Download E-books Flying Off Course IV: Airline economics and marketing PDF

By Rigas Doganis

The airline provides an enigma. excessive progress charges in contemporary a long time have produced simply marginal profitability. This booklet units out to provide an explanation for, in transparent and straightforward phrases, why this could be so. It offers a special perception into the economics and advertising of overseas airlines.

Flying Off Course has demonstrated itself through the years because the integral advisor to the internal workings of this intriguing undefined. This enlarged fourth variation, principally re-written and entirely up-to-date, takes under consideration the sweeping alterations that have affected airways in recent times. It contains a lot new fabric on many key themes similar to airline expenses, ‘open skies’ , air shipment economics, charters and new traits in airline pricing.

It additionally includes fascinating new chapters at the economics of the reasonably cheap no frills vendors and at the destiny clients of the industry.

The e-book presents a pragmatic perception into key elements of airline operations, making plans and advertising and marketing in the conceptual framework of economics . it really is given extra strength by means of the author’s hands-on former reports as a md and CEO of Olympic airlines and as a non-executive Director of South African airlines whereas he's at the moment a non-executive Director of easyJet.

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Four Vertical integration – horizontal consolidation 161 7. five price merits of constitution operations 164 7. 6 making plans and fiscal benefits 173 7. 7 Do sequence charters have a destiny? one hundred seventy five eight Airline advertising – the position of passenger call for 178 eight. 1 The interplay of offer and insist 178 eight. 2 Key phases of airline advertising and marketing 179 eight. three the inducement for air shuttle a hundred and eighty eight. four Socio-economic features of air visitors 184 eight. five industry segmentation 186 eight. 6 The seasonality challenge 188 eight. 7 elements affecting passenger call for 192 eight. eight source of revenue and value elasticities of call for 196 nine Forecasting call for 203 nine. 1 the necessity for forecasts 203 nine. 2 Qualitative equipment 204 nine. three Time-series projections 207 nine. four Econometric or causal versions 215 nine. five number of forecasting method 224 10 Product making plans 227 10. 1 Key product gains 227 10. 2 Schedule-based good points 228 10. three Comfort-based product positive aspects 232 10. four comfort gains 236 10. five Airline photograph and branding 241 10. 6 The ‘hubbing’ thought 244 10. 7 The economics of hubbing 248 eleven Pricing for revenue? 252 eleven. 1 goals of airline pricing coverage 252 eleven. 2 3 key variables 254 eleven. three Inherent instability of airline fares 255 eleven. four effect of the web on airline pricing 258 eleven. five Cost-related or marketplace pricing? 259 eleven. 6 selection of cost and product thoughts 263 eleven. 7 conventional constitution of foreign passenger fares 264 eleven. eight New pricing thoughts 268 eleven. nine the significance of profit administration 273 eleven. 10 Passenger price lists and prices 278 eleven. eleven Determinants of airline passenger yields 281 12 The economics of air freight 287 12. 1 Freight site visitors traits 287 12. 2 the most important avid gamers 290 12. three The call for for air freight prone 294 12. four Freight and passenger markets range 298 12. five The problem of the built-in vendors 299 12. 6 position of freight forwarders or ‘global logistic providers’ 302 12. 7 The economics of provide 304 12. eight The pricing of air freight 309 12. nine Marginal profitability? 314 12. 10 past the difficulty – customers and demanding situations 316 thirteen destiny clients – an risky undefined? 320 Appendix: freedoms of the air 325 thesaurus of universal air delivery phrases 326 Bibliography 329 Index 333 Figures 1. 1 Annual internet revenue or loss as percent of overall profit of ICAO member airways, 1980–2008 five 1. 2 common fee of go back on invested capital in Aviation provide Chain (1996–2004) 6 1. three developments in unit sales, US and ecu community airways, 1991–2007 15 four. 1 regular gas rate in present and relentless 1987 US cents: 1980–2008 seventy six four. 2 British airlines’ expenditures when it comes to escapability, 2007–8 eighty two five. 1 Airport fees for a Boeing 747–400, December 2008 (US money) ninety five five. 2 The influence of airplane measurement on airplane direct working expenditures, US airways in 2007 104 five. three Payload–range diagrams for 2 types of the Airbus A340 106 five. four Payload–range, productiveness and value dating 107 five.

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