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Idham, Idham, Prawira Fajarindra Belgiawan, and Christina Ari Pramono Putri. "Influence of Low-Cost Carrier Attributes towards Airline Choice Decision in Bandung-Surabaya Route." Jurnal Manajemen Teknologi 20, no. 1 (2021): 98–106. http://dx.doi.org/10.12695/jmt.2021.20.1.6.
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Abstract. The number of Indonesian domestic passengers which increased rapidly has encouraged for the airlines to expand their market share by opening routes in the local region and one of the promising region is Bandung. In early 2019, the Low-Cost Carrier has implemented paid baggage policy. The changes of airline conditions and regulations could affect consumer purchasing decisions. The airline have to redesign its strategies and conduct a strategy adjusment to identify the consumer's needs and wants these days. Based on the problem description, this research aims to identify what significant attributes influence passenger's purchasing decision-making and determine what elastic and inelastic attributes. Data collection using an online questionnaire then spread to 235 respondents and were analyzed with Mixed Logit Model using BIOGEME software. The results shows that airline's departure time is a significant attribute towards passenger's airline choice. Ticket price also plays a key role in selecting an airline for passengers when the ticket price increases, Passenger will consider choosing other alternative airlines that are more affordable. The results could be used by an airline company to attract the passenger by improving its marketing strategy. Keywords: Low-cost carrier, airline choice, airline attribute, mixed logit, demand elasticities
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Vidović, Andrija, Sanja Steiner, and Igor Štimac. "Development Potentials of Low Cost Aviation in the Republic of Croatia." PROMET - Traffic&Transportation 23, no. 6 (2012): 519–27. http://dx.doi.org/10.7307/ptt.v23i6.187.
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The liberalization of the aviation market has enabled low-cost airlines to take over a significant share in the aviation market. Benefits of low-cost models are multiple, both for passengers and for secondary and regional airports, which were neglected in the past and which record significant inflow of passengers with the arrival of low-cost airlines. In the structure of the air traffic in the Republic of Croatia in the last ten years, there has been a progressive growth of foreign low-cost airline operations, which suggests a potential for the operation of a Croatian low-cost airline. This paper defines the criteria applicable to modelling of a low-cost airline in the Republic of Croatia in the relevant context of fleet management, route networking and operator’s processes in traffic technology. It analyzes the dynamics of low-cost airlines operations in the structure of air traffic in Croatia and the impact of traffic on the status of airports and the national operator. KEY WORDS: low-cost airline, traditional airline, airport, route network, fleet management
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Lu, Jin-Long, and Pei-Ya Siao. "Determining the antecedents and consequences of the airline brand personality." Journal of Airline and Airport Management 9, no. 1 (2019): 1. http://dx.doi.org/10.3926/jairm.121.
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Purpose: This study investigates air passengers’ perceptions of the brand personalities of airlines and explores the relationships between the brand personality and its antecedent factor, the country-of-origin of the airlines, and the consequent factor which is the purchase intentions to the corresponding airlines.Design/methodology/approach: The study uses a questionnaire survey containing air passengers’ trip characteristics and demographics and three main scales: country-of-origin, brand personality, and purchase intentions to collect the data of 490 respondents flying from Kaohsiung to Macao. The passengers are from three types of airlines: an international airline with a global network, a regional airline, and a low-cost carrier. The analysis of variance (ANOVA) was conducted to investigate the differences in the perceptions of brand personalities of airlines and several models were developed to determine the antecedent and the consequent factors of airline brand personality.Findings: The air passengers’ perceptions regarding the brand personalities of different types of airlines were significantly different. The country-of-origin of airlines was proved as a significant factor for the brand personality. The brand personality also significantly influenced passengers’ loyalty to the corresponding airlines. Moreover, some demographic and trip characteristics such as personal monthly income, memberships in the airline’s frequent flyer program, and experiences with the airlines were also determined as the significant variables to impact passengers’ loyalties.Originality/value: The concept of brand personality has been explored by various researches but few related to airline management and identified as a key element to brand marketing. Particularly, low-cost carriers always implement different marketing strategies to create a distinctive position in their target customers’ mind and legacy airlines are also doing different things to retain their customers. Therefore, investigating passengers’ perceptions of airlines from the perspective of brand personality is also an important issue for airline management. Not only does this study prove the differences in passengers’ cognitions of brand personalities of a global network airline, a regional network airline, and a low-cost airline but conclude the determinants and influences of the brand personality.
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ВИСОЦЬКА, Марина. "THE ECONOMIC IMPACT OF THE ACTIVITIES OF LOW-COST CARRIERS ON THE DEVELOPMENT OF THE AVIATION INDUSTRY." Herald of Khmelnytskyi National University. Economic sciences 330, no. 3 (2024): 195–201. http://dx.doi.org/10.31891/2307-5740-2024-330-29.
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The article analyzes the performance of low-cost air carriers in the regional context and in comparison with the activities of classical airlines. The tendency of growth of performance indicators of airline companies that have used this model during all the years since its inception is determined. The main factors influencing the growth of the low-cost segment in the total volume of air transportation are analyzed. It is determined that the dynamic growth to 31% of the total number of air transportation in the world is due to an increase in the number of passengers as a result of efficiency measures taken by low-cost airlines aimed at increasing the passenger load factor, reducing costs and improving the organizational structure. The tendency of development of low-cost airlines in the Ukrainian aviation market is characterized. A comparison of the LCC and FSC models by the main features is made. The cost structure, the difference in costs of airlines using different models, and the reasons for this are described. The route models used by classic airlines and low-cost airlines are described. The impact of primary and secondary costs from the introduction of a new low-cost airline on the costs of other economic agents is described. The effects arising from the introduction of a new low-cost airline are determined. The consequences of changes in the LCC and FSC models caused by the convergence process are investigated. The signs of a hybrid model that can become more attractive to a wide range of consumers, which, in turn, will contribute to the growth of passenger traffic and strengthen the airline's position in the market, are determined.
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Farida, Yuniar, Husna Nur Laili, Achmad Teguh Wibowo, Latifatun Nadya Desinaini, and Silvia Kartika Sari. "Selecting the Best-Performing Low-Cost Carrier (LCC) Airlines Using Analytical Hierarchy Process (AHP) and Elimination et Choix Traduisant la Realite (ELECTRE)." Journal of Information Systems Engineering and Business Intelligence 8, no. 2 (2022): 196–206. http://dx.doi.org/10.20473/jisebi.8.2.196-206.
