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But there is no business case for CX's core customer to fly China Southern unless they are too price sensitive. In that case I doubt CX would really care.
They might not care worry about CZ poaching their core customers, but they do care about their about the impact of CZ on their non-core and OW partner customers. The classic case is between CX and AA. Same applied to Sri Lankan and Malaysian Airlines joined Oneworld, to this day, Qantas still have punitive measure for its own flyers to fly these two airlines, in order to protect its alliance with EK. There are ways to be non-cooperative even in the same alliance.
Sure they can be alliance partners yet remain enemies, but this certainly doesn't make a case for OW membership from either airlines' standpoint. Quote: Third, CX had nothing to loose. It means any passenger have a choice already made a choice between CX and CZ. With CZ in the same alliance, some passengers that never flew with CX may sample CX and decides its product is better and switch.
Are you kidding? A lot of OW partner airline fliers have gone out of their way in order to fly CX to reach cities like CTU, but a Chinese carrier would provide additional --often cheaper-- options at more sensible connection points. Quote: Fourth, CZ has a very weak intercontinental network.
It is in no comparison to CX. Yes there are many daily service, yet its hub transfer rate and premium seats sales are way behind CX. CZ's A and some B only has one row of 4 business class seats.