Low-cost carrier

Prior to those events, the industry was already facing challenges due to a weak economy. Fuel cost had risen sharply, and had therefore increased the operational cost of Delta and the airline industry on a whole. Consequently, long distance travel has significantly decreased since September, 11th. Companies started changing the way they do business. Instead of face to face meeting

Transportation Economics, Volume 24, Issue 1, The Economics of Low Cost Airlines, 2008, Pages 61-67 Can long-haul low-cost airlines be successful? Dr Peter Morrell Cranfield University, Beds MK43 0AL, UK Phone: +44 1234 754242; Fax: +44 1234 752207 p.s.morrell@cranfield.ac.uk Abstract A key question is whether the very successful, largely short-haul LCC business model can work over long-haul sectors? This paper compares the cost and other advantages of LCCs and evaluates how far they might

The difference between carrier operating costs is pretty low, so how does a continuing sustainable advantage get built when most customers do not differentiate? – Professor Becraft Statement of Academic Integrity: I certify that: 1. I prepared this document specifically for this class; 2. I am the author of this document; 3. I am fully disclosing and giving proper credit to any outside assistance

time and distance barriers. In the past, air travel was considered a luxury but it is now a common necessity. The “ Battle Of The Air” has been used to describe current situation in the airline industry. The emergence of “ No Frills “ discount carriers such as Air Asia, Mahlindo, Firefly have threatened the survival of the traditional giants such as MAS, SIA, Thai Airways in the APAC regions and even the Big Boys across the continents such as United, Delta, Continental, Luftansa, Emirates and US

economy. 6.2.2 Increase competition. The complexity of the US airline industry and loss of market share to low cost carriers and other competitors. The airline industry is becoming highly competitive with new and emerging airlines penetrating the market as low cost carriers. The low-cost carrier competitors are steadily increasing in the airline industry and are probing the market with low fares to capture valued customers from major airlines like American, Delta and Southwest Airlines, reducing

fleet of two Boeing 737-300 aircraft flying from London to Glasgow and Scotland. Its mission was to offer low-cost airline service to the masses. This was successfully achieved by offering customers low fares with its no frill flights and adopting an efficiency-driven operational model; high brand awareness, maintaining a high level of customer satisfaction making it one of the leading low-cost airlines in Europe. Extensive public relations and advertising campaign slogans by easyJet resulted in

Introduction JetBlue Airways Corporation is an American low-cost regional airline company headquartered in Long Island City, New York. JetBlue Airways Corporation is a public company that is traded on the NASDAQ stock exchange under the ticker JBLU. According to Yahoo Finance, JetBlue operates in the Services Sector and Regional Airlines Industry. JetBlue’s main base is at John F. Kennedy International Airport, in Queens, New York. As of October 2013, JetBlue serves 84 destinations in 24 U.S. states

Since deregulation, the most influential driver of profit in the airline industry has been the control of ticket distribution (Shaw, 2013). Spirit Airlines, the leading ultra-low-cost, no-frills carrier; the worst all-around carrier charges for every ancillary product. Consequently, this paper will discuss the carrier ticket distribution channels, pricing strategy and product promotion. Direct and Indirect marketing channels. Spirit airlines distribute tickets through both Direct and Indirect channels

2013 progressed in seemingly tactical ways, despite a challenging backdrop in both the domestic markets and international markets with stellar high fuel prices across the globe and an excess of capacity in Australia concerning domestic low cost and full service carriers. The international market also faced and continues to face over capacity When discussing within the realms of the domestic market, importantly Qantas Domestic was profitable

6.1 Cost Leadership