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During the last decade, low-cost airlines have dominated the European air transport market. The low-cost airline industry is expected to grow at a compound annual growth rate (CAGR) of more than thirteen percent from 2022 to 2027. In this study, we conducted a comparative case study analysis to analyse and compare the entrepreneurial behaviour of two of the most prominent players in the airline industry (Ryanair and Wizz Air). For example, our first research framework was used to examine how Ryanair and Wizz Air applied entrepreneurial behaviours (innovativeness, proactiveness, and risk-taking) to respond to changes due to Brexit and the Covid-19 pandemic. According to the results from the study's first framework and second framework (the process of foresight), Wizz Air responded more innovatively and proactively to the changes caused by Brexit and the Covid-19 pandemic. Lastly, this study found that in comparison with Ryanair, Wizz Air was able to adapt its business model more efficiently to changes in its external environment. [ABSTRACT FROM AUTHOR]

The purposes of the current study were. -1) to study factors in fluencing the psychological well-being of flight attendants, working with low-cost airlines during the Covid-19 epidemic, and 2) to predict the psychological well-being of flight attendants, from the influenced factors. The current study used an online questionnaire as an instrument for collecting data from 317 flight attendants of low-cost airlines. The sample was selected by using snowball and convenience sampling. The statistic used for analyzing data was multiple linear regression. The findings showed that gender, environmental perceptions, and organizational management had an effect on psychological well-being of flight attendants. They showed that females had statistically significant higher levels of psychological well-being than did males. The environmental perceptions factor was found to have a significant negative relationship, while the organizational management factor was found to have a positive significant relationship with psychological well-being. The results may lead to providing guidelines for changing air transportation service of Low-cost airlines during the Covid-19 epidemic.

Generally, the price mechanism is the primary factor attracting customers to choose to fly. However, the other service components, especially punctuality and service quality, could not be neglected. This study aims to investigate the service components that enhance passenger return intention using three low-cost airlines operating in Don Mueang International Airport (DMK), Thailand. The quantitative approach was employed by f-test to compare three airlines’ service components. The structural equation modelling was tested for the causal relation of the factors affecting passengers’ choices. The questionnaires were distributed to 1200 Thai passengers who had experienced flying with low-cost airlines. The results disclosed differences among airlines: reliability, assurance, and the quality of products and services. In comparison, the most significant passengers’ choices were reliability, assurance, and empathy. [ABSTRACT FROM AUTHOR]

Aviation is paramount in contemporary medium and long-distance transport, and airports are essential junctions in the modern globalised economy. The presence of airports is determinative concerning local regions or areas, and a specific methodology demonstrates its impact on the economy. It allows estimating the direct, indirect, and consequent multiplicative effect of the presence of airports on employment and income more accurately. Thus, it numerically describes the economic significance of certain airports as well. It is not only about quantifying the significant impact of an airport on the local economy; it should also be the extent to which an airline's presence impacts regional and local economic processes. Besides analysing general methodological issues concerning the impact analysis of airports, this study aims to evaluate the impact of a particular low-cost airline's flights on the local economy. The basis of our study is the Cluj Avram Iancu International Airport (CLJ) of Cluj-Napoca, Romania, and its dominant airline Wizz Air, which has a distinct impact because of its distance from large international airports. Thus, we can conclude that as a net result at the regional level, the presence of Wizz Air's Cluj-Napoca flights generates over 4,000 person employment impact besides about 54 million euro income impact on the local economy. [ABSTRACT FROM AUTHOR]

