Friday, 10th September 2010
In Japan Travel News,
First Japanese low-cost airline planned
All Nippon Airways (ANA) has announced plans to create Japan's first budget airline carrier.
The venture will be partly funded by private equity partner First Eastern Investment Group and is expected to be launched in the second half of 2011.
Passengers will benefit from lower prices on both domestic and international flights from Osaka's Kansai International Airport. ANA is hoping the new project will enable it to further develop its market share and become a main competitor to Japan Airlines.
Shinichiro Ito, the chief executive of ANA, said: "We anticipate an increase in passenger traffic demand in East Asia and came to the conclusion that a low-cost carrier would be the right approach to compete effectively in this market."
Although low-cost airlines have proved successful in a number of Asian countries, the Japanese market may be tougher due to the country's efficient and cost-effective train and bus networks.
ANA employs around 1,200 workers and has offices in a number of major leading cities including New York, London and Paris.
Written by Kimberley Homer.
Related news stories:
Veteran figure skater wins first world medal (2nd April 2012)
Japanese scientists become first in Asia to name element (2nd December 2016)
Japanese robot makes first call home from space (6th September 2013)