Jetstar Hong Kong chief Pansy Ho lets fly at budget airline’s opponents
Chairman of Hong Kong airline start-up dismisses concerns over foreign control of board as a bid by the established players to protect their turf
Budget airline start-up Jetstar Hong Kong chairman Pansy Ho Chiu-king yesterday hit back at its opponents, saying the city has room for low-cost carriers.
Speaking for the first time to the media since taking the job last month, Ho, who is Macau gaming tycoon Stanley Ho Hung-sun's daughter, said that a new budget airline would complement the existing services rather than result in "vicious competition".
The fewer the players, the easier it is for the existing operators to work out their numbers. But Hong Kong needs more players to balance the market, and we know how to manage capacity and efficiency
Her comments followed opposition last week from Cathay Pacific Airways and three other Hong Kong players - Dragonair, Hong Kong Airlines and Hong Kong Express Airways.
While some economists and academics have said more players in the market would be good news for consumers by way of more options with lower prices, some have warned that indiscriminate granting of licences would have far-reaching implications for the city's aviation sector and Hong Kong's clout in future negotiations over bilateral aviation rights with overseas markets.
"The fewer the players, the easier it is for the existing operators to work out their numbers," Ho said.
"But Hong Kong needs more players to balance the market, and we know how to manage capacity and efficiency."
She pointed out that Cathay's weekly promotion on air fares, or "fanfares", is glaring proof of the demand for discounted air tickets.