From beer to automobiles, the market is teeming with various products and services dubbed "premium" — a seeming magic word among many Japanese consumers.

No exception, the airline industry is betting on high-end services to raise profits at a time when record-breaking crude oil prices are pushing up the cost of jet fuel.

On Dec. 1, Japan Airlines Corp. became the first carrier to offer first-class on a domestic flight when it installed 14 first-class seats on its flight connecting Tokyo's Haneda airport and Osaka's Itami airport. The flight time is only about one hour.