It's simpler than that. AA offers an inferior product for flying from Jacksonville to New York City, because they don't have the non-stop flights that their competitors do. So they have to discount their flights to be competitive.
Meanwhile AA is the only airline flying non-stop from Jacksonville to Charlotte. They offer the best product there, and charge accordingly.
Products aren't priced according to their cost to produce, they're priced according to what the market is willing to pay for.
Meanwhile AA is the only airline flying non-stop from Jacksonville to Charlotte. They offer the best product there, and charge accordingly.
Products aren't priced according to their cost to produce, they're priced according to what the market is willing to pay for.