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Background: Low-cost carrier (LCC) is a popular air transportation service as it offers affordable fares. Many airlines have adopted the LCC system because they need to adapt to the changes in the airline industry. The competition is tight. Despite the low cost, consumers demand quality services. Therefore, LCC airlines need to find their competitive edge. Objective: This study aims to determine the best-performing LCC airlines, the criteria, and the sub-criteria to improve the performance. Methods: This study uses two methods from multi-criteria decision-making (MCDM), namely the analytical hierarchy process (AHP) and elimination et choix traduisant la realite (ELECTRE) II. The MCDM is selected for this study because there are four criteria and 21 sub-criteria to evaluate airline performance. The AHP method selects subcriteria that affect airline customer satisfaction. It solves complex problems by establishing a hierarchy. After being assessed by relevant parties, weights or priorities are developed. The results are used to determine the best-performing airline. Meanwhile, the ELECTRE II method ranks the airline’s alternatives. This method is straightforward and widely used in the MCDM. Results: The results indicate that four criteria and 18 sub-criteria affect the performance of LCC airlines in Indonesia. The LCC airline with the best performance is AirAsia, followed by Citilink, Wings Air, and Lion Air. Conclusion: This research integrates the AHP and ELECTRE II methods in evaluating the performance of LCC airlines. This research also provides information about the criteria and sub-criteria to improve airline performance, hence, the customer experience.
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Yu, Yijun. "The Effectiveness of Price Discrimination as Pricing Strategy in Low-cost Airline: Case from Southwest Airlines." BCP Business & Management 38 (March 2, 2023): 2399–404. http://dx.doi.org/10.54691/bcpbm.v38i.4111.
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Price discrimination has become one of the airline industry’s most popular and common pricing strategies. The airline industry mainly uses three levels of price discrimination, charging different values for different customer groups. Due to this strategy, airlines can achieve maximum company profits. There are different types of airlines, and in this paper, we focus on the example of a low-cost airline - Southwest Airlines. Discussing the effectiveness of price discrimination as a pricing strategy in a low-cost airline is the primary purpose of this paper. In this paper, we present the essential background, advantages, and recent achievements of Southwest. How the company has successfully used price discrimination is analyzed and demonstrated with a specific example. Finally, it is concluded that for low-cost airlines, price discrimination is good but not necessarily the most effective and that other pricing strategies are to be considered among them.
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Setiawan, Indra, Dewi Nusraningrum, and Yosi Pahala. "Deregulasi Penerbangan dan Kinerja Perusahaan Penerbangan Niaga Berjadwal di Indonesia." JURNAL MANAJEMEN TRANSPORTASI DAN LOGISTIK 2, no. 1 (2017): 1. http://dx.doi.org/10.25292/j.mtl.v2i1.130.
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The purpose of this study is to analyze the aviation deregulation and performance of the scheduled commercial airlines. Samples used are domestic flights of 17 companies. Using descriptive analytical research methods. Deregulation encourage the emergence of new low-cost airline. Up to 2012 the share of the domestic passenger market in general is as much as 78% controlled by low-cost airline companies. Garuda Indonesia, which has the operating license to fly as a full service airline only gain a market share of 22%. It is concluded that the trend of domestic passengers as much as 78% are choosing low cost airlines.
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Setiawan, Indra, Dewi Nusraningrum, and Yosi Pahala. "Deregulasi Penerbangan dan Kinerja Perusahaan Penerbangan Niaga Berjadwal di Indonesia." Jurnal Manajemen Transportasi & Logistik (JMTRANSLOG) 2, no. 1 (2015): 1. http://dx.doi.org/10.54324/j.mtl.v2i1.130.
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The purpose of this study is to analyze the aviation deregulation and performance of the scheduled commercial airlines. Samples used are domestic flights of 17 companies. Using descriptive analytical research methods. Deregulation encourage the emergence of new low-cost airline. Up to 2012 the share of the domestic passenger market in general is as much as 78% controlled by low-cost airline companies. Garuda Indonesia, which has the operating license to fly as a full service airline only gain a market share of 22%. It is concluded that the trend of domestic passengers as much as 78% are choosing low cost airlines.
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Kulakli, Atik, and Yıldız Şahin. "A Combined Multi-Criteria Decision Making Approach for Improvement of Airlines’ Ground Operations Performance: A Case Study from Türkiye." Systems 11, no. 8 (2023): 421. http://dx.doi.org/10.3390/systems11080421.
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The airline sector is critical in today’s globalized society, supporting the efficient movement of people and products worldwide. Airlines continuously seek methods to enhance their operational performance to remain competitive in the face of increased competition. This study focuses on the application of multi-criteria decision making (MCDM) techniques to improve the ground operational performance of low-cost carriers (LCCs), also known as low-cost (budget) airlines. In recent years, MCDM techniques have gained considerable attention in addressing complex decision problems with complex goals. This research aims to bridge this gap by proposing a comprehensive framework combining MCDM techniques to enhance airline operational strategies and increase performance. The study utilizes qualitative and quantitative data, drawing on previously published materials on MCDM techniques in the aviation sector. It utilizes a fuzzy Analytic Hierarchy Process (AHP) and a fuzzy Technique for Order of Preference by Similarity to Ideal Solution (TOPSIS) methodologies. A case study is conducted to evaluate the ground operational performance of three airline companies based in Türkiye, considering five main criteria and eighteen sub-criteria. The findings of this research will contribute to a comprehensive understanding of operational performance in the airline sector. The study’s findings show that five primary criteria’s estimated weights are examined; it is seen that “Flight Schedule and Routes (FSR)” has the highest importance weight of 0.30. With a weight value of 0.26, “Counter Services (CS)” has the second most significant impact. “Ticketing (T)”, which ranks third in terms of its impact on the solution, has a weight value of 0.19. Upon reviewing the analysis’s findings, it can be seen that the third alternative is relatively prominent among the others. Airline_3 ranked first with a weight value of 0.361, while Airline_2 ranked second with a weight value of 0.331. Airline_1 ranked last with an actual weight of 0.308. The study provides highlights of the implications and limitations of the research and suggests future research directions.
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Park, Sora. "A merger effect on different airline groups: empirical study on the Delta-Northwest merger in 2008." Journal of Transport Literature 8, no. 2 (2014): 73–99. http://dx.doi.org/10.1590/s2238-10312014000200004.
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The airline industry has performed inconsistently since deregulation in 1978 and there has been a significant profit discrepancy between legacy airlines and low-cost carriers. Starting from the early 2000s, four of the largest legacy airlines chose to consolidate with an effort to increase efficiency and profitability. Delta Air Lines and Northwest Airlines have consolidated in 2008, becoming the largest commercial airline in the world. This paper examined the merger effect on the airfares on top 1,000 U.S. domestic city-pair routes in relation to the number of passengers, the distance, and the market share as well as its potential anticompetitive issues. All airlines were categorized into three groups - Legacy Airlines, Delta-Northwest, and Low-Cost Carriers - and the interactions between the airfares and the variables were examined within each airline group and across different airline groups. It was found that the airfares of legacy airlines and Delta-Northwest decreased at a faster rate than the low-cost carriers while their market shares increased simultaneously irrespective of whether they offered the lowest prices or had the largest market share on each route.
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Riantama, Dalianus. "What are the Crucial Factors in Gaining Customer Recommendations in the Airline Industry?" Value : Jurnal Manajemen dan Akuntansi 18, no. 2 (2023): 226–36. http://dx.doi.org/10.32534/jv.v18i2.3861.