The pandemic of COVID-19 has extreme impact than the intense competitors in airlines industry that never turn up in history. It derailed all airlines’ operations, company’s structure, strategy, and its markets which is highly impact to Thailand’s tourism industry. The purpose of this study is to assess the managerial practices of low-cost carriers (LCCs) to enhance the organization’s performance during COVID-19. The managerial practices concern with strategic human resources management, organizational culture, high competence personnel, and risk management affect to organizational structure. The quantitative was administered to four anonymous low-cost airlines operating in Thailand. Questionnaires were used to collect data from 150 person of each airline, hence there were 600 samples in total. The descriptive statistic and path analysis were applied. The results found that LCCs stressed greatly on the high competence personnel, followed by organizational culture, risk management, and strategic human resource management affecting organizational structure that led to efficiency and competitiveness of organization. To investigate the effect of management issues of strategic human resources management (SHRM), organizational culture (OC), high competence personnel (HQP), and risk management (RM) on low-cost carriers (LCC) in Thailand toward organizational structure (OS) which result to the competitiveness of high-performance organization (CHPO). The quantitative approach was employed by using structural equation modelling for path analysis. The data was collected by using questionnaires. There were 600 samplings from four anonymous low-cost airlines. The results found that LCCs stressed greatly on the high competence personnel, followed by organizational culture, risk management, and strategic human resource management affecting organizational structure that led to competitiveness of organization. The authors would recommend LCCs to refocus its practices to strategic human resource management during the crisis. Since, the human resource management is dealing with organization changes through the leadership and organizational culture. Finally, researchers have developed the model creating organizational structure.

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Este trabajo se sitúa en el sector de las aerolíneas de bajo costo. El objetivo fue indagar en pasajeros de aerolíneas de bajo costo en México sobre la satisfacción como variable mediadora entre la capacidad de respuesta y la confiabilidad y entre la lealtad y las intenciones de comportamiento. Se utilizó un diseño de investigación cuantitativo, no experimental, transversal, descriptivo, correlacional y no probabilístico. Como técnica de análisis estadístico se usó la modelación estructural con mínimos cuadrados parcializados. De acuerdo con los resultados, se destacan tres vínculos: 1) confiabilidad y satisfacción; 2) satisfacción y lealtad; y 3) satisfacción e intenciones de comportamiento. La relación directa entre confiabilidad y lealtad resultó no significativa.

In this study, Turkish LCCs' business model is assessed utilizing Klophaus's LCC index. The fleet homogeneity value of 0.90 indicates that LCCs' fleet strategy is similar to pure LCCs. The mean score of the simple LCC index is 3.2 indicating hybrid LCCs with dominating full service airline characteristics. This shows that LCCs in Turkey have largely adopted the business model of Turkish Airlines. The mean score of the consolidated LCC index is 0.26 indicating a very high degree of hybridization among Turkish carriers. [ABSTRACT FROM AUTHOR]

The purpose of this paper is to contribute to filling a gap in the understanding of the relationship between the presence of low-cost airlines (LCAs) and international tourism demand in a region with a large number of nationals living abroad. Our study examines this relationship in North Portugal over the period of 2005–2016. It involves testing the existence of a long-run equilibrium relationship between the variables by using a cointegration approach and estimating the error correction model (ECM). LCAs and the travel demand associated with the migrant population have been proven to help international tourism growth. The diaspora has ensured a minimum amount of traffic demand for LCAs' connections. Moreover, international tourists have contributed to the expansion of LCAs' air services. These results suggest that the level of competitiveness of the destination became a priority for the different stakeholders in the region not only to attract international tourists but also to support the development of indispensable medium- and long-haul air services at the right price. [ABSTRACT FROM AUTHOR]

Today, Ukraine adheres to the course of European integration, which provides an opportunity for citizens to travel more often and get acquainted with the culture of other countries. An example of this is the introduction of a visa-free regime and other simplified procedures for crossing the border. Another positive aspect is the development of low-costers, which today are in great demand among the population of our country. The subject of the article is the use of services provided by low-cost airlines in Ukraine. The article is aimed at analyzing the current status of use of low-costers and their impact on the country’s tourist market. The objective: highlighting the main tendencies in the use of low-cost airlines in our country’s tourism market as a means of promoting tourism. The research uses theoretical, methodological and systemic methods of analysis of sources of literature, descriptive and structural analysis to evaluate the status of use of low-costers in Ukraine and the prospects for their application. As a result of the research, the significant influence of low-cost airlines in Ukraine on the country’s tourist market is identified. Thus, low prices, a competent policy of obtaining additional income, a fleet consisting mainly of new aircrafts, as well as the integration of modern technologies give a significant increase in tourists in the general flow. It is concluded that due to the development of cooperation of the Ukrainian aviation industry with international low-cost airlines, both the inbound and the outbound tourist flows are gradually increasing.

