Airline Competition: Deregulation's Mixed Legacy

George Williams

• Publisher: Routledge
• Year: 2017
• ISBN:
  9781351959773
• Edition: 1
• Topic: Technology & Engineering
• Subtopic: Aviation
• Index: Technology & Engineering

The advantages of airline competition to consumers are clearly apparent. Lower fares, greater choice, more frequent flights and a wider range of available services have all been evident when the entry of a new competitor has occurred. In many instances however, after an initial, relatively short-lived, period of aggressive competition the new entrant has either gone bankrupt or found a less stressful existence co-operating in some manner with the incumbent. In this wide-ranging book, the author looks at the competitive arena in the post-regulation era and especially focusses on deregulation's legacy; globalization in a bilateral world breaking the link between nationality and airlines. The book is of special interest to those members engaged in the Airline Industry, Regulatory Authorities and Government Departments of Transport and Industry. It will be of value to academic specialists in transport economics and public policy; MSc students and Institutes of Transport; pressure groups and the Travel and Tourism Industry.

1 Extent and impact of deregulation

Much of the focus of air transport has concerned the provision of international services, on which with relatively few exceptions regulatory controls continue to have a major impact. Interestingly however, the ten city pair markets with the largest numbers of passengers are with one exception domestic routes as Table 1.1, reveals. (The data shown refers to the number of seats provided in one week in June 2000.)

Table 1.1 World's ten busiest routes in 2000

...

Seats supplied	Route	HHI	Market share by Carrier (%)
210,820	Tokyo-Sapporo	0.31	All Nippon 34 Japan Airlines 35
			Japan Air System 25 Hokkaido 6
202,345	Taipei-Kaohsuing	0.23	Far Eastern 34 Transasia 22
			Mandarin 19 Uni 17 U-Land 8
185,148	Tokyo-Fukuoka	0.30	All Nippon 34 Japan Airlines 31
			Japan Air System 28 Skymark 7
146,318	Rio de Janeiro-Sao Paulo	0.24	Varig 36 TAR 25 Vasp 20

Table of contents

• Cover
• Half Title
• Dedication
• Title
• Copyright
• Contents
• List of Figures
• List of Tables
• Acknowledgements
• Introduction
• 1 Extent and impact of deregulation
• 2 Impact in European domestic markets
• 3 Impact in other regions' domestic markets
• 4 Impact of low cost carriers in Europe
• 5 Europe – the world's first fully deregulated region
• 6 Air transport provision in remoter regions
• 7 Competition on the North Atlantic
• 8 Prospects for global deregulation
• 9 A new role for regulators
• Concluding comments
• Index