 Multilayer networks and route entry into the airline industry: Evidence from the U.S. domestic marketAlberto Gaggero and Giovanni Piazza Research in Transportation Economics, 2021, vol. 90, issue C Abstract: In this paper we apply elements of multilayer network theory to the airline industry and study route entry into the U.S. domestic market. We find that airlines tend to follow the market leader and enter a route already served by the incumbent. Moreover, using multilayer network variables, our analysis confirms that entry is more likely when the airline operates other routes at the two endpoints of the target route. On the managerial side, our results may help each airline to foresee and therefore anticipate the competitors' entry move. On the policy side, our approach, based on multilayer network theory, may be adopted by competition authorities to detect possible firm's practices that can result from airlines' network, and, more generally, by national public authorities to understand the centrality of each airline's network in each country. Keywords: Airline; Entry; Multilayer network theory; Route map; U.S. domestic airline market (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:retrec:v:90:y:2021:i:c:s0739885921000160 Ordering information: This journal article can be ordered from DOI: 10.1016/j.retrec.2021.101044 Access Statistics for this article Research in Transportation Economics is currently edited by M. Dresner More articles in Research in Transportation Economics from Elsevier |
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