The purpose of this study is to measure the quality perception of in-flight services for the passengers. For that purpose, the service quality performances of the two biggest Turkish low-cost airlines were evaluated within the scope of the study. The study was designed quantitatively, and the survey technique was used to collect data. The data was obtained with convenient sampling method by involving 608 participants using the package program. In the analysis, factor, frequency and reliability analysis, t-test, and oneway ANOVA tests were used. According to the results of the study, both of the Turkish low-cost airlines have high service quality scores. Another conclusion of the study is that the demographic differences are not a determinant in airline service quality perception

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Copyright of Zarządzanie Innowacyjne w Gospodarce i Biznesie is the property of Akademii Humanistyczno-Ekonomicznej and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The purpose of this study is to identify the factors that determine the capital structure of low-cost airlines. Accordingly, it is aimed to test the factors that determine the capital structure in low-cost airlines in the context of capital structure theories. In the study, 15 airline companies, which had continuous financial data during the 2004-2015 period, were examined empirically. Panel data analysis was used as a method in the study. Findings of the study show that low-cost airlines generally operate based on the trade-off theory while borrowing in the short-term and based on the pecking order theory while borrowing in the long-term.

The modern air transport industry is highly competitive. To survive in the market, the implementation of a successful marketing strategy is fundamental. In particular, an effective pricing policy has become crucial for airlines to remain profitable. Correspondingly, the different types of airline in the market have also established very distinct pricing policies. The present study is based on a literature review and presents the state of the art of pricing policy in air transportation. The aim is to compare and discuss the pricing strategies of network carriers and lowcost airlines. Special attention is paid to Revenue Management, which is a very important management tool used by airlines to take advantage of the differences in willingness to pay of passengers. The pricing policy, however, depends on the overall business strategy of the airline. Results show many differences, resulting from the fact that these two types of airline are characterized by very different fundamental business models and, correspondingly, also target groups. Since network carriers and also low-cost airlines have adjusted their pricing strategies lately, these recent developments will be discussed as well. This paper adds to the knowledge of this topic because it presents the most up-to-date and complete study on pricing regarding network carriers vs. low-cost airlines.

A number of low-cost airlines (LCA) are repositioning their brand strategy to attract business travelers. This requires first understanding and then meeting business traveler's service quality expectations. Unfortunately, most studies on service quality attributes of LCAs have focused on leisure travelers. This formed the motivation of this study, which aims to examine the gap that exists between expectations and (actual) experience with the services received across the various dimensions of service quality (SERVQUAL) among international business travelers. A total of 142 responses from business travelers were collected using a structured questionnaire comprising 23 SERVQUAL items. An expectation-experience analysis (EEA) was then performed on the survey data to categorize each item in the EEA grid as 1) High priority (high expectation but low experience) 2) Keep up the good work (high expectation and high experience) 3) Low priority (low expectation and low experience) and 4) Possible overkill (low expectation but high experience). The results show that the LCAs should focus more on the 'reliability' factor as most of its items emerged in the high priority grid while low priority should be given to 'empathy'. Overall, an all-around improvement is required to narrow the service quality gap, given that none of the service quality attributes have met or exceeded business travelers' expectations. The results are useful for practitioners to prioritize service quality improvements and develop tailor-made marketing and branding strategies. [ABSTRACT FROM AUTHOR]

Copyright of Estudios Gerenciales is the property of Universidad ICESI and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