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The airline business is continually growing. This study tries to find out important factors for customers to give their recommendations for an airline. Text mining approach and feature selection methods are applied to clean the data set and to select the most crucial factors of customer recommendations. This study collected 846 online customer reviews for full-service airlines and 179 low-cost carrier airlines. Cleanliness and crew care are the most critical factors for full-service airline customers. Low-cost carrier airline customers were more concerned about the value of money and flight information. The results provide airlines’ managers with new insights to make their customers willing to give recommendations and gain a positive brand image.
 Keywords: Online customers review, text mining, customer recommendations, feature selection, airline
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Pınarbaşı, Fatih, and Fatma Zeybek. "Decoding user reviews for Low-cost airlines marketing: A global analysis of passenger preferences Aviation." Journal of Aviation 9, no. 1 (2025): 41–52. https://doi.org/10.30518/jav.1547777.
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The airline industry is a key component in the transportation and tourism sectors thanks to its economic potential and global scope, and the complex structure of customer preferences, competitive environment, and changing dynamics require examination of the marketplace. In this context, it has been determined that many studies have focused on user studies in the airline market, while only a few studies have examined the Low-cost airline sub-context in the airline market. This study aims to investigate the factors affecting consumer recommendation and rating scores through user reviews in the context of Low-cost airlines. In the study, regression analyzes and difference tests were used on 5672 user reviews on airlinequality.com about 20 airline brands on Skytrax’s World’s Best Low-cost Airlines 2023 list. In the regression analysis, it was seen that value for money was the most important determining factor in recommendation status and rating scoring, followed by ground service, cabin crew service, seat comfort and food and beverage variables. Difference tests reveal that solo leisure travelers tend to rate and recommend higher. It is also concluded that first-class passengers using LCC airlines have higher tendency for rating scores higher and recommending.
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Charoensettasilp, Sittichai, and Chong Wu. "Thai Consumers Satisfaction after Receiving Services from Thailand's Newest Low-Cost Airline." Applied Mechanics and Materials 505-506 (January 2014): 767–77. http://dx.doi.org/10.4028/www.scientific.net/amm.505-506.767.
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Thai Thai Smile is Thailands Newest Low Cost Airline Launched in 2012. The demand for low-cost airlines in the Thailand has also needs more and growing fast. This research studies about Thai consumers satisfaction after receiving services from Thailand's newest low cost airline. Employs sampling method on 400 Thai people who live in Bangkok and have used Newest Low Cost Airline to travel. A random convenience sampling technique together with surveys is used to collect data. At a significance level of 0.05, demographic factors including gender, age, education, monthly income, and occupation do affect Thai consumers satisfaction after receiving services from Thailand's newest low cost airline. In addition to the service marketing mix (7PS) influence Thai consumers satisfaction after receiving services from Thailand's newest low cost airline. Product, Process, People and Physical Evidence mostly affect Thai consumers satisfaction after receiving services from Thailand's newest low cost airline. Examples are the convenience of luggage claim, The announcement and information from the cabin crews and the captain, and the aircraft used for the traveler with a new and modern design that convenient to use. Following by Place and Price respectively, while Promotion is among the bottom ranking.
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Kiracı, Kasım. "Determinants of Financial Risk: An Empirical Application on Low-Cost Carriers." Scientific Annals of Economics and Business 66, no. 3 (2019): 335–49. http://dx.doi.org/10.47743/saeb-2019-0025.
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The airline industry has entered a rapid development and transformation process, especially after the Second World War. In this process, it is seen that the market structure changed and many private airlines were established. Due to increased competition, airlines have begun to follow various strategies and business models in order to gain a competitive advantage over each other. One of the business models successfully applied recently is the low-cost business model. Therefore, this study focuses on airline companies that applied the low-cost business model. The study aims to reveal the factors that determine the financial risk in airlines, which implements the low-cost business model. For this purpose, firstly, airline companies that implement the low-cost business model have been identified according to the classification in the literature. The study included an analysis of 13 airlines with the low-cost business model that was fully accessible to financial data for the 2004-2017 period. Panel data analysis was used in the study and Altman (1968) Z-Score and Springate (1978) S-Score were used in measuring financial risk. Empirical findings of the study reveal that firm leverage, asset structure, firm size, firm profitability, and liquidity ratio have an effect on financial risk.
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Low, Joyce, and Kum Khiong Yang. "Understanding the operating landscape of the global airline industry: A DEA integrated alternating conditional expectation approach." Journal of Airline and Airport Management 9, no. 2 (2019): 27. http://dx.doi.org/10.3926/jairm.126.
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Purpose: This study investigates the relationships between service efficiency in 5 major cost centres (namely, business orientation, network coverage, physical resources, maintenance, repair and overhaul (MRO), and human resources) and profitability in the global airline industry.Design/methodology/approach: The study integrates the Slack-based Model (SBM) of Data Envelopment Analysis (DEA) with the Alternating Conditional Expectation (ACE) regression to understand the relationships between an airline’s profitability and its efficiencies in 5 identified operations areas.Findings: Based on the observational data obtained from 75 international airlines, the relationships between operational performances and profitability are found to be curvilinear and contingent on an airline’s operating model.Research limitations/implications: The omission of non-IATA airlines and many low cost carriers may hinder a holistic view of the airline industry.Practical implications: Management can influence the profitability of an airline through its strategic operations decisions that affect an airline’s cost, service quality, and financial structure after the influences of location and size have set the stage. Airlines pursuing cost leadership should seek to increase productivity especially in MRO, human resources and physical resources; whereas airlines pursuing service differentiation may choose to provide quality service at lower efficiencies or pursue an approach to improve quality and efficiencies simultaneously.Originality/value: Identifying operations practices that are consistent with a firm’s competitive priorities is important in the multifaceted service environment today. An integrated SBM-ACE regression model, which permits different input-output mix, variable return to scale and non-linear relationship, is proposed and applied to analyze the profit impact of service efficiencies in the five key operations areas.
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Stoenescu, Cristina, and Camelia Monica Gheorghe. "Hybrid” airlines – Generating value between low-cost and traditional." Proceedings of the International Conference on Business Excellence 11, no. 1 (2017): 577–87. http://dx.doi.org/10.1515/picbe-2017-0062.
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Abstract Over the last years, the rise of low-cost airlines has determined significant changes in the airline industry and has shaped the evolution of the existing business models. Low-cost airlines started by offering basic services at very low prices; traditional airlines responded by equally cutting costs and reinventing the services offered, with an orientation towards braking down the fare and implementing add-ons, in order to become cost-efficient. As traditional airlines developed strategies to become competitive in this new environment, low-cost airlines started focusing on new ways of enhancing passenger experience and attracting new market segments. As a result, the fragmentation of the market segments addressed by low cost carriers and traditional airlines became less obvious and the characteristics of both business models started to blend at all levels (airline operation, distribution channels, loyalty programs, fleet selection). Thus, this new competition became the foundation of the development of a new „hybrid” carrier, between the low-cost and the traditional models. This article investigates the characteristics of the newly created business model, both from a theoretical perspective and by analysing several case studies. A particular attention will be granted to the evolution of the Romanian carrier Blue Air towards the “hybrid” model. The article focuses on determining the position of the “hybrid” airline in a market with carriers situated along both sides of this business model: lower cost vs. “better” experience and raises the question on how value can be generated in this context. Another aspect tackled is the understanding of the new segmentation of the market, as a consequence of the development of the new business model. In order to achieve this purpose, a survey has been conducted, aiming to mark out the travel preferences of the passengers travelling through the Henri Coandă International Airport.
