Customer switching behaviour factors analysis in airline industry of low cost carrier and full service carrier

2020 ◽  
Author(s):  
Aries Susanty ◽  
Nia Budi Puspitasari ◽  
Bariqi Rahadyan Putera
Keyword(s):  
Airline Industry ◽  
Low Cost ◽  
Factors Analysis ◽  
Switching Behaviour ◽  
Customer Switching ◽  
Low Cost Carrier

Europe's airlines will see more restructuring

2016 ◽  
Keyword(s):  
Airline Industry ◽  
Low Cost ◽  
Terrorist Attacks ◽  
Content Type ◽  
Underlying Condition ◽  
The Past ◽  
Low Cost Carrier ◽  
The Eu

Subject Europe's airline industry. Significance Despite good performance over the past year, the underlying condition of the European airline industry has not changed. Major carriers are still facing competitive challenges from long-haul airlines based in the Gulf, especially Emirates, Qatar Airways and Etihad Airways, and from the European low-cost carrier (LCC) sector. Impacts The fallout from recent terrorist attacks could hit the industry's fragile recovery. Labour unrest in France will affect Air France, as its pilots voted on May 30 to go on strike over pay conditions. A UK exit from the EU would force its airlines, some of the most efficient in Europe, to reconsider the focus of their operations. New opportunities may arise from the Commission's efforts to negotiate aviation agreements with such countries as Brazil as well as ASEAN.

US airline collusion charges could save Open Skies

2015 ◽  
Keyword(s):  
Airline Industry ◽  
Low Cost ◽  
Department Of Transportation ◽  
Predatory Behaviour ◽  
Content Type ◽  
Fleet Size ◽  
Us Economy ◽  
The Us ◽  
Low Cost Carrier ◽  
Lock In

Subject Outlook for US investigations into airlines collusion. Significance Three carriers, United, American Airlines and Delta, account for 80% of US domestic air travel; Southwest, the leading low cost carrier (LCC) takes much of the remainder. The Department of Justice (DoJ) and the Department of Transportation (DoT) have both launched major investigations into the pricing practices of the airlines. Both regulatory moves imply that the rationalisation of the US airline industry has left passengers vulnerable to predatory behaviour, which would worsen if the US market were further closed to foreign competition. Impacts Low oil prices may provide a long-term boost to profits if airlines move to lock in new hedges. However, manufacturers will be hit hard by an economic slowdown in China, home of two of the largest airlines by fleet size. Increasing wages elsewhere in the US economy will add further pressure to airline labour costs.

“Way Smarter”: Valuair in the budget airline industry

2013 ◽  
Vol 3 (4) ◽  
pp. 1-24
Author(s):  
Terence P.C. Fan
Keyword(s):  
Learning Outcomes ◽  
Airline Industry ◽  
Low Cost ◽  
Subject Area ◽  
Executive Education ◽  
Content Type ◽  
Low Cost Carrier ◽  
Fierce Competition ◽  
Risk Investment ◽  
E Mail

Subject area Strategic management and marketing. Study level/applicability Executive education; postgraduate; undergraduate. Case overview By 2004, the low-cost carrier model had just recently been introduced to Southeast Asia. Airlines under this model quickly began taking market share. Singapore's first budget carrier, Valuair, finds itself in fierce competition between two rapidly emerging competitors in the second half of 2004. Valuair needs to expand in order to remain competitive. However, for this to happen the company needs additional access to capital. The CEO, Sim Kay Wee, has begun pitching to investors that his company is a smart low-risk investment. Is Sim right, given Valuair's competitive position and the market environment in which it operates? Expected learning outcomes Students will be able to apply strategic frameworks in order to develop an understanding of Valuair's market position and use this understanding to advice investment decisions. Supplementary materials Teaching notes are available for educators only. Please contact your library to gain login details or e-mail [email protected] to request teaching notes.

scholarly journals The Low Cost Carrier Revolution Continues: Evidence From The US Airline Industry

2011 ◽  
Vol 10 (1) ◽  
pp. 37
Author(s):  
Bogdan Daraban
Keyword(s):  
Airline Industry ◽  
Business Models ◽  
Low Cost ◽  
Font Size ◽  
The Core ◽  
The Past ◽  
Considerable Cost ◽  
The Us ◽  
Low Cost Carrier ◽  
Competing Models

<span style="font-family: Times New Roman; font-size: small;"> </span><p style="margin: 0in 0.5in 0pt; text-align: justify; mso-pagination: none; tab-stops: 6.0in; mso-layout-grid-align: none;" class="MsoNormal"><span style="font-family: Times New Roman;"><span style="color: black; font-size: 10pt; mso-themecolor: text1; mso-fareast-font-family: Calibri; mso-fareast-theme-font: minor-latin;">Over the past twenty years the US airline industry has been marked by the intense competition between the Low-Cost Carriers (LCCs) and the Full-Service Carrier (FSCs). The fundamental differences between the two business models are reflected in considerable cost advantages of the LCCs. In this paper, I use a set of model specific metrics to investigate whether the competitive process has led to convergence in some of the key features of the competing models. I conclude that despite some evidence of convergence along certain dimensions, the LCCs </span><span style="color: black; font-size: 10pt; mso-themecolor: text1;">are not ready to abandon the core LCC model.</span><span style="color: black; font-size: 10pt; mso-themecolor: text1; mso-fareast-font-family: Calibri; mso-bidi-font-style: italic; mso-fareast-theme-font: minor-latin;"></span></span></p><span style="font-family: Times New Roman; font-size: small;"> </span>