This paper examines the effects of competition driven by low-cost airlines and high-speed trains on long-haul connecting routings. We use passenger and fare data for 2010–2017 on transatlantic routings with a stopover in large European hub airports. Competition from low-cost airlines on the short segments of transatlantic routings reduces the number of connecting passengers channeled by hubbing airlines, who have to pay higher fares. In contrast, high-speed rail services are not found to lead to a reduction in the number of connecting passengers or to an increase in the price they have to pay. • Competition by LCC and HSR on transatlantic connecting routes is examined. • Competition from LCC on short segments lead to less connecting passengers. • Competition from LCC on short segments lead to higher fares. • Airline competition in the long segments does not harm connecting travelers. • Competition from HSR on short segments does not harm connecting travelers. [ABSTRACT FROM AUTHOR]

Britain first exerted considerable civil and military aerial authority in Africa in the 1920s and 1930s. The occasional but striking presence of British pioneer pilots and aircraft was soon followed by formal agreements about Empire airbases, and operation of imperial airline service. During the Second World War, all British aviation resources in Africa were tailored to mobilising and executing military action. At the end of the War, Britain's nationalised airline resumed scheduled commercial services to and from Africa. In the post-War Commonwealth there was demand for air services at lower prices than Britain's flag-carrying airline offered. Private charter airlines provided long-haul but low-cost 'trooping' flights, 'colonial coach' passenger flights, and 'tramp' cargo flights, and consolidated and extended British aerial presence and influence in Africa. Mostly, London set and managed the regulatory regime under which they operated. Coloniality provided a key licensing element. In the 1950s, before widespread decolonisation, the authority for the least expensive long-haul flying across Africa vested in layers of complex regulation in Britain. [ABSTRACT FROM AUTHOR]

The contemporary air transport market has been considered and analyzed, key aspects of the emergence of budget airlines (low-cost) in the air transport market have been highlighted. The main factors of influence on their functioning and international distribution have been allocated. On exploring the air transport market, it can be argued that low-cost airlines are gaining speed and spreading all around the world. This system was developed specifically for budget tourists and is particularly popular among students. Budget airlines are a profitable alternative to expensive airfares. As a rule, low-cost airlines refuse most traditional services to reduce the cost of transporting passengers, and hence the prices of flights. In the current phase of operation of the budget airlines, it is particularly necessary to study the reasons for such charity and the efficiency factor in providing cheap airfares. In spite of the tempting offer, there are some nuances that are subject of research.

This paper studies the market entry patterns and evolving strategies adopted by Southwest and JetBlue. Based on the quarterly data from US T100 Domestic Segment database, we trace Southwest's successful market entries from 1993 to 2016, and those of JetBlue from 2000 to 2016, and estimate a set of discrete choice models to investigate the factors that may attract or deter route entries by Southwest and JetBlue. These factors reflect route distance, traffic demand, market power of the carriers, route competition, and connectivity and traffic concentration at endpoint airports, etc. The paper also examines the similarity and dissimilarity between Southwest and JetBlue with respect to the effects of these factors on their entry decisions, and how their route entry decisions have evolved over time. Our results indicate that both Southwest and JetBlue are more likely to enter routes where they have higher market share in terms of traffic and connectivity at endpoint airports, but they are less likely to enter routes involving endpoint airports with higher concentration in either traffic or connectivity. While Southwest appears to prefer routes with short to medium distance in the 1990s, it has started to target longer distance routes since 2000. JetBlue has consistently preferred longer distance routes. While the number of legacy rivals on a given route may deter market entry by Southwest, it does not appear to have any significant effect on the entry decisions by JetBlue. Moreover, the presence of other LCCs may have deterred the market entry by Southwest during the 1993–1999 period, and by JetBlue during the 2000–2006 period, its entry-deterrence effects has been becoming less important as the two airlines continue their growth and market expansion. The results further suggest that Southwest has continued to be hesitant to enter routes that have asymmetric traffic volume at endpoint airports, but it has become more drawn to routes with broader connections and higher traffic at endpoint airports as it moves into the business passenger segment. [ABSTRACT FROM AUTHOR]

