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Competition on the UK-Australasia market: Evidence from transaction data

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  • Bedford, James
  • Bilotkach, Volodymyr

Abstract

Using the sample of actual purchased tickets, obtained from Skyscanner, we estimate the relationship between market concentration and airfares on a sample of the UK-Asia and UK-Australasia markets. We find significant positive relationship between market concentration and price. Moreover, the magnitude of the effect is similar to what has been reported in the literature for markets in other parts of the world. The relationship between the airline's market share and price suggests that the markets we are studying are subject to more intense competition as compared to what has been reported in the literature for more mature airline markets.

Suggested Citation

  • Bedford, James & Bilotkach, Volodymyr, 2022. "Competition on the UK-Australasia market: Evidence from transaction data," Transport Policy, Elsevier, vol. 122(C), pages 54-63.
    • Handle: RePEc:eee:trapol:v:122:y:2022:i:c:p:54-63
    DOI: 10.1016/j.tranpol.2022.04.004
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    References listed on IDEAS

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