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Airframe manufacturers: Which has the better view of the future?

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  • Mason, K.J.

Abstract

For the development of Airbus’ A380 and Boeing's B787 it seems that these manufacturers have differing views of future airline networks. This paper assesses from published sources the likely preferences of leisure and business passengers for different airline network approaches and also assesses airline strategies through the economic cycle. The manufacturers seem to have substitutable aircraft types. Both leisure and business travellers are increasingly price elastic and growth in both markets means both aircraft type will be successful aircraft meeting differing needs. However, airline market-share strategies are likely to undermine the success of hub by-pass or hub-to-hub focus strategies throughout the cycle.

Suggested Citation

  • Mason, K.J., 2007. "Airframe manufacturers: Which has the better view of the future?," Journal of Air Transport Management, Elsevier, vol. 13(1), pages 9-15.
    • Handle: RePEc:eee:jaitra:v:13:y:2007:i:1:p:9-15
    DOI: 10.1016/j.jairtraman.2006.10.006
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    References listed on IDEAS

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    1. Graham, Anne, 2000. "Demand for leisure air travel and limits to growth," Journal of Air Transport Management, Elsevier, vol. 6(2), pages 109-118.
    2. Mason, Keith J., 2005. "Observations of fundamental changes in the demand for aviation services," Journal of Air Transport Management, Elsevier, vol. 11(1), pages 19-25.
    3. Graham, Anne, 2006. "Have the major forces driving leisure airline traffic changed?," Journal of Air Transport Management, Elsevier, vol. 12(1), pages 14-20.
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    Cited by:

    1. Wang, Kun & Gong, Qiang & Fu, Xiaowen & Fan, Xingli, 2014. "Frequency and aircraft size dynamics in a concentrated growth market: The case of the Chinese domestic market," Journal of Air Transport Management, Elsevier, vol. 36(C), pages 50-58.
    2. Pitfield, D.E. & Caves, R.E. & Quddus, M.A., 2010. "Airline strategies for aircraft size and airline frequency with changing demand and competition: A simultaneous-equations approach for traffic on the north Atlantic," Journal of Air Transport Management, Elsevier, vol. 16(3), pages 151-158.
    3. Givoni, Moshe & Rietveld, Piet, 2010. "The environmental implications of airlines' choice of aircraft size," Journal of Air Transport Management, Elsevier, vol. 16(3), pages 159-167.
    4. Adler, Nicole & Gellman, Aaron, 2012. "Strategies for managing risk in a changing aviation environment," Journal of Air Transport Management, Elsevier, vol. 21(C), pages 24-35.
    5. Suau-Sanchez, Pere & Voltes-Dorta, Augusto & Rodríguez-Déniz, Héctor, 2016. "The role of London airports in providing connectivity for the UK: regional dependence on foreign hubs," Journal of Transport Geography, Elsevier, vol. 50(C), pages 94-104.

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