The factors accounting for the significant increase in new routes in the European air transport market in the period 2002–13 are examined. Data for 259 airports with more 250,000 annual passengers are used. The analysis reveals that low-cost airlines extended the benefits of air connectivity to regions with relatively low rates of gross domestic product per capita, increasing the geographical coverage of small or medium-sized airports. New routes are more likely when a tourist destination is an endpoint and are less likely in competitive environments. Finally, different opening patterns by low cost and network airlines are found. [ABSTRACT FROM AUTHOR]

This study examines the effect of airline choice on tourism growth in the Azores. The results reveal that tourism numbers increased sharply as more alternative choices emerged to visitors after the entrance of low-cost carriers due to airline liberalization. Moreover, different airline types attract different kinds of visitors, contributing to tourism diversification. In particular, low-cost airline tourists are younger than those who travel in full-service airlines or charter flights. They are also more likely to buy a last-minute ticket and to come from Iberian and French markets. Charter flights, however, are important choices for those traveling to the Azores from more distant markets such as Sweden and Denmark. • Younger travelers are more likely to choose low-cost airlines. • Airline liberalization expands tourism. • Low-cost airline customers are more likely to buy a last-minute ticket. • Airline choice diversification leads to visitors' profile diversification. [ABSTRACT FROM AUTHOR]

Airline ancillary revenue which refers to non-ticket revenue sold directly to passengers or indirectly as part of their travel experience, has become a mandatory component for the revenue mix of all airlines as well as a key reason for the improved financial performance of the airline industry in the recent years. It is generated by a large amount of activities that include „a la carte" services such as fees for checked bags, frequent flying miles to airline partners, miscellaneous sources like advertising and commission-based products such as inflight retail, and car rentals - virtually any service added to the core transportation service. Contribution of ancillary services to the total revenue streams of airlines has been increasing substantially over the past decade. In 2007, the top ten airlines, as rated by total ancillary revenue, generated $2.1 billion, while ten years later, the top ten airline total has reached $29.7 billion. The paper explores the recent growth and trends in ancillary revenue in the airline industry, particularly within in the last ten years and identifies significant differences in ancillary sources with regard to carrier type. Low-cost carriers pioneered the practice of charging for supplementary services that were previously provided free of charge by seeking revenue from checked bags, assigned seats and extra leg room seating. Traditional airlines moved from all-inclusive booking arrangement and started to adopt add-on bundling practice when selling flight tickets taking advantage of low headline price. Their ancillary revenue mostly comes from the use of frequent flyer program, a mix of baggage fees and premium seats. Top airlines in overall ancillary revenue performance measured as total revenue, a percent of revenue, or on a per passenger basis are determined in the paper and new trends in creating ancillaries are elaborated. In order to improve profit performance, the airline revenue management and distribution systems should consider total revenue from each passenger, by linking his ticket value and his ancillary revenue potential. [ABSTRACT FROM AUTHOR]

The aim of the present paper is to investigate the role played by the organizational culture to the success of the USA low-cost airlines, taking as example two major operators: Southwest Airlines and JetBlue. This exploratory research was conducted using two methods. An analysis of the secondary data offered by the specialized literature was followed by primary data collection, through structured interviews with the representatives of Southwest Airlines and JetBlue. The results show that the success of the two low-cost airlines was based not only on their cutting costs strategies, but also on the organizational culture they have promoted during time. This organizational culture is based on closed relationships between the employees, clients and suppliers, among which the communication is simplified and transparent. These particularities of the two operators have made huge differences between them and other low-cost airlines in terms of resilience to the economic downturns, increased number of transported passengers, of revenues and profits.

