25 Sep '11, 4am

Vietnam Air eyes budget offshoot: HANOI: Vietnam Airlines is considering entering Asia's booming low-cost aviati...

Vietnam Air eyes budget offshoot: HANOI: Vietnam Airlines is considering entering Asia's booming low-cost aviati...

HANOI: Vietnam Airlines is considering entering Asia's booming low-cost aviation sector with a new offshoot, while aiming to build its home base into a major entry point for Indochina, its chief says. The state-owned airline is confronted with "growing pressure" from Asia's budget operators, president and CEO Pham Ngoc Minh told AFP in an interview. "We see opportunities in the low-cost segment," he said, without revealing more details of the group's plans. From Malaysia's AirAsia to India's GoAir and the Philippines' Cebu Pacific, a host of no-frills airlines have spread their wings in Asia in recent years, in a challenge to the traditionally more expensive flag carriers. While some analysts argue the market is already too crowded, given the dozens of discount airlines already criss-crossing the skies, others believe there is still room for more competition. Aviation anal...

Full article: http://www.channelnewsasia.com/stories/afp_asiapacific_bu...

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