The former is more common than you might think: hub-and-spoke airlines compete on route pricing, but if an airline doesn’t offer a particular direct flight, then it has to offer an indirect one for a comparable price.
This is why you get these weird pricing patterns where the direct flight costs more than the indirect one. They’re deliberately trimming their margins on certain passengers to compete, hoping to make up the lost revenue with direct fliers (or fliers on more expensive routes).
The restrictions aren’t that onerous if you’re really trying to fly for cheap. Business travelers probably won’t do it, but there’s lots of folks who just fly for personal reasons (think: sports fans going to their team’s game, people visiting family, etc.) and who might be willing to put up with the slight risks for a cheaper fare.
This is why you get these weird pricing patterns where the direct flight costs more than the indirect one. They’re deliberately trimming their margins on certain passengers to compete, hoping to make up the lost revenue with direct fliers (or fliers on more expensive routes).
The restrictions aren’t that onerous if you’re really trying to fly for cheap. Business travelers probably won’t do it, but there’s lots of folks who just fly for personal reasons (think: sports fans going to their team’s game, people visiting family, etc.) and who might be willing to put up with the slight risks for a cheaper fare.