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SÜZER, Ahmet Selim. "CRITICAL PROCESS DETERMINATION APPLICATION IN A LOW-COST-ORIENTED AIRLINE." Review of Management and Economic Engineering 21, no. 3 (2022): 186–97. https://doi.org/10.71235/rmee.66.
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The aim of this research can be summarized as determining the priorities in process improvement by determining the critical processes as a result of the evaluation of the impact of the processes on the critical success factors and the current execution competence of the processes of the airline, whose marketing strategy is focused on low cost. Thus, it is thought that it will be possible to determine which of the airline operation processes may be more critical for low-cost airlines and to reveal the processes that are priority to be developed in process improvement studies. It is also aimed to create a general template for identifying critical processes in low-cost businesses. To determine the critical processes of a low-cost airline in this study, the decision matrix will be used. As a result of the study, it can be said that the processes that need to be developed in the airline in question can be determined.
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Kariyawasam, Harendra Nishantha. "Cost Economies for an Airline: An Analysis of Airlines’ Operating Costs." International Journal of Management Excellence 12, no. 3 (2019): 1856–59. http://dx.doi.org/10.17722/ijme.v12i3.1082.
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This study focuses on analyzing the variables affecting the average operating cost per aircraft movement. Since airlines around the world are operated on thin profit margins and with increasing competition from Low Cost Carriers it will be important for an airline to get a complete understanding about their operating cost structure. The aim of this study is to suggest an airline of actions to reduce their operating cost and will differentiate the cost structures of Low Cost Carriers and Full Service Carriers. This study was conducted for 20 airlines which were operating in Asia Pacific region. Published financial and statistical data were used for analysis and a parametric approach was used. The results of this study do not suggest economies of scale for the airline, which is to have higher number of aircraft to reduce cost.
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Aharoni, Yair, and Eli Noy. "THE COMPONENTS OF AIRLINE BUSINESS STRATEGY AND THEIR IMPACT ON REVENUES." Journal of Air Transport Studies 3, no. 2 (2012): 52–72. http://dx.doi.org/10.38008/jats.v3i2.91.
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This study hypothesizes that, as a result of government's bilateral agreements and regulations that limit the impact of globalization, a set of components which constitutes the airlines' business strategies have a direct affect on airlines' revenues. The hypothesis is tested on a sample of 15 US airlines, which substantiates that three out of four suggested components have a positive significant influence on the airlines' revenues. Markets - confirms that international flights help to increase the airline revenue; Product - with a significant positive impact on revenue when the airline offers low cost flights; and Operation - flights from hubs where found to have a significant negative affect on airlines' income while point-to-point flights, characterized by low cost airlines, are more advantageous. The fourth component, Generic Competitive Advantage, was found to be a choice component; namely, an airline may succeed by being either a cost leader or a differentiator in the markets and products it is serving.
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Sabaitytė, Jolanta, Vida Davidavičienė, and Gerard Frederick Van Kleef. "The Peculiarities of Low-Cost Carrier Development in Europe." Energies 13, no. 3 (2020): 639. http://dx.doi.org/10.3390/en13030639.
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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.
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Al Raisi, Naila, and Yugesh Krishnan. "Factors Influencing Omani Traveler’s Preference While Choosing Low-Cost Airlines and Full-Service Airlines." International Journal of Research in Entrepreneurship & Business Studies 4, no. 3 (2023): 1–18. http://dx.doi.org/10.47259/ijrebs.431.
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Purpose: The objective of this research was to determine the factors that influence Omani travellers in making airline selection decisions as well as to examine their perception and the level of satisfaction with the quality of services provided by Oman Air and Salam Air. Design/methodology/approach: A mixed methods research approach was employed in this study to gather primary data through a survey questionnaire and analyse it accordingly. A simple Random sampling method was used with a sample size of 80, 40 from Oman Air and 40 from Salam Air. Inferential Statistics and descriptive statistics have been attained using the collected data from the questionnaire which provided closed-ended questions including rankings using a 5-point Likert Scale. Findings: The findings of the study revealed that Omani traveller’s selecting Oman Air as a preferred airline are influenced by airline image, customer service, and safety factors while Omani traveler’s selecting Salam Air as their preferred airline are most influenced by factors including price, baggage handling, and booking options. Travelers’ perception of the service quality indicated that airline staff responsiveness scored the highest while satisfaction was declared for the different service experiences for both airlines. Research limitations/implications: This research was limited to Omani traveller’s preference for selecting Oman Air and/or Salam Air as both are local airlines which is convenient for the researcher’s access. The most challenging obstacle faced when conducting this research was the pandemic, Covid-19. Social Implications: The study addresses a critical gap in the existing literature by focusing on Omani traveller’s and their decision-making processes, contributing to the knowledge base and aiding airlines in tailoring their services to meet Omani travellers’ expectations. Originality / Value: This research examines unique factors such as airline image, price, service quality, and safety the research provides fresh insights into this specific market, considering Oman’s distinctive cultural and economic context.
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Kim, Soojung, and Jinsoo Hwang. "Airline CSR and Quality Attributes as Driving Forces of Passengers’ Brand Love: Comparing Full-Service Carriers with Low-Cost Carriers." Sustainability 15, no. 9 (2023): 7293. http://dx.doi.org/10.3390/su15097293.
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Consumers’ increased awareness of social and environmental issues encourages airlines to implement corporate social responsibility (CSR); however, the effectiveness of CSR according to airline type remains unclear. This study examines the roles of CSR and service quality in enhancing passengers’ brand love in the airline industry and explores the moderating role of airline type on the CSR–brand love and service quality–brand love relationships. To test the theoretical model, we conducted a web-based survey with 426 participants who were knowledgeable about the CSR activities of the airline companies that they had recently used. Based on the survey responses, the structural equation modeling results revealed the salient roles of both CSR and service quality in creating passengers’ brand love, which, in turn, significantly contributed to positive word of mouth. Moreover, airline type significantly moderated the effect of airlines’ CSR on brand love. Based on these findings, we provide academic implications and practical strategies by airline type.
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SARILGAN, Ali Emre. "FREQUENT FLIER PROGRAMS OF LOW COST AIRLINES THE WORLD AND TURKEY." First Issue of 2019, no. 2019.01 (December 18, 2019): 24–35. http://dx.doi.org/10.23890/ijast.2019.0104.
