Effects of internal resources on airline competitiveness

This article examines the performances of 114 major international airlines between 1987 and 2010 using the resource-based theory. Results show that intangible resource is the most important resource among the human, physical and intangible resources at the aggregate industry level. In addition, successful airlines need to be able to provide an adequate level of service at relatively low cost. Nonetheless, some airlines enjoy higher profits than the others due to the country-specific differences arising from the bilateral open skies agreement between countries, the geographical location of the airline hub etc. There are also evidences suggesting an increasing consumer acceptance of new airlines, which connote that established airlines cannot be complacent. Following the emergence of budget airlines that provide point-to-point service to short distance destinations, full legacy carriers could differentiate themselves by offering direct connections on long-distant flights.

• Record URL:
  • https://doi.org/10.1016/j.jairtraman.2013.12.001
• Record URL:
  • http://www.sciencedirect.com/science/article/pii/S0969699713001452
• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/oclc/31005945
• Supplemental Notes:
  • Abstract reprinted with permission of Elsevier.
• Authors:
  • Low, Joyce M W
  • Lee, Byung Kwon
• Publication Date: 2014-4

Language

• English

Media Info

• Media Type: Print
• Features: Figures; References; Tables;
• Pagination: pp 23-32
• Serial:
  • Journal of Air Transport Management
  • Volume: 36
  • Issue Number: 0
  • Publisher: Elsevier
  • ISSN: 0969-6997
  • Serial URL: http://www.sciencedirect.com/science/journal/09696997

Subject/Index Terms

• TRT Terms: Acceptance; Competition; Consumer preferences; Full service carriers; Industrial location; Level of service; Low cost carriers
• Uncontrolled Terms: Differentiation; Resources
• Subject Areas: Administration and Management; Aviation; Passenger Transportation; I10: Economics and Administration;

Filing Info

• Accession Number: 01523128
• Record Type: Publication
• Files: TRIS
• Created Date: Apr 24 2014 11:58AM