For Cathay's new boss, fixing China tops lengthy to-do list
After years of benefiting from China’s growth, Cathay Pacific is being hurt by its strong ties to the mainland as travellers eschew the venerable airline and fly directly between Chinese cities and the US or Europe. Finding a way out of that conundrum will be the top challenge for Rupert Hogg, Cathay’s new boss. When Hogg takes over as Cathay’s CE May 1, he’ll also have to contend with Middle Eastern airlines expanding into Asia and a rash of budget upstarts taking customers away with cut-rate fares. Those factors contributed to the airline’s HK$575m (US$74m) loss in 2016, its first shortfall in 8 years. “As long as Cathay is based in Hong Kong and it cannot address these structural problems, it will continue to suffer,” said one analyst. <br/>
https://portal.staralliance.com/cms/news/hot-topics/2017-04-13/oneworld/for-cathays-new-boss-fixing-china-tops-lengthy-to-do-list
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For Cathay's new boss, fixing China tops lengthy to-do list
After years of benefiting from China’s growth, Cathay Pacific is being hurt by its strong ties to the mainland as travellers eschew the venerable airline and fly directly between Chinese cities and the US or Europe. Finding a way out of that conundrum will be the top challenge for Rupert Hogg, Cathay’s new boss. When Hogg takes over as Cathay’s CE May 1, he’ll also have to contend with Middle Eastern airlines expanding into Asia and a rash of budget upstarts taking customers away with cut-rate fares. Those factors contributed to the airline’s HK$575m (US$74m) loss in 2016, its first shortfall in 8 years. “As long as Cathay is based in Hong Kong and it cannot address these structural problems, it will continue to suffer,” said one analyst. <br/>