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ABSTRACT Airlines often use Frequent Flyer Programs (FFPs) as one of marketing tools. Traditional airlines had started to use FFPs after airline deregulation against low cost carriers in order to get competitive advantage. The main purposes of the FFPs are to provide extra services to passenger who fly very often and maintain the loyalty of passengers creating the main income for the airlines. FFPs helps traditional airlines a lot to get advantages in competition to the low-cost carriers (LCCs). Although traditional airlines started to use FFPs at first, with the on-going update of system, even if it is against the nature of LCCs, FFPs has begun to be used for LCCs as well for last two decades. In this study, try to examine the LCCs use FFPs effectively and the differences between the FFPs used from the LCCs in the World and Turkey. In this context, the best LCCs in 2017 selected by Skytrax and Turkish LCCs FFPs examined as a case study. Search results indicate that only one LCC don’t have FFP and The World and Turkish LCCs has similar FFPs. Keywords: Frequent flyer programs, low cost carriers, tourism, airline
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Ramli, Intan Mashitah, Nur Alia Raihana Norshamsolfamy, and Nadia Hanim Mohd Wasilan. "Transportation Tourism – Generation Z Satisfaction Towards AIRQUAL on Low-Cost Airlines." International Journal of Research and Innovation in Social Science VIII, no. IX (2024): 1374–92. http://dx.doi.org/10.47772/ijriss.2024.8090113.
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The Airline Deregulation of Act 1978 created a new type of airline that is both cheap and affordable which is known as low-cost carriers (LCCs). Low Cost-Carriers (LCCs) are defined as airline that differentiates themselves in the market through reduced ticket prices. This paper investigate the relationship between Generation Z satisfaction on LCC airlines based on AIRQUAL dimensions. The paper also aims to determine what factor influences Generation Z satisfaction the most based on the AIRQUAL dimension. Data was collected via face-to-face intercept survey at arrival lounges of Kuala Lumpur International Airport Terminal 1 (KLIA T1) and Kuala Lumpur International Airport Terminal 2 (KLIA T2) of Low-Cost Airlines (LCCs) passengers, particularly Generation Z. In total, 227 valid responses were used for the final analysis. The study used Statistical Package for the Social Science (SPSS) to test validate the research model and hypothesis posted. The result revealed that Generation Z's satisfaction as a passenger is significantly affected by the AIRQUAL model. The study contributed to passenger satisfaction in the LCC sector is of the utmost importance for both airlines and the broader tourism industry, specifically concerning the service quality of LCCs by using the AIRQUAL framework. Furthermore, study of LCC passenger satisfaction yields valuable insights into the preferences and expectations of cost-conscious passengers. This information was significant for destinations and tourism businesses seeking to attract and cater to this market segment.
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Adipura Danang Maulana, Najmudin Najmudin, and Sudarto Sudarto. "The Influence of Brand Image On Passenger Loyalty Through Acceptance Value Study On Low Cost Carrier Airline Passengers In Yogyakarta." International Journal of Business and Quality Research 2, no. 03 (2024): 55–68. https://doi.org/10.63922/ijbqr.v2i03.973.
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The airline industry is a highly competitive market, and understanding the factors that influence passenger loyalty is critical for airlines to maintain a sustainable competitive advantage. The aim of this research is to explore and understand the influence of brand image on passenger loyalty through value acceptance, with a focus on Low Cost Carrier airline passengers in Yogyakarta. This research aims to identify the extent to which the brand image of low-cost airlines influences passenger loyalty, as well as how the acceptance of value by passengers acts as a mediator in this relationship. This research will use a quantitative approach, by collecting data from a sample of low-cost airline passengers in Indonesia. Brand image is stated to have a significant influence on passanger loyalty, while the influence of brand image on perceived value and perceived value on passanger loyalty is stated to have no positive influence and is not significant, this is because LCC passengers are more focused on low prices than other factors.
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Qi, Zhouyang. "Analysis of South West Airlines Management and Logistic Plan." Highlights in Business, Economics and Management 24 (January 22, 2024): 240–47. http://dx.doi.org/10.54097/dgdbwd58.
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Southwest Airlines has turned into a precursor in the competitive airline market, this is because of its novel management and operations procedure. Therefore, investigating its extraordinary strategies, benefits, difficulties, and impacts on the airline's operations gives substantial recommendations for its future development. Southwest Airlines is a spearheading low-cost airliner known for its obligation to client-centricity and functional proficiency, which is plentifully shown by its extraordinary administration and coordinated operations plan. The "Southwest Way" culture, which advances employee empowerment and outstanding client support, is at its core. The point-to-point route structure of the airline augments productivity by diminishing intricacy and working with fast airplane turnarounds. This procedure works on functional adaptability and cost viability and is upheld by a normalized Boeing 737 fleet. Furthermore, Southwest increases airplane usage and income creation by focusing on short-haul trips. Nonetheless, because of the restrictions of the point-to-point idea, significant distance and global extension face difficulties. However, the essay proposes strategic ideas, like worldwide market extension, state-of-the-art administrative procedures, environmentally friendly logistics, and computerized change. These actions ensure progressing thriving, ecologically dependable activities, and unrivaled client encounters. To introduce Southwest Airlines as an aeronautics pioneer, this paper explores its mind-blowing way, which was set apart by remarkable procedures, difficulties, and steadfast purpose. In spite of difficulties, Southwest's beliefs, and employee-focused culture fueled the development and increased industry expectations. The paper examines how these components impact advancement and development.
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Horiguchi, Yuji, Yukino Baba, Hisashi Kashima, Masahito Suzuki, Hiroki Kayahara, and Jun Maeno. "Predicting Fuel Consumption and Flight Delays for Low-Cost Airlines." Proceedings of the AAAI Conference on Artificial Intelligence 31, no. 2 (2017): 4686–93. http://dx.doi.org/10.1609/aaai.v31i2.19095.
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Low-cost airlines (LCAs) represent a new category of airlines that provides low-fare flights. The rise and growth of LCAs has intensified the price competition among airlines, and LCAs require continuous efforts to reduce their operating costs to lower flight prices; however, LCA passengers still demand high-quality services. A common measure of airline service quality is on-time departure performance. Because LCAs apply efficient aircraft utilization and the time between flights is likely to be small, additional effort is required to avoid flight delays and improve their service quality. In this paper, we apply state-of-the-art predictive modeling approaches to real airline datasets and investigate the feasibility of machine learning methods for cost reduction and service quality improvement in LCAs. We address two prediction problems: fuel consumption prediction and flight delay prediction. We train predictive models using flight and passenger information, and our experiment results show that our regression model predicts the amount of fuel consumption more accurately than flight dispatchers, and our binary classifier achieves an area under the ROC curve (AUC) of 0.75 for predicting a delay of a specific flight route.
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Novianty, Rezty Fauziah, Juliater Simamarta, Dinar Dewi Kurnia, and Jermanto Setia Kurniawan. "CUSTOMER LOYALTY AND PASSENGER SATISFACTION ON LION AIR’S LOW COST CARRIER." Journal of Business Studies and Mangement Review 5, no. 1 (2021): 147–54. http://dx.doi.org/10.22437/jbsmr.v5i1.14585.
