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Carriers’ entry patterns under EU-US open skies agreement

Shengrun Zhang, Ben Derudder, Kurt Fuellhart and Frank Witlox

Transportation Research Part E: Logistics and Transportation Review, 2018, vol. 111, issue C, 101-112

Abstract: This paper investigates route entry patterns of carriers in the context of the EU-US open skies agreement (OSA). A carrier’s dominance in market share and existing presence at both endpoint airports have positive impacts on route entry. Competitors’ presence at both endpoint airports and route concentration are two significant deterrents of entry. The role of London Heathrow and the establishment of joint ventures within international alliances also show significant impacts, although the effects vary across different markets. Separating transatlantic markets into “new” versus “existing” markets helps disentangling the complex relationships between the OSA and route entry.

Keywords: Entry patterns; EU-US open skies agreement; Market competition; Panel data analysis (search for similar items in EconPapers)
Date: 2018
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