Copyright of Tourism & Management Studies is the property of Escola Superior de Gestao, Hotelaria e Turismo, Universidade do Algarve and its content may not be copied or emailed to multiple sites or posted to a listserv without the copyright holder's express written permission. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

The current study attempts to evaluate the success factors for development and sustenance of low-cost regional airports in India. The Fuzzy multi-criteria decision making (MCDM) method has been utilized for the above pertaining. The findings of the study exhibit the importance to keep low investment cost in the development, low levies from the airport users' efficient airport operations and due diligence prior to development to measure the demand for air transport effectively. The paper fulfills the gap in the literature by integrating the stakeholder's view in low-cost regional airport development. Methodically, the paper contributes by developing and demonstrating the application of the Fuzzy based MCDM model for evaluation of the success factors for low-cost regional airport development. [ABSTRACT FROM AUTHOR]

Abstract: The main objective of this research was to determine whether the prices of airline tickets increase monotonically over time. The authors analyzed the market share of low-cost airlines during the period after the Serbian air transport deregulation of the lines connecting Belgrade to other worldwide destinations. In the observed period, Wizz Air achieved the highest increase in market share. This airline held a monopoly over all lines except the Belgrade-Rome line in the observed period. Based on the theorem on monotonic function, Spearman's coefficient, and data on Wizz Air's airfare changes for the Belgrade-Rome line, the results indicate a correlation between the time of ticket purchase and its price, but the prices of low-cost airline tickets do not monotonically increase over time.

The rise of low-cost airlines has influenced the tourism industry, particularly in trips known as backpacking. This form of travelling is mostly adopted by people on a tight budget, intending to visit a large number of touristic attractions. In the Travelling Backpacker Problem (TBP), the objective is to find the best sequence of visits, so as to minimise the total travel cost. This problem was first modelled as a routing problem. Nevertheless, for small-sized instances, an exact solver could not find any feasible solutions. In this paper, we propose a new formulation for the TBP, which is based on a network flow representation of the problem. We tested both models using a state-of-the-art MIP solver on instances generated from real data obtained from low-cost airlines. Computational experiments indicate that the network flow-based formulation outperforms the routing-based formulation and can yield high-quality solutions for instances of realistic size. [ABSTRACT FROM AUTHOR]

The remarkable evolution of low-cost carriers (LCC's) in Europe has been subject to intensive discussions in recent years. Approaching industry maturity has revealed strategic errors among many airlines and caused several markets to exit. Various carriers have ended up in hybrid positions while trying to differentiate in order to remain competitive. This paper occupies with the role of strategies in the airline industry and assesses the level of deviation from the original low-cost model amongst European LCC's. Synthesizing existing research and literature provides evidence that LCC's adapting full-service network carrier characteristics perform worse than strict low-cost adherers. [ABSTRACT FROM AUTHOR]

This paper highlights the expected impacts of the High Speed/High Capacity Rail project in Italy on tourism. An empirical analysis has been carried out with the aid of a database containing information both on tourism and transport for 77 Italian municipalities, during the 2006–2013 period. The specification of a panel model simultaneously considering the effects on all the municipalities has been proposed. The main results of the analysis show that the impacts of HSR on the number of Italian visitors and the number of nights spent at destination are positive in all the municipalities served by HSR. Moreover an airport traffic model specification has been proposed as well in order to show the impact of plane on Italian tourists 'mode choices. [ABSTRACT FROM AUTHOR]

This paper examines the influence of network airline bankruptcy (and consequently its market exit) on prices and route frequencies. Specifically, the 2011 case of Spanair is analyzed, using Spanish route data for the period 2006–2013. The study finds that the Spanair bankruptcy led to a reduction in prices on those routes where its services were replaced by low-cost airlines. On the other hand, there was no evidence of any clear reduction in flight frequencies. Given that tourist passengers are particularly sensitive to prices, this paper provide evidence about the positive impact of low-cost airlines on tourism. [ABSTRACT FROM AUTHOR]

Recent trends in transport and communication infrastructures have had a profound impact on the tourism industry. Despite the growing number and importance of online travel agencies and travel metasearch sites tourism literature addressing this issue is very scarce. This paper aims to examine the temporal changes of return airfares on online travel agency (OTA) and travel metasearch websites from Budapest to three short-haul destinations for fixed departure dates in high and shoulder season. The study was based on quantitative research methods using automated internet data collection and statistical analysis (ANOVA tests). During the study, we created a database containing more than 31 thousand ticket prices over a 182-day period for the three selected destinations. Empirical findings showed that no single website offered lowest airfares consistently and metasearch sites outperformed OTAs in almost any cases by offering lower airfares. Results also indicated the best time to book flights on the selected sites, airfares for shoulder season were significantly cheaper than for high season and ticket prices tend to be more expensive on Mondays and Sundays. [ABSTRACT FROM AUTHOR]