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This study aims to determine the effect of ticket price and service quality on customer loyalty through passenger satisfaction as an intervening variable on the Low Cost Carrier (LCC ) of Lion Air airlines. Low Cost Carrier airlines which have relatively cheap ticket price, but due to the economic crisis in Indonesia, these air transportation services are relatively expensive compared to the previous year, which according to the Indonesian National Air Carrier Association, the increase reached almost 40-120% for each airline, because the increase that occurred made LCC airlines, especially Lion Air, experience a very drastic decrease in passengers by 35% in 2019, apart from ticket price increases, the quality of service provided by lion air airlines is also still not good so that passengers are not satisfied with Lion Air airlines. This research was conducted at Soekarno Hatta International Airport. The study was conducted using quantitative methods, with a sample of 100 respondents and data were taken using a questionnaire and processed using smart-PLS 3. The results of this study are from 7 proposed hypotheses, 6 of which are accepted and 1 of the hypothesis is rejected, for the rejected hypothesis is the effect of ticket price on the loyalty of Lion Air airline passengers.
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Jeddi, Alireza Rangraz, Nafiseh Ghorbani Renani, Alireza Khademi, Vahid Shokri, and Mohd Yusof Noordin. "Low-Cost Strategy Factors in Airline Industry: The AirAsia Case." Advanced Materials Research 845 (December 2013): 652–57. http://dx.doi.org/10.4028/www.scientific.net/amr.845.652.
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Demand for air transportation has boomed extensively in Southeast (SE) Asia during the past decade as a result of economic development and the lack of land routes between destinations. The purpose of this study is to focus on the cost-leadership competitive strategy applied by low-cost carriers (LCCs) in SE Asia airlines and explore the elements that affect the competing capability of these airlines in the region. Furthermore, the study attempts to illustrate the key success factors that have resulted in the superiority of AirAsia (AA) airline among other LCCs airlines in the competitive market of SE Asia. The research shows that the regulatory environment in the regions air transportation business is an important barrier for the development of local LCCs airlines. Hence, AA attempts to cope with these barriers have been illustrated in this research.
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MRÁZOVÁ, Mária, and Antonín KAZDA. "The direction of airlines business models – up or down? (Post Covid-19 crisis – case study)." INCAS BULLETIN 13, no. 1 (2021): 263–74. http://dx.doi.org/10.13111/2066-8201.2021.13.1.27.
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This paper deals with airlines business models, mostly full service network carriers (FSNC) and low-cost carriers (LCC) and their position on the airline market. Covid-19 crisis causes many negative impacts on all airline industry. Hybridisation process in aviation industry is described many times in the past; now it has a stronger impact on airline business model development and it is oriented on different aspects than before. The paper emphasises the fact that low-cost carrier’s business model is much closer to the features of the FSNC carriers from the price point of view and vice versa. Furthermore, the authors introduce some other diversifications of airlines business models and the paper offers the new stimulus to move forward in this tough time for airlines business, paradoxically, thanks to Covid-19. Finally, yet importantly, the authors emphasise the important role of the state in the further direction of the airlines during and after the Covid-19 crisis
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Sukwadi, Ronald, Angela Susanto, and Yun-Chia Liang. "Airline service quality evaluation for Indonesian low-cost carriers based on Extenics innovation theory." Archives of Transport 58, no. 2 (2021): 7–20. http://dx.doi.org/10.5604/01.3001.0014.8794.
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Nowadays, the market is getting competitive in all aspects of the survival of the company. Companies, especially in the service industry, realize that in order to win the market, they need to explore new ways of delighting customers. The airline industry has played a vital role in Indonesia's modern development and competitiveness. Fierce competition and shrinking profits have impelled the airlines to stress upon improving the quality of the services being provided to the passengers. Passengers have become very specific about their service needs and often tend to shift to others that pro-vide better services. Service quality has emerged as a critical consideration for airlines in the competitive global mar-ket, coinciding with Low-Cost Carriers' rapid proliferation (LCCs), bringing a paradigm shift in airline business strat-egy. Twenty-five service quality attributes identified through extensive literature review and results obtained through five modified AIRQUAL dimensions are fruitful for airline managers to address service quality issues. This paper aims to evaluate LCCs’ service quality in Indonesia using the Extenics innovation theory. The Extenics innovation theory is a kind of method with the combination of formalization, quantification, and logicalization. It is effectively applied to put forward creative ideas of new services of airlines. The concepts and principles of service attributes classification based on Extenics are also discussed. To consider interdependence and to calculate the relative importance of each criterion, the AHP method is applied. The study demonstrates and signifies that the Extenics theory and AHP method are promising and pragmatic evaluation model for customer-oriented airline strategic planning. This study has a number of practical implications for LCC airlines, its policy makers and managers. Findings of this study suggest that LCC airlines should focus on appropriate strategies for improving their customers’ satisfaction. Airlines should con-cern on service failures such as delays by providing extra customer care to supplement required material compensation and provide valuable objective feedback and information. A theoretical implication of this study is that Extenics inno-vation theory can classify and prioritize the service attributes of airlines. Further, the scope of future research works has been discussed at the end to conclude the paper.
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Siswanta, Siswanta, and Desca Angelianawati. "A CDA ANALYSIS ON THE SINGAPORE AIRLINES PREMIUM ECONOMY CLASS ADVERTISEMENT: A NOT-SO-WHITE LIE." JELLT (Journal of English Language and Language Teaching) 4, no. 1 (2020): 31–41. http://dx.doi.org/10.36597/jellt.v4i1.7688.
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The present study contextualizes critical discourse analysis on Singapore Airlines Premium Economy Class Advertisement to uncover the discrepancies behind their advertisement. Airline Advertisement is intended to attract prospective customers. Singapore Airlines as one of the biggest airline companies in the world is without exception. Singapore Airlines proposes an advertisement which locates their brand as a low-cost airline to attract potential customers in which affordability and comfortability are their selling points. Their advertisement is marketed through glamorous and convincing advertisements as a find a way to attract more passengers. Yet most people do not realize the “hidden†agenda behind those advertisements. Through critical discourse analysis, one can uncover the signs and interrogate the message which lies behind the advertisement. An advertisement is inseparable with their connotation towards certain ideology and meaning behind the “curtain†which manifest through the word choices, images, symbols, and the colors represented there. This paper seeks to unwrap the “not-so-white-lie†represented in Singapore Airlines’ Premium Economy Class Advertisement through critical discourse analysis and Baudrillard’s four stages of signs.
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Funyane, Nkululeko. "The Importance of Service Attributes between Low-cost and Full-service Carrier Customers: A case of Airline Type Hybridisation." African Journal of Hospitality, Tourism and Leisure 10, no. 10(6) (2021): 1741–57. http://dx.doi.org/10.46222/ajhtl.19770720.190.
