Impacts of Airports on Airline Competition: Focus on Airport Performance and Airport-Airline Vertical Relations
This paper examines revenue structure, regulation, and market power of airports, and how they affect airport's services to airlines and influence the form of vertical relationship between airport and airlines, and thus, eventually on competition in airline markets. In addition, we also examine...
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| Format: | Elektronisch E-Book |
| Sprache: | English |
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Paris
OECD Publishing
2008
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| Schriftenreihe: | OECD/ITF Joint Transport Research Centre Discussion Papers
no.2008/17 |
| Schlagworte: | |
| Online-Zugang: | Volltext |
| Zusammenfassung: | This paper examines revenue structure, regulation, and market power of airports, and how they affect airport's services to airlines and influence the form of vertical relationship between airport and airlines, and thus, eventually on competition in airline markets. In addition, we also examine the competitive consequences of common ownership, coordination or alliance among multiple airports in a region. The key findings are: Concession revenues are of increasing importance to airports. The positive externality of air traffic on the demand for non-aeronautical services, along with competition among both airlines and airports, induces a vertical cooperation between airports and the dominant carrier at the airport. Airports have substantial market power due to the low price elasticity of their aeronautical services. However, such airports' market power is moderated by competition in both the airline and airport markets. There are benefits for both airports and airlines from entering into long term relationships. |
| Beschreibung: | 1 Online-Ressource (39 p.) 21 x 29.7cm. |
| DOI: | 10.1787/235140743836 |
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| indexdate | 2024-11-26T14:56:02Z |
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| language | English |
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| spelling | Oum, Tae H... VerfasserIn aut Impacts of Airports on Airline Competition Focus on Airport Performance and Airport-Airline Vertical Relations Tae H., Oum and Xiaowen, Fu Paris OECD Publishing 2008 1 Online-Ressource (39 p.) 21 x 29.7cm. Text txt rdacontent Computermedien c rdamedia Online-Ressource cr rdacarrier OECD/ITF Joint Transport Research Centre Discussion Papers no.2008/17 This paper examines revenue structure, regulation, and market power of airports, and how they affect airport's services to airlines and influence the form of vertical relationship between airport and airlines, and thus, eventually on competition in airline markets. In addition, we also examine the competitive consequences of common ownership, coordination or alliance among multiple airports in a region. The key findings are: Concession revenues are of increasing importance to airports. The positive externality of air traffic on the demand for non-aeronautical services, along with competition among both airlines and airports, induces a vertical cooperation between airports and the dominant carrier at the airport. Airports have substantial market power due to the low price elasticity of their aeronautical services. However, such airports' market power is moderated by competition in both the airline and airport markets. There are benefits for both airports and airlines from entering into long term relationships. Transport Fu, Xiaowen MitwirkendeR ctb FWS01 ZDB-13-SOC FWS_PDA_SOC https://doi.org/10.1787/235140743836 Volltext |
| spellingShingle | Oum, Tae H.. Impacts of Airports on Airline Competition Focus on Airport Performance and Airport-Airline Vertical Relations Transport |
| title | Impacts of Airports on Airline Competition Focus on Airport Performance and Airport-Airline Vertical Relations |
| title_auth | Impacts of Airports on Airline Competition Focus on Airport Performance and Airport-Airline Vertical Relations |
| title_exact_search | Impacts of Airports on Airline Competition Focus on Airport Performance and Airport-Airline Vertical Relations |
| title_full | Impacts of Airports on Airline Competition Focus on Airport Performance and Airport-Airline Vertical Relations Tae H., Oum and Xiaowen, Fu |
| title_fullStr | Impacts of Airports on Airline Competition Focus on Airport Performance and Airport-Airline Vertical Relations Tae H., Oum and Xiaowen, Fu |
| title_full_unstemmed | Impacts of Airports on Airline Competition Focus on Airport Performance and Airport-Airline Vertical Relations Tae H., Oum and Xiaowen, Fu |
| title_short | Impacts of Airports on Airline Competition |
| title_sort | impacts of airports on airline competition focus on airport performance and airport airline vertical relations |
| title_sub | Focus on Airport Performance and Airport-Airline Vertical Relations |
| topic | Transport |
| topic_facet | Transport |
| url | https://doi.org/10.1787/235140743836 |
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