What the experts say
Airlines’ ‘hidden city’ crackdown
Lufthansa is suing a passenger for skipping a leg of his flight, said Catey Hill in MarketWatch.com. The airline blamed a controversial practice called “hidden city” ticketing or “skip-lagging,” in which passengers book a cheaper multistop flight and get off at the layover destination. In the Lufthansa case, the man reportedly booked a flight from Oslo to Seattle with a layover in Frankfurt. “He got out at Frankfurt and boarded a separate Lufthansa flight to Berlin,” apparently saving thousands of dollars, because the airline is demanding $2,400 in compensation. Even if you’re not sued, watch out for other airline penalties: “Several airlines have punished passengers who practice skip-lagging by removing them from loyalty programs.”
An Apple-Goldman credit card
Apple and Goldman Sachs are teaming up to issue a credit card that will offer extra features on iPhones, said Tripp Mickle in The Wall Street Journal. The Apple Pay card will use Mastercard’s payment network and offer extra features on Apple’s Wallet app, allowing users “to set spending goals, track their rewards, and manage their balances.” The credit card is Goldman’s first, and the bank is adding customer-support call centers and building a $200 million internal payment system, “a major investment at a time when the bank is trying to cut costs.” For Apple, the card is part of a broader push into the financial lives of its customers. The company hopes the new card “will boost use of Apple Pay, which has been slow to catch on among users and merchants”—though it risks angering other bank partners.
Do entrepreneurs need an MBA?
Applications to full-time business schools have fallen for the past three years, said Catherine Perloff in Inc. Many entrepreneurs have turned against the business school path: Three years after graduating, “fewer than 20 percent of 2014 business school alums in the U.S. had started a company”—and the rate of entrepreneurship is falling. But business schools still have some very committed defenders; some of today’s hit startups, such as Rent the Runway and Birchbox, were launched at B-schools. “Before B-school, I sent emails to CEOs and VCs to see if we could get coffee. I didn’t have a great response rate. When I was at Wharton, every person I reached out to responded,” says Dave Gilboa, who co-founded Warby Parker, the ultrasuccessful eyewear company.