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Determinants of Brazilian international flights: The role of hub-and-spoke and infrastructure variables

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  • Seabra, Fernando
  • Valente, Amir Mattar
  • Silva, Leandro R.
  • Assis, Rafaella
  • Acordi, Carla
  • Marcon, Aline Filéti
  • Bauer, Martina Matte

Abstract

The objective of this study is to evaluate the determining factors influencing airline companies to operate international origin-destination (O-D) routes from different Brazilian airports. The results are based on a panel data model and support the assumption that statistically significant explanatory variables stem from gravity factors (GDP and an airport competition measure weighted by distance), hub-and-spoke variables and capacity inputs. We find that a composite variable made up by the airport capacity variables – given by the size of the terminal building and the length of runways – and its domestic connections have a positive effect on airport competitiveness. In conclusion, we find that not only well-known demand-side factors, but also supply-side variables – strategic decisions taken by airport management – matter in attracting international flights.

Suggested Citation

  • Seabra, Fernando & Valente, Amir Mattar & Silva, Leandro R. & Assis, Rafaella & Acordi, Carla & Marcon, Aline Filéti & Bauer, Martina Matte, 2020. "Determinants of Brazilian international flights: The role of hub-and-spoke and infrastructure variables," Journal of Air Transport Management, Elsevier, vol. 89(C).
    • Handle: RePEc:eee:jaitra:v:89:y:2020:i:c:s0969699720304506
    DOI: 10.1016/j.jairtraman.2020.101866
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