by: Dominic Basulto
Over the past few years, one of the most interesting innovations in the
airline industry has been the growth & expansion of the "business
class only" travel segment for service between international cities
such as New York and London. Companies like Eos, SilverJet and MAXJet
were early pioneers and deserve enormous kudos for their courage and
tenacity for taking on the airline majors in a brazen attempt to siphon
away the industry's most profitable customers.
On Christmas Eve, though, MAXJet just plain maxed out
- literally stranding passengers on the tarmac when the company decided
to file for bankruptcy on one of busiest travel days of the year. The
company cited "high fuel prices," "fierce competition," and "a failure
to raise new capital" from investors as reasons for the drastic
measure. As recently as October, the company had been talking up the
idea of buying new Boeing 767 jets and expanding the number of routes
Another reminder that innovation within the airline industry is a tough nut to crack. As Richard Branson once pointed out, "The fastest way to become a millionaire is to start off a billionaire and then buy an airline..."