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Integrating frequent flyer programs in multilateral airline alliances

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  • Gudmundsson, Sveinn Vidar
  • de Boer, Evert R
  • Lechner, Christian

Abstract

Forming branded alliances has become a common strategy in the airline industry. These can be defined as ‘multilateral alliances’ as opposed to bilateral alliances. Limited attention has been paid to assessing the impact of multilateral alliances on complex sub-networks, such as distribution networks, cargo alliances and frequent flyer programs. These sub-networks are ‘derivative networks’ within multilateral alliances. These derivative networks create several dilemmas as they evolve causing airline managers to confront fundamental questions regarding harmonization, conflict resolution, and organizational structure.

Suggested Citation

  • Gudmundsson, Sveinn Vidar & de Boer, Evert R & Lechner, Christian, 2002. "Integrating frequent flyer programs in multilateral airline alliances," Journal of Air Transport Management, Elsevier, vol. 8(6), pages 409-417.
    • Handle: RePEc:eee:jaitra:v:8:y:2002:i:6:p:409-417
    DOI: 10.1016/S0969-6997(02)00043-1
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    References listed on IDEAS

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    1. Reuer, Jeffrey & Zollo, Maurizio, 2000. "Managing governance adaptations in strategic alliances," European Management Journal, Elsevier, vol. 18(2), pages 164-172, April.
    2. T. K. Das & Bing-Sheng Teng, 2000. "Instabilities of Strategic Alliances: An Internal Tensions Perspective," Organization Science, INFORMS, vol. 11(1), pages 77-101, February.
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    Cited by:

    1. Farooq, Muhammad Shoaib & Salam, Maimoona & Fayolle, Alain & Jaafar, Norizan & Ayupp, Kartinah, 2018. "Impact of service quality on customer satisfaction in Malaysia airlines: A PLS-SEM approach," Journal of Air Transport Management, Elsevier, vol. 67(C), pages 169-180.
    2. Martín, Juan Carlos & Román, Concepción & Espino, Raquel, 2011. "Evaluating frequent flyer programs from the air passengers' perspective," Journal of Air Transport Management, Elsevier, vol. 17(6), pages 364-368.
    3. Gudmundsson, Sveinn Vidar & Lechner, Christian, 2006. "Multilateral airline alliances: Balancing strategic constraints and opportunities," Journal of Air Transport Management, Elsevier, vol. 12(3), pages 153-158.
    4. Chao, Ching-Cheng & Kao, Ko-Ting, 2015. "Selection of strategic cargo alliance by airlines," Journal of Air Transport Management, Elsevier, vol. 43(C), pages 29-36.
    5. Klophaus, Richard, 2005. "Frequent flyer programs for European low-cost airlines: Prospects, risks and implementation guidelines," Journal of Air Transport Management, Elsevier, vol. 11(5), pages 348-353.
    6. Sue Ling Lai & Hiep-Hung Pham & Hong-Kong To Nguyen & The-Cuong Nguyen & Anh-Vinh Le, 2019. "Toward Sustainable Overseas Mobility of Vietnamese Students: Understanding Determinants of Attitudinal and Behavioral Loyalty in Students of Higher Education," Sustainability, MDPI, vol. 11(2), pages 1-17, January.
    7. Never, Jan & Suau-Sanchez, Pere, 2020. "Challenging the interline and codeshare legacy: Drivers and barriers for airline adoption of airport facilitated inter-airline network connectivity schemes," Research in Transportation Economics, Elsevier, vol. 79(C).
    8. de Boer, Evert R. & Gudmundsson, Sveinn Vidar, 2012. "30 years of frequent flyer programs," Journal of Air Transport Management, Elsevier, vol. 24(C), pages 18-24.
    9. Zijlstra, Toon, 2020. "A border effect in airport choice: Evidence from Western Europe," Journal of Air Transport Management, Elsevier, vol. 88(C).

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