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German Flixbus may enter Estonian market

BC, Tallinn, 25.12.2017.Print version
According to Hugo Osula, owner of the Estonian transport group Mootor Grupp, the German bus company Flixbus could enter the Estonian market in the near future, the daily Postimees reports, cites LETA/BNS.

"It is very likely that their ambition is to expand across Europe, become a transport group that very actively takes over markets. They have done that very successfully in Western Europe," Osula told the newspaper.


Flixbus, a German company founded in 2013, is to take over the routes and buses of Polish Polski Bus. In addition, the company is to expand in France and Italy, and will soon start operating in Hungary and Austria. In Germany Flixbus has achieved the position of market leader in five years.


According to Osula, the success of Flixbus lies in using innovative technology as well as in the company using financing logics characteristic of a startup, according to which it is initially more important to take over the market than to earn profit. "Technology is behind the success of Flixbus," he added.


If Flixbus enters the Estonian market, it has to consider local carriers and regionality, Osula said, adding that there is strong competition between local bus companies.


According to Osula, other large bus companies will probably not enter the Estonian market. "I know most of Europe's bus companies and entrepreneurs. Several of them have been here, but either the market has turned out to be too small or there is not enough profit," he added.

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