6533b825fe1ef96bd1282664

RESEARCH PRODUCT

Competition for long-haul connecting traffic among airports in Europe and the Middle East

Adam SeredyńskiRichard KlophausTobias Grosche

subject

050210 logistics & transportationMiddle EastOperations researchbusiness.industry020209 energyStrategy and Management05 social sciencesTransportationModel parametersComputer Science::Social and Information Networks02 engineering and technologyManagement Monitoring Policy and LawCompetition (economics)Network management0502 economics and businessFlight schedule0202 electrical engineering electronic engineering information engineeringPosition (finance)businessTelecommunicationsLaw

description

Abstract This paper analyzes the competitive position of major hub airports in Europe and the Middle East for long-haul connecting traffic. We apply a connection builder to construct competitive flight connections. A stand out feature of the proposed connection builder is the calibration of the model parameters using booking data, composed of actual passenger demand between a given origin and destination (O&D) market. The methodology is applied to measure competition between hubs using flight schedule data to calculate connectivity measures like the number of city-pairs connected via a hub airport. Our results show that the Middle Eastern hubs have improved their competitive position, while the European hubs are more exposed to competition than their Middle Eastern counterparts.

https://doi.org/10.1016/j.jairtraman.2017.06.019