کد مقاله | کد نشریه | سال انتشار | مقاله انگلیسی | نسخه تمام متن |
---|---|---|---|---|
1023334 | 1483027 | 2014 | 16 صفحه PDF | دانلود رایگان |
![عکس صفحه اول مقاله: Competitive effects of the airlines-within-airlines strategy – Pricing and route entry patterns Competitive effects of the airlines-within-airlines strategy – Pricing and route entry patterns](/preview/png/1023334.png)
• This paper investigates the effects of the airlines-within-airlines strategy.
• This strategy allows a low-cost subsidiary airline to be used as a fighting brand.
• This strategy increases group airlines’ prices at the expenses of rival airlines.
This paper investigates the effects of the airlines-within-airlines strategy adopted by Qantas airline group, which simultaneously runs a full-service airline (Qantas Airways) and a low-cost carrier (Jetstar Airways). Our empirical investigation of airline pricing and route entry patterns in the Australian domestic market suggests that Jetstar has been used as a fighting brand against rival low cost carriers. Such a strategy increases group airlines’ prices at the expenses of rival airlines. There is preliminary evidence that pricing benefits to Qantas Group come from increased market power as well as service quality improvements.
Journal: Transportation Research Part E: Logistics and Transportation Review - Volume 63, March 2014, Pages 1–16