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This study sought to assess if the importance attached by customers to the airline service attributes differed across low-cost and full-service airline models. A Mann-Whitney U Test was used to assess the difference between the two models. However, before subjecting the data to differential tests, an exploratory factor analysis (maximum likelihood) was performed on the fifty-five items of service attributes, reducing them into forty-two items retained into ten latent factors (airline service attributes). The results of the revealed a significant difference in the importance attached to staff competence, courtesy and responsiveness only. Such findings suggest that the positioning of airlines into binary (FSC - LCC) models could be a waste of effort and resources since airlines seem to be converging.
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V., Devaki. "Capital Structure – A Study with Special reference to Kingfisher Airline." International Research journal of Business and Management 10, no. 14 (2017): 66–71. https://doi.org/10.5281/zenodo.4311465.
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he global airline industry consists of over 2000 airlines operating more than 23,000 aircraft, providing service to over 3700 airports. In 2006, world’s airlines flew almost 28 million scheduled flight departures and carried over 2 billion passengers. Kingfisher Airlines is an airline group based in India. Its head office is The Qube in Andheri (East), Mumbai and Registered Office in UB City, Bangalore through its parent company United Breweries Group, has a 50% stake in low-cost carrier Kingfisher Red. The airline has been facing financial issues for many years. Until December 2011, Kingfisher Airlines had the second largest share in India’s domestic air travel market. However, due to the severe financial crisis faced by the airline, it has the fifth largest market share in the year 2012, only above Go Air. Henceforth the researcher made an attempt to study the capital structure of Kingfisher Airline. Key words: Airline industry, Balance sheet, Income statement, financial crisis.
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Foote, Hannah. "Delayed Flights and Delayed Rights: It is Time for the United States to Follow the European Union’s Lead and Enact More Regulations to Protect Airline Passengers." Journal of Air Law and Commerce 88, no. 4 (2023): 919. http://dx.doi.org/10.25172/jalc.88.4.7.
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Since Congress passed the Airline Deregulation Act of 1978, travelers have benefitted from airline deregulation through discounted prices and greater access to air travel, but these benefits have largely been offset by the reality that many airline passengers are unsatisfied with the airline industry’s customer service, or lack thereof. This Comment argues that the United States should follow the European Union’s lead and, in accordance with Regulation EC 261, require airlines to compensate passengers when their flights are delayed or canceled. The concentrated aviation industry has created a market that does not adequately protect airline passengers, and the courts have not provided passengers with an adequate venue for relief. Enacting legislation similar to Regulation EC 261 would make airlines accountable, improve service at a marginally low cost, and generate a more uniform standard of airline passenger rights, creating more transparency and certainty for both airlines and passengers.
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Forgas, Santiago, Miguel A. Moliner, Javier Sánchez, and Ramon Palau. "Antecedents of airline passenger loyalty: Low-cost versus traditional airlines." Journal of Air Transport Management 16, no. 4 (2010): 229–33. http://dx.doi.org/10.1016/j.jairtraman.2010.01.001.
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Hüttinger, Maik, and Vincentas Rolandas Giedraitis. "RYANIZATION: HOW ONE EUROPEAN AIRLINE EXEMPLIFIES THE “MCDONALDIZATION” MODEL." Ekonomika 89, no. 1 (2010): 123–32. http://dx.doi.org/10.15388/ekon.2010.0.989.
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The low-fare airline business has dramatically changed the face of commercial aviation in Europe. The main idea and strategy of airlines following this approach is to focus on cheap fares rather than comfort for passengers. However, the majority of low-fare airlines do not simply copy a given system of their competitors; rather, they design their own strategy by implementing various elements which can be considered as “low-fare”-related. The authors of this article seek to lay a theoretical groundwork in the analysis of low-fare airlines. We employ the “McDonaldization” model of economic sociologist George Ritzer, which was heavily influenced by the German economist and sociologist Max Weber, to analyze cost-saving methods of the Irish airline Ryanair.The authors show how McDonaldization is able to mirror and describe this current trend in the aviation business. According to the results of this study, ‘Ryanair’ (and not its American counterpart Southwest Airlines often used as a synonym for low-fare airlines) is the airline which has most radically applied the low-fare idea.
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McCarthy, Nicholas, Mohammad Karzand, and Freddy Lecue. "Amsterdam to Dublin Eventually Delayed? LSTM and Transfer Learning for Predicting Delays of Low Cost Airlines." Proceedings of the AAAI Conference on Artificial Intelligence 33 (July 17, 2019): 9541–46. http://dx.doi.org/10.1609/aaai.v33i01.33019541.
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Flight delays impact airlines, airports and passengers. Delay prediction is crucial during the decision-making process for all players in commercial aviation, and in particular for airlines to meet their on-time performance objectives. Although many machine learning approaches have been experimented with, they fail in (i) predicting delays in minutes with low errors (less than 15 minutes), (ii) being applied to small carriers i.e., low cost companies characterized by a small amount of data. This work presents a Long Short-Term Memory (LSTM) approach to predicting flight delay, modeled as a sequence of flights across multiple airports for a particular aircraft throughout the day. We then suggest a transfer learning approach between heterogeneous feature spaces to train a prediction model for a given smaller airline using the data from another larger airline. Our approach is demonstrated to be robust and accurate for low cost airlines in Europe.
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Han, Heesup, Jongsik Yu, Bee-Lia Chua, Sanghyeop Lee, and Wansoo Kim. "Impact of core-product and service-encounter quality, attitude, image, trust and love on repurchase." International Journal of Contemporary Hospitality Management 31, no. 4 (2019): 1588–608. http://dx.doi.org/10.1108/ijchm-05-2018-0376.
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Purpose The purpose of this study was to examine airline passengers’ repurchase decision-making process by developing a sturdy theoretical framework comprising in-flight core-product and service-encounter quality, brand attitude, image, trust and love. The authors also attempted to examine if such decision formation differs across full-service and low-cost airlines in South Korea. Design/methodology/approach A quantitative method was used to achieve research objectives. For assessment of the conceptual framework and test of research hypotheses, a structural equation modeling and test for metric invariance were used. Findings The results revealed that in-flight product and service-encounter quality significantly affected their subsequent variables, and their impact on intention was mediated by brand attitude, image, trust and love. In addition, brand image along with brand trust included the strongest influence on intention. Findings also indicated that the relationships among brand attitude, image, trust and love significantly differed between full-service and low-cost airlines. Practical implications Increasing the customer retention rate is a key component of airline business success. This study made an important contribution to advancing the existing knowledge on what factors induce airline customers’ decision to repurchase a particular airline product and how such factors are interrelated with each other within the proposed model. Originality/value This research was the first to explore that the relationship strength among brand image, brand attitude, brand trust and brand love are not equal between full-service and low-cost airline passenger groups.
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Ginieis, Matías, M. Victoria Sánchez-Rebull, and Fernando Campa-Planas. "RELATIONSHIP BETWEEN TYPE OF AIRLINE AND WAGE OF PILOTS IN EUROPE." Aviation 17, no. 1 (2013): 33–43. http://dx.doi.org/10.3846/16487788.2013.774940.
