FACTORS AFFECTING THE OPERATIONAL SUCCESS OF STRATEGIC AIRLINE ALLIANCES

With increased liberalization in major air transport markets, the intensity of competition has increased among air carriers. Airlines have responded to the competitive pressures in many ways, one of which has been the formation of alliances. The question is how can the success of these alliances be ensured? While companies' culture compatibility is important and much has been written in that area, this paper focuses on factors that affect operational success of airline alliances. The operational success is measured by the change in the level of partners' inter-hub traffic due to formation of the alliance. This research has developed a methodology which could be used as a management tool to measure alliances' operational success before embarking on such agreements. The analysis of recent major alliances covering 52 inter-hub routes suggests that the main factors ensuring the alliances' operational success are: the partners' network size and their compatibility, the frequency of service between the hubs of the partners, the flight connection time at the hub and the level of competition on their network.

• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/issn/00494488
• Corporate Authors:

  Martinus Nijhoff Publishers

  Kluwer Academic Pub Group, Distribution Center, P.O. Box 322
  3300 AH Dordrecht,   Netherlands 

  Kluwer Academic Publishers

  P.O. Box 17
  Dordrecht,   Netherlands 
• Authors:
  • Bissessur, A
  • Alamdari, Fariba
• Publication Date: 1998-11

Language

• English

Media Info

• Features: Figures; References; Tables;
• Pagination: p. 331-355
• Serial:
  • Transportation (Netherlands)
  • Volume: 25
  • Issue Number: 4
  • Publisher: Martinus Nijhoff Publishers
  • ISSN: 0049-4488

Subject/Index Terms

• TRT Terms: Air travel; Airlines; Competition; Hubs; Operations; Partnerships
• Uncontrolled Terms: Alliances
• Subject Areas: Administration and Management; Aviation;

Filing Info

• Accession Number: 00760079
• Record Type: Publication
• Files: TRIS
• Created Date: Feb 4 1999 12:00AM