Sunday, January 24, 2010
Lessons from Japan Airlines
According to Kompas, there are several reasons i.e. JAL cannot pay its debts which totals US$ 25 Billion, tough competition, as flag carrier it should fly unprofitable routes, low passenger occupancy and mismanagement.
This report is very surprising considering that as a flag carrier, JAL obviously can always rely on the fullest support from the Japanese government which is one of the most economically powerful countries in the world.
But the effect financial crisis that plagued the world few years ago seems to be still going on, and the Japanese government has not other choice but to let JAL bankrupted.
At a time when free fight business competition is the rule of the game, I hope that what happened to JAL would make the management of our national flag carrier Garuda to be very careful in managing the company's finance, and make best efforts to improve quality of services so that customers would always love them and other people would want to do the same. Otherwise, other airlines would come and take them away.