size of the aircraft. Most established airlines have large and fast-moving aircraft compared to aircraft owned by their subsidiaries. The large aircraft consume more fuel and that is why it is better that major airlines cater for the international market. This is one of the things that make airfares for major airlines expensive. On the other hand, airline subsidiary companies have smaller aircraft which consume less and hence their airfares are affordable. In any case, their aircraft are designed for short distance travelling, making them very economical.

With the information provided above, it can be safely concluded that it is better to use more established airlines for international travel and use their subsidiaries for domestic travel. You can always do some research on the internet to find out about more about well-known airlines and their subsidiaries which operate in your country. This information will help you the next time you want to travel.