Low-cost carriers (LCCs) are assumed to adopt a certain business model in which an important element is the concentration of services at secondary and regional airports. Yet, evidence suggests that increasingly LCCs also establish themselves in what can be considered the major airports. This raises the question of whether LCCs are changing their business model and adopting practices associated with the traditional, incumbent airlines, and if so what might cause such change. Based on categorization of airports and using OAG flight data the US and European markets are investigated. Focusing on several LCCs, with more attention given to Southwest and Ryanair, their profile of operation with respect to the type of airports used is analysed for a period of between 15 and 25 years and up to 2015. The results clearly indicate that LCCs are increasing their operations from major airports, while generally continuing their growth and expansion strategy. The main implication of which is the increase in direct competition between LCCs and traditional airlines while the impacts of this change on the smaller airports are not clear yet and need to be investigated further. [ABSTRACT FROM AUTHOR]

The emergence of low-cost airlines has expanded travel options for consumers by offering more affordable fares. While these airlines are often associated with being inexpensive, their value proposition for passengers extends beyond just the price. However, there has been limited research addressing this aspect. To fill this gap, we surveyed low-cost airline passengers to explore their satisfaction levels and factors influencing their overall service experience. Our findings indicate that while customers may be content with the affordability of their tickets, their satisfaction with the overall service experience may vary. Specifically, this study investigates customer satisfaction with low-cost airlines by examining service quality and perceived value. Building upon existing literature, we designed a survey based on a second-factor analysis to address the research gaps. The results reveal that enhancing the service quality of low-cost airlines can lead to improved perceived value and customer satisfaction. This study has important theoretical and managerial implications for the future development of low-cost airlines, highlighting the significance of prioritizing the quality of the customer experience. [ABSTRACT FROM AUTHOR]

We analyze the relationship between dynamics to stock prices and jet fuel prices, conditional on financial and company-specific variables, in the airline sector. In particular, our contribution to the literature is in the comparison between regular and low-cost airline companies. We run a set of fixed-effect regressions where the dependent variable, the stock daily return of the airline company (observed between 2008 and 2014) is regressed over three sets of explanatory variables (financial, company-specific and time variables). While large and small companies provide similar results, we find that the company price return – among different variables – correlates only with the jet fuel return and the stock market return. Our work also suggests that there is a difference between regular and low-cost companies. We speculate that this possibly arises because low-cost companies stock-pile in a more efficient way, which depends less on current jet fuel price. Our evidence then sheds light on the efficiency of the low-cost model and may suggest to export part of its practice among regular airline companies.

The paper investigates heterogeneity of business travelers who travel with different types of air carriers. According to a set of studies published abroad it is researched that there are business passengers traveling with full-service carriers or with lowcost carriers. Our research objective is to identify the differences between those two segments evaluating their different attributes. Besides, the paper provides the related literature review. It designs a suitable data collection and evaluation methodology for conducting the research in the Czech Republic where such studies are missing.

The liberalization of the European air opened the strictly regulated European market, and contributed to the appearance and quick spread of the Low-Cost Carriers (LCCs). At the beginning of the 21st century the low cost traffic absolutely concentrated on the Western European market but after the enlargement of the European Union (EU) LCCs started their operations in Eastern Europe enlarging and enriching the former evolved network structures. The aim of this paper is to trace the evolution of the route network as a result of EU expansion. During the study we came to the conclusion that in the time period after the EU enlargement the European LCC traffic showed dynamic development, route networks widened and the number of accessible destinations doubled. Comparing the LCCs network structures we defined three main characteristics, which represents the North-South flows, the West-East routes and the mixed network structure.