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Deregulation of long distance coach services in France

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  • Crozet, Yves
  • Guihéry, Laurent

Abstract

Long distance passenger mobility is experiencing in France a huge innovation boost. Based on Internet technology and customer-oriented services some new entrants are diversifying the options for the travelers. For instance, High Speed Rail (HSR or “TGV” in French) services are challenged by low cost airlines but also by BlaBlaCar, the world leader in ride-sharing, and since 2015 by the deregulated long distance coach services. At the end of the first quarter of 2017, 8 million passengers have already experienced long distance coaches in France. But is it enough? The aim of our paper is to analyze the development of coach services in France as a case study and their lack of profitability. Until now, coach operators are suffering huge losses. Is it transitory or can we consider that the high degree of competition between HSR, ride-sharing and coach services will structurally limit the development of the latter? How will the structure of this market evolve if the demand remains at a rather low level, in comparison with United Kingdom for instance? To conclude, it is a dynamic market as far as passengers are concerned but it can be a lose-lose game for operators such as coach operators or ride-sharing platforms.

Suggested Citation

  • Crozet, Yves & Guihéry, Laurent, 2018. "Deregulation of long distance coach services in France," Research in Transportation Economics, Elsevier, vol. 69(C), pages 284-289.
    • Handle: RePEc:eee:retrec:v:69:y:2018:i:c:p:284-289
    DOI: 10.1016/j.retrec.2018.07.021
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    References listed on IDEAS

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    1. Didier van de Velde, 2009. "Long-Distance Bus Services in Europe: Concessions or Free Market?," OECD/ITF Joint Transport Research Centre Discussion Papers 2009/21, OECD Publishing.
    2. White, Peter & Robbins, Derek, 2012. "Long-term development of express coach services in Britain," Research in Transportation Economics, Elsevier, vol. 36(1), pages 30-38.
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    Citations

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    Cited by:

    1. Reynolds, Tim & White, Peter, 2022. "Forty years’ experience of deregulated express coach services in Britain," Research in Transportation Economics, Elsevier, vol. 94(C).
    2. Thierry Blayac & Patrice Bougette, 2023. "What can be Expected from Mergers After Deregulation? The Case of the Long-Distance Bus Industry in France," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 62(1), pages 63-97, February.
    3. Yeung, Timothy Yu-Cheong & Zhu, Dianzhuo, 2022. "Intercity ridesharing to the rescue: Capacity flexibility and price stability of BlaBlaCar during the 2018 French railway strike," Transportation Research Part A: Policy and Practice, Elsevier, vol. 164(C), pages 270-290.
    4. Laurent Guihéry, 2019. "Long Distance Coach Services in France and Germany: the new European competition between Flixbus and BlaBlaBus," Post-Print halshs-02374703, HAL.
    5. Feriél Adjeroud & Thierry Blayac, 2018. "Bus and carpooling travel time perceptions by users: what about the values of travel time for long-distance trips in France? [Perception du temps de transport par les usagers de l’autocar et du cov," Post-Print hal-02099824, HAL.
    6. Beria, Paolo & Bertolin, Alberto, 2019. "Evolving long-distance passenger services. Market concentration, fares and specialisation patterns in Italy," Research in Transportation Economics, Elsevier, vol. 74(C), pages 77-92.

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    More about this item

    Keywords

    Coach services; Long distance passenger transport; Competition; France;
    All these keywords.

    JEL classification:

    • L92 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Railroads and Other Surface Transportation
    • R4 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics
    • L43 - Industrial Organization - - Antitrust Issues and Policies - - - Legal Monopolies and Regulation or Deregulation

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