Abstract :Over the last decade, the demand for domestic and international flights in Korea has increased substantially.To meet the strong flight demands, several low cost carriers have begun to offer flight services.In addition, full service carriers have been motivated to establish their own subsidiary low cost carriers to maintain their market share against rival low cost carriers. This paper studies the management strategies of three kinds of airlines – full service carrier, its subsidiary low cost carrier and rival low cost carrier based on game theory in the competitive air transport market. Each airline is assumed to act as a player and chooses strategies regarding airfare, flight frequency, and the number of operating aircrafts for specific routes while maximizing its own profits. Demand leakages between the airlines are considered in the flight demand function according to the selected strategies of all airlines. Through various game situations reflecting realistic features, this study provides managerial insights that can be applied in the competitive air transport market.
۱٫۱٫ The emergence of LCCs
After the declaration of the 1978 Airline Deregulation Act in the United States, the market situation of the air transport industry changed significantly. With the adoption of free competition, airlines tried to improve their customer services. They began flight services in new routes and developed various airfare policies to ensure their survival. Various new airlines, including low cost carriers (LCCs), entered the air transport market to satisfy diverse air transport demands. The concept of LCCs is to offer the flight services with the attractive prices that are much lower than the conventional full service carriers’ (FSCs) and even comparable to those of a car or train. By increasing the number of passengers, LCCs can get sufficient profits even though the unit profit per passenger tends to be less than that of FSCs. In addition, LCCs have tried to reduce all kinds of cost-related elements to secure their operating profits. Therefore, even though they cannot provide sophisticated services as compared with FSCs, the demand for LCCs has increased steadily by passengers who want only a basic transportation function.
دانلود مقاله انگلیسی استراتژی های مدیریت یک شرکت هواپیمایی در بازار رقابتی حمل و نقل هوایی
An airline’s management strategies in a competitive air transport market
پیش نمایش مقاله
نوع فایل: pdf
تعداد صفحات: ۹
قیمت: ۱۵۰۰ تومان
منبع : (science direct(Journal of Air Transport Management Research
وضعیت مقاله:دارای مدل تحقیق (مدل پژوهش)