Literature review of the passenger airline business models: Full service carrier, low-cost carrier and charter airlines

Literature review of the passenger airline business models: Full service carrier, low-cost carrier and charter airlines

Carmona Benitez, R.B.
Lodewijks, G.

Mechanical, Maritime and Materials Engineering

Marine & Transport Technology

2008-10-15

The deregulation and liberalization of the air transportation industry have developed three main passenger business models: full service carriers, low-cost carriers, and charter airlines. Deregulation removed regulated fares and routes increasing competition and yields. Airlines business models main objectives are to minimize operation costs and fares, and to maximize profits based on cost leadership, differentiation and focus strategy. This paper presents a literature review about airline business model strategies as a first step to identify the main parameters required for developing a new model. This model should eventually be able to determine the location of the airport as well as the most profitable routes for low-cost airline company.

air transportation
airline business model
full service carrier
low-cost carrier
charter airline
airline operations

http://resolver.tudelft.nl/uuid:17c23f58-554b-40a7-a014-7bdc33e7ce39

Transport, Infrastructure and Logistics (TRAIL)

2012-06-01

9789055841073

10th TRAIL Congress: TRAIL in Perspective

Institutional Repository

conference paper

(c) 2008 Carmona-Benítez, R.B.
TRAIL Research School