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The main objective of this work is to establish whether there are differences in airline pilots’ salaries between the different types of airlines in Europe. With regard to airline type, the companies are categorised into traditional airlines (flag carriers and regular/regional/charter flights) and low-cost airlines. We have examined a total of 176 European airlines and analysed different categories of pilots (Captain Top, Captain Base, First Officer Top and First Officer Base). Two statistical tests were applied (the Haberman test and the chi-squared test) to demonstrate whether there is an association and dependence between types of airlines and pilots’ salaries. The results show that there is association and dependence, from which we can deduce that the earnings of pilots are dependent upon the type of airline for which they work.
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Teoh, Kok Ban, Kia Hui Gan, Letchumunen Darishini, et al. "A Study on Customer Satisfaction of AirAsia Berhad." International Journal of Tourism and Hospitality in Asia Pasific 6, no. 3 (2023): 133–47. http://dx.doi.org/10.32535/ijthap.v6i3.2170.
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This study explores customer satisfaction in the context of AirAsia Berhad, a prominent low-cost airline. It focuses on three key dimensions: tangible, assurance, and responsiveness. The research reveals that tangible factors, such as the physical aspects of service, significantly influence customer satisfaction. Assurance, which encompasses competence, courtesy, and reliability, also plays a crucial role in keeping customer content. Moreover, responsiveness, or the airline's ability to deliver prompt and efficient service, enhances overall satisfaction. Understanding these dimensions is vital for AirAsia and similar airlines, as addressing them can meet customer expectations, foster loyalty, and improve overall performance. This research offers insights into the complex relationship between service quality and customer satisfaction in the airline industry, guiding strategies for enhancing the passenger experience.
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Kiracı, Kasım, and Nurhan Aydin. "Factors that Determine the Capital Structure: An Empirical Study on Low-cost Airlines." Scientific Annals of Economics and Business 65, no. 3 (2018): 227–46. http://dx.doi.org/10.2478/saeb-2018-0018.
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Abstract The purpose of this study is to identify the factors that determine the capital structure of low-cost airlines. Accordingly, it is aimed to test the factors that determine the capital structure in low-cost airlines in the context of capital structure theories. In the study, 15 airline companies, which had continuous financial data during the 2004-2015 period, were examined empirically. Panel data analysis was used as a method in the study. Findings of the study show that low-cost airlines generally operate based on the trade-off theory while borrowing in the short-term and based on the pecking order theory while borrowing in the long-term.
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Pate, J. M., and P. B. Beaumont. "The European Low Cost Airline Industry:." European Management Journal 24, no. 5 (2006): 322–29. http://dx.doi.org/10.1016/j.emj.2006.07.003.
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Kawamori, Tomohiko, and Ming Hsin Lin. "Airline mergers with low cost carriers." Economics of Transportation 2, no. 2-3 (2013): 63–71. http://dx.doi.org/10.1016/j.ecotra.2013.04.001.
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Rodríguez-García, María, Maria Orero-Blat, and Daniel Palacios-Marqués. "Challenges in the Business Model of Low-Cost Airlines." International Journal of Enterprise Information Systems 16, no. 3 (2020): 64–77. http://dx.doi.org/10.4018/ijeis.2020070105.
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In recent decades, low-cost airlines have proliferated in the European market offering cheap tickets and increasing popularity. This business model, characterised by cost leadership, has been studied on numerous occasions. The case of the Irish airline Ryanair has presented different challenges over the last few years in relation to its stakeholders, who are shaping the sustainability of the current era of air travel. This business model should be adapted to the current demands of the market, such as corporate social responsibility or care for the environment. The functioning of low-cost airlines regarding the use they make of ERP management systems is also analysed. They aim to balance their cost strategy with the development of internal resources and capabilities for the company's long-term strategy. A major current challenge for low-cost airlines is the implementation of ERP management systems to make strategies oriented to the customer, sustainability, and corporate social responsibility.
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Kazda, Antonín, and Mária Mrázová. "Low-Cost Carriers – Business Model Development." Transport and Communications 3, no. 1 (2015): 1–5. http://dx.doi.org/10.26552/tac.c.2015.1.1.
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This paper deals with low-cost airline business model that has overwhelmingly been the favoured mode of the airline. Fast-changing aviation industry forces low-cost carriers to transform their initial business model and therefore, author stresses further opportunities for the expansion of these models to another direction with more concentration on customer ´s needs as well as company´s operational and financial benefits. One of the most important partial results is analysis of existing low-cost carrier’s business models, describe their historical evolution and propose future modifications to stay competitive and profitable.
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Majerová, Veronika, and Michal Jirásek. "Flying high on low cost: Success in the low-cost airline industry." PLOS ONE 18, no. 12 (2023): e0294638. http://dx.doi.org/10.1371/journal.pone.0294638.
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Low-cost airlines have embraced diverse business models, yielding varying degrees of success. In our study, we apply a configurational approach that allows us to evaluate business models not as isolated components but as intricate business configurations. Through this lens, we identify two distinct models that successful low-cost airlines adopt: the pure low-cost model and the hybrid model. Each model has its own specific, often contradictory, attributes. Most significantly, our findings indicate that low-cost airlines must choose between offering a broad spectrum of additional services or focusing on high productivity and on-time performance. Our analyses reveal that low-cost airlines cannot sidestep this trade-off, as a simultaneous offering of both models does not lead to success.
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Pels, Eric. "Airline network competition: Full-service airlines, low-cost airlines and long-haul markets." Research in Transportation Economics 24, no. 1 (2008): 68–74. http://dx.doi.org/10.1016/j.retrec.2009.01.009.
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Lerrthaitrakul, Weerawit, and Vinai Panjakajornsak. "The Airline Service Quality Affecting Post Purchase Behavioral Intention: Empirical Evidence from the Low Cost Airline Industry." International Journal of Trade, Economics and Finance 5, no. 2 (2014): 155–58. http://dx.doi.org/10.7763/ijtef.2014.v5.360.
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Клюс, А. Ю. "ROLE OF LOW-COST AIRLINES IN TOURISM LOGISTICS DEVELOPMENT." ЖУРНАЛ ПРАВОВЫХ И ЭКОНОМИЧЕСКИХ ИССЛЕДОВАНИЙ, no. 2 (June 8, 2023): 202–6. http://dx.doi.org/10.26163/gief.2023.22.54.030.
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В статье анализируется деятельность и эффективность низкобюджетных авиакомпаний на мировом и российском рынках. Оценивается роль компаний в развитии сферы логистики туристической отрасли, уточняется понятийный аппарат. Представлены предложения и рекомендации для дальнейшего развития субъектов рекреации. We analyze the activity and effectiveness of low-cost airlines in the global and Russian markets. The role of air companies in the development of the logistics sector of the tourism industry is assessed; the conceptual construct is specified. The definition of the concept of "low-cost airline" is given. We present our suggestions and guidelines for further development of recreational subjects.