Monday, 27 July 2020

The Case Against Emirates Etihad Merger

The Case Against Emirates Etihad Merger:

Emirates, the airline owned by Dubai government and Etihad, the airline owned by Abu Dhabi government have always attracted speculation that they would merge. Economics and the thought of creating an airline behemoth dwarfing Middle Eastern rivals Qatar Airways and Turkish Airlines, seems the right thing to do for both the airlines. But the ground reality is vastly different, and merger could be the last option for both airlines’ owners.

In favor of the merger, experts might argue to use Abu Dhabi airport for US flights as the airport has a US pre-clearance facility and Dubai could cater to other markets. Even better to jointly develop the Dubai DWC airport which is in-between both Dubai and Abu Dhabi.

Here are some of the reasons why Emirates-Etihad merger is almost impossible to happen.

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