scholarly journals The Peculiarities of Low-Cost Carrier Development in Europe

Energies ◽  
2020 ◽  
Vol 13 (3) ◽  
pp. 639
Author(s):  
Jolanta Sabaitytė ◽  
Vida Davidavičienė ◽  
Gerard Frederick Van Kleef
Keyword(s):  
Airline Industry ◽  
Low Cost ◽  
Current Situation ◽  
Ideal Solution ◽  
Contemporary Research ◽  
Low Cost Carriers ◽  
Fishbone Diagram ◽  
Low Cost Carrier ◽  
Southwest Airlines

Low-cost carriers (LCCs) have been growing by 11.4% in revenue passenger kilometers over 2017 and changed the airline industry radically. It drove down prices in the industry. Southwest Airlines (USA) designed the LCC blueprint model, and Ryanair copied it within Europe, followed by other airlines. This research aims to fulfill the gap in contemporary research upon LCC successfulness in Europe by a description of the current situation within Europe (2018 and January 2019) and the development issues it faced, which are mapped by the Ishikawa fishbone diagram. Furthermore, to rank the airlines on strength and vulnerability, The Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) methodology was used for meeting LCC characteristics and airline success. By comparison of meeting the LCC characteristics and the rank of the successfulness, the results of the TOPSIS analysis showed that the airlines meeting the most LCCs characteristics are seemingly less vulnerable to the development issues that airlines are facing, as Wizz Air and Ryanair are meeting most characteristics and are the most successful. Concluded is that airlines meeting the most LCC characteristics are the least vulnerable to current issues. However, major disruptions can still form an issue and limit growth. This research can be useful for comparing and positioning airlines in the market, based on issues and operational choices.

“Way Smarter”: Valuair in the budget airline industry

2013 ◽  
Vol 3 (4) ◽  
pp. 1-24
Author(s):  
Terence P.C. Fan
Keyword(s):  
Learning Outcomes ◽  
Airline Industry ◽  
Low Cost ◽  
Subject Area ◽  
Executive Education ◽  
Content Type ◽  
Low Cost Carrier ◽  
Fierce Competition ◽  
Risk Investment ◽  
E Mail

Title – “Way smarter”: Valuair in the budget airline industry. Subject area – Strategic management and marketing. Study level/applicability – Executive education; postgraduate; undergraduate. Case overview – By 2004, the low-cost carrier model had just recently been introduced to Southeast Asia. Airlines under this model quickly began taking market share. Singapore ' s first budget carrier, Valuair, finds itself in fierce competition between two rapidly emerging competitors in the second half of 2004. Valuair needs to expand in order to remain competitive. However, for this to happen the company needs additional access to capital. The CEO, Sim Kay Wee, has begun pitching to investors that his company is a smart low-risk investment. Is Sim right, given Valuair ' s competitive position and the market environment in which it operates? Expected learning outcomes – Students will be able to apply strategic frameworks in order to develop an understanding of Valuair ' s market position and use this understanding to advice investment decisions. Supplementary materials – Teaching notes are available for educators only. Please contact your library to gain login details or e-mail [email protected] to request teaching notes.

The effects of low cost carrier entry in the Turkish Airline industry

2015 ◽  
Vol 6 (1) ◽  
pp. 111-124 ◽  
Author(s):  
Resul Aydemir ◽  
Cihad Haytural
Keyword(s):  
Airline Industry ◽  
Low Cost ◽  
Low Cost Carrier

scholarly journals Customers’ Experiences of Compassion and Brand Attitude: Evidence From Low-Cost Carriers

2021 ◽  
Vol 12 ◽  
Author(s):  
Sung-Hoon Ko ◽  
Yongjun Choi ◽  
Jongsung Kim
Keyword(s):  
Airline Industry ◽  
Positive Emotion ◽  
Positive Relationship ◽  
Brand Image ◽  
Low Cost ◽  
Brand Attitudes ◽  
Competitive Strategies ◽  
Low Cost Carriers ◽  
Low Cost Carrier ◽  
To Come

The purpose of this study is to examine the effect of compassion experienced by low-cost carriers customers on their brand attitudes. Specifically, this study aims to unbox the mechanisms through how the customers’ experiences of compassion influence the formation of positive brand attitudes. Using the data from 423 low-cost carriers customers in South Korea, this study found that the more low-cost carriers’ customers experience compassion, the more positive their brand attitudes are toward the low-cost carriers. Notably, this study demonstrated that the positive relationship between compassion and brand attitudes is serially mediated by positive emotion and positive brand image. The results from this study contribute to the literature on the airline industry by examining the roles of compassion, which is relatively new to the field, and also provide practical insights for a low-cost carrier to come up with competitive strategies to achieve a competitive advantage over its competitors in the industry.

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