(08 Feb 2017, 10:33 am)eezypeazy wrote Sorry, Andreos, I'm not sure what point you're trying to make there.
As enthusiasts, we welcome all the improvements in the service that you've listed. As fare payers, we ought to note and rejoice that GNE's fares changes (some went down as well as up recently!) are usually more than 12 months apart (some recently have been changed only after 18 months, and the child fares changes last year were after four and a half years) - the implication being that the Company is doing all it can to limit fares increases (unlike some other companies, and the railways, where annual changes are implemented). Economists teach that changes in prices can cause changes in demand, measured by a thing called 'elasticity', so falling prices might increase demand, and will change the margin earned - which could be to the delight of shareholders.
If GNE can do all that, and invest in the 20, it's beginning to sound like a reasonably well-run outfit...
Sorry Eezypeazy, I wasn't trying to make a point. Merely voicing thoughts and musings, based on the points you made in your previous post.
Interesting you mention elasticity. There will be elements of the changes that are inelastic. It won't matter that fares have increased to some. It may be that passengers find the service a necessity and pay whatever they are requested to pay.
I also wonder if rather than being competitive with pricing (they feel they don't need to be or in fact, can't be), they're trying to be competitive in terms of being visually appealing, specifically regarding the quality of the product.
In the case of the vehicles allocated to the 20, it could be said that it is visually more appealing than previously. Whether it is all fur coat and no knickers - is open to debate.
It is also worth bearing in mind that the majority of the costs incurred by an operator are fixed.
Fuel is hedged well in advance (at a very low rate) and obviously is at a lower price now, than previous years. The enhanced BSOG obviously reduces these costs further.