How legacy airlines fought back to crush the budget carrier model

Spirit Airlines once forced the entire industry to slash costs, but now faces potential liquidation. This episode explores the calculated strategies legacy carriers used to reclaim their dominance and what the potential disappearance of budget airlines means for the future of your wallet.

Former CEO Ben Baldanza once championed a radical vision for ultra-cheap air travel that pressured major carriers to adapt. However, the industry landscape has shifted as legacy airlines implemented a strategy described as the 'revenge of the legacy carriers,' effectively beating budget airlines at their own game.

Beyond rising fuel costs, Spirit's current struggle highlights the intense competitive pressure from larger airlines. The episode examines this evolution, the impact of these corporate maneuvers on the market, and the consequences for passengers if budget options like Spirit vanish.

Source: Spirit Airlines and the future of cheap flights | Planet Money