What makes you think they don't? Just because you're not getting the level of service you would get in J, doesn't mean you're getting bad service. The quality of service can also be very subjective.
I believe in the adage 'You get what you pay for' but I'm just referring to numbers...there are far more travellers in the back of airplanes. It seems most well-known airlines make their business (and first class) the point of differentiation. I don't crunch numbers but I would think airlines which provide better-than-the-competition service for their economy class passengers will be more successful in the longer run.
Correct. If a customer gets treated quite well then would return to that airline without need to shop around for the sake of saving a few dollars here and there.
Unfortunately a lot of the modern airlines are not ferrying customers but rather cattle and treat everyone accordingly.
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