Based on a sample of 26 European passenger airlines, this study analyzes the development of airline business models over time. We used various distance measures to calculate concrete differentiation levels among these airlines between 2004 and 2012. The results indicate increasing similarity among these airlines, which lends support to the generally assumed convergence trend. The present paper ...

This paper examines the airline industry to develop a synergy model in internal and external suppliers for Asian airlines industry. An extensive literature review is conducted to present a synergy model to develop Asian airline competitiveness, safety and service quality. The literature review is highlighted to seek the relationships between internal marketing and internal service quality and i...

Air Deccan is the amazing story of India’s first low-cost airline. It has become the nation’s largest domestic airline in less than four years. They have done this through a clever combination of innovation and outsourcing. More importantly, from a strategic perspective, it gives powerful evidence to how technology can be a key factor in changing the industry dynamics, even in what were once co...

With deregulation of aviation industry movement and separating regulator from operator, a need has risen to treat airlines, airports, and air traffic controls as none-governmental entities that must operate in new standards and according to new measures. Governments as well as private sector had to learn new language. The new language is the market language using numbers, facts, financial indic...

Introduction The Airline Deregulation Act (ADA) of 1978 caused many changes in the industry. For the first time in 40 years, new airlines were permitted to enter the industry, and all airlines could choose the routes they would serve and the fares they would charge. Airlines were also free to exit the industry (go bankrupt), if they made poor choices in these matters. Naturally, this has led to...

Innovation in the U.S. airline industry offers lessons in the role that the interplay of competitive forces can play in economic progress. The quarter-century following deregulation saw many attempts at innovation, some of which were adopted for a time and then replaced by other innovations. After two decades of upheaval and evolution the airline industry has been reshaped along the lines of lo...

This paper studies the e ect of the airline industry's operational time-line on multi-market competition and carrier network structure selection. Airline carriers typically commit to a rigid capacity of seats via the planned ights schedule long before market competition for selling these seats begins. While in regular markets such a two stage setting has no e ect on competitive behavior, the ai...

Dynamic price discrimination adjusts prices based on the option value of future sales, which varies with time and units available. This paper surveys the theoretical literature on dynamic price discrimination, and confronts the theories with new data from airline pricing behavior. Correspondence to: R. Preston McAfee, 100 Baxter Hall, California Institute of Technology, Pasadena, CA 91125, pres...