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Author Topic: Business plans  (Read 373 times)

Offline Matt Elphick

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Business plans
« on: July 18, 2016, 03:18:27 PM »
I have learnt from first hand experience that Ryanair business plans do not work very well. However do smaller ones like Flyby work? I mean a fleet of 20 to 30 aircraft operating out of 2 or 3 bases with 15 based at HQ then 2 or 3 at each smaller base.

Offline JumboShrimp

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Re: Business plans
« Reply #1 on: July 18, 2016, 07:16:08 PM »
I have learnt from first hand experience that Ryanair business plans do not work very well.

There are players successfully operating regional airlines.  I have not tried it, but it can work.

However do smaller ones like Flyby work? I mean a fleet of 20 to 30 aircraft

20-30 or 200-300. 

If you figure it out, it can scale.

operating out of 2 or 3 bases with 15 based at HQ then 2 or 3 at each smaller base.

No, that would not work.  Each base has some overhead, and you need to fly probably at least 20 medium aircraft to make money on the base.  Of if you are flying large aircraft, you need to fly more than that.

Offline Matt Elphick

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Re: Business plans
« Reply #2 on: July 18, 2016, 08:00:41 PM »
There are players successfully operating regional airlines.  I have not tried it, but it can work.

I meant like minimum turnarounds everywhere. Can you make that work?

Offline JumboShrimp

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Re: Business plans
« Reply #3 on: July 18, 2016, 08:24:00 PM »
I meant like minimum turnarounds everywhere. Can you make that work?

Well, the time saved on smaller turnaround time is not going to be make or break an airline.

The turnaround times in the system are just some average for the fleet type.  For the purpose of the simulation, it is just fine.  But it is not just you who have to increase the turnaround time from minimum to something workable (to avoid excessive delays).  All players are in the same boat.

Online gazzz0x2z

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Re: Business plans
« Reply #4 on: July 18, 2016, 08:33:13 PM »
I did have some success with planes as small as ERJ135s, or even SW3, but I usually respect the turnaround time. A SW3 can fly 6 times during the day(or 5 in the day and one in the night), if it has short routes to serve. Even with the secure 25 minutes turnaround.

2-3 planes per base is not viable, but 10-12 can work, though I prefer hundreds. In Visby, I had just one E190 and 12 SW3. You do'nt make much money with that, but you make some.

Offline JumboShrimp

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Re: Business plans
« Reply #5 on: July 18, 2016, 09:29:51 PM »
2-3 planes per base is not viable, but 10-12 can work, though I prefer hundreds. In Visby, I had just one E190 and 12 SW3. You do'nt make much money with that, but you make some.

It's hard to see what a base is really making, since part of the base overhead is dumbed on HQ.

It would be nice if, in the financials, HQ, as in staffing, office rent of corporate overhead, was segregated, and any base related (staffing / office space) overhead (whatever pertains only to the base) was allocated to the base.

Offline Matt Elphick

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Re: Business plans
« Reply #6 on: July 19, 2016, 08:26:06 AM »
It would be nice if, in the financials, HQ, as in staffing, office rent of corporate overhead, was segregated, and any base related (staffing / office space) overhead (whatever pertains only to the base) was allocated to the base.
You can with the arrow on the financial page next to the specific cost

Offline JumboShrimp

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Re: Business plans
« Reply #7 on: July 19, 2016, 09:53:04 AM »
You can with the arrow on the financial page next to the specific cost

But HQ as a base and HQ as corporate headquarters are combined.

Online gazzz0x2z

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Re: Business plans
« Reply #8 on: July 19, 2016, 06:59:58 PM »
It's hard to see what a base is really making, since part of the base overhead is dumbed on HQ.

It would be nice if, in the financials, HQ, as in staffing, office rent of corporate overhead, was segregated, and any base related (staffing / office space) overhead (whatever pertains only to the base) was allocated to the base.

Well, you have to make some projection. If you assume the HQ works as well as other bases, you can compare the margins. Of course, in my current GW3, I know my HQ is not as profitable as my other bases(opposition), so it's tougher to know. Still, there is a huge difference between medium & large base.Don't open a large base if you cannot base at least 15 large airplanes there.

Offline schro

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Re: Business plans
« Reply #9 on: July 19, 2016, 07:14:02 PM »
Don't open a large base if you cannot base at least 150 large airplanes there.

FTFY

Offline Matt Elphick

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Re: Business plans
« Reply #10 on: July 19, 2016, 07:57:04 PM »
If you say that many for large bases how many for a medium base with Props for example or E-Jets

Offline JumboShrimp

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Re: Business plans
« Reply #11 on: July 19, 2016, 08:18:17 PM »
Well, you have to make some projection. If you assume the HQ works as well as other bases, you can compare the margins. Of course, in my current GW3, I know my HQ is not as profitable as my other bases(opposition), so it's tougher to know. Still, there is a huge difference between medium & large base.Don't open a large base if you cannot base at least 15 large airplanes there.

Here is an easy test:  Check your staffing levels of you HQ before and after you open a base.  You will see a staffing increase at HQ.

So this increase, the corporate overhead is what I think should be segregated.

Once segregated, once base is just a base, it might be possible to add a feature of designate another one of your bases as an HQ base (other than the original).

 

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