Search all reports
Browse through the IATA Economics report library.
1676 reports found
Parochialism in international aviation: the paradox of airline ownership and control
by Dan Edwards, UK Civil Aviation Authority; The airline industry, in common with other major business sectors, is currently seeing a lot of speculation and proposals for mergers and acquisition activity. However, in contrast to other sectors such as steel or telecoms, the proposed airline deals are of a national rather than global character. This is not a coincidence, but linked to the tight ownership and control rules within the industry that restrict foreign investment in national airlines
- Market & Industry Issues
- Business Models
Does the S-Curve still exist?
by Urs Binggeli and Lucio Pompeo, McKinsey & Company; The S-Curve effect is the phenomenon by which airlines that have a high share of frequencies on a route can attain disproportionately high market shares. With the S-Curve in mind, network managers have historically looked to build a dominant frequency position on certain routes to capture a high share of traffic and revenues. But with significant changes in the airline industry structure in recent years, does the S-Curve still exist?
- Market & Industry Issues
- Profitability
Investment incentives and airport regulation
by David Starkie, Economics-Plus Ltd; Does price-cap regulation create incentives to under-invest at privatized airports? Empirical evidence UK and Ireland, indicates that the regulated airport companies have inclined towards over-investment rather than under-investment.
- Public Policy Issues
- Infrastructure
Airline cost performance
Cost efficiency is critical for an airline's ability to compete and survive
- Market & Industry Issues
- Cost
Value chain profitability
The airline industry has been unable to generate sufficient returns for existing investors. Unless invested capital is used more effectively - and returns improved - future investment will either be constrained or delivered inefficiently or both.
- Market & Industry Issues
- Profitability
Value chain profitability: summary report
Summary of full report
- Market & Industry Issues
- Profitability
Profitability: Does Size Matter?
Last year eight airlines made operating profits over $500m, three earning more than $1bn. However, there is no correlation of size with profit margins and only a slight link with operating profits.
- Market & Industry Issues
- Profitability
Slot concentration at network hubs
by David Starkie, Economics-Plus Ltd; A high concentration of take-off and landing slots in one airline at major hub airports can represent an economically efficient outcome. Concern has previously been raised that the concentration of slots is anti-competitive, leading to calls for slot re-distribution or for new or used slots to be allocated to new entrants only.
- Public Policy Issues
- Infrastructure
Impact of Sept 11th 2001 Attack
Estimated impact of the September 11th on travel.
- Market & Industry Issues
- Shocks
Airport regulation
A good airport regulatory structure - providing better rather than just increased regulation - can benefit both airports and airlines in terms of greater efficiency and low and stable financing costs.
- Public Policy Issues
- Infrastructure