Can South Korea’s LCCs survive a sea of red ink?
South Korea, like the rest of North Asia, has been slow to adopt the LCC model, especially when compared to its Southeast Asian neighbours, with the main impediment to expansion being conservative regulatory regimes, with protectionism still prevalent in the region. But several South Korean LCCs have established over the last three years (though some have failed). The survivors are in the process of restructuring after heavy losses in 2009, and are increasingly looking for offshore growth opportunities as part of their recovery efforts.
