The Context of the Airline Industry: An African Market Perspective

Eyden Samunderu
Additional contact information
Eyden Samunderu: International School of Management

Chapter Chapter 1 in African Air Transport Management, 2023, pp 1-32 from Springer

Abstract: Abstract This chapter presents a holistic overview of the African air transport market in terms of the air transport environment, regulations and airline performance. This chapter explores the growth trajectory within the African region and how this has subsequently propelled a myriad of opportunities ranging from market access, increased international trade and tourism. Overall, the development of African aviation sector has had a significant impact in terms of driving inbound investments for African economies, job market opportunities, as well as giving national governments the opportunity to generate revenue streams through taxes. The chapter makes further highlights the significant strategic importance of intra-African connectivity and this is because of its propensity to drive both economic growth prosperity and development. Despite huge market potential derived from air transport growth, the African region still faces major headwind challenges. The African aviation market underperforms especially in terms of profitability, growth and sustainability of airlines compared to any other markets. Challenges in the airline industry affecting tourism growth have also resulted in declining yields, rising costs, lack of profitability, restrictive bilateral agreements and an extremely slow liberalization process and a lack of stimulation of new markets. Other internal pressures include rigid regulatory frameworks, high-ticket prices and high operating costs in comparison to other regions.

Keywords: Growth; African aviation; Intra-Africa connectivity; Seat capacity; Open skies; Airline performance (search for similar items in EconPapers)
Date: 2023
References: Add references at CitEc
Citations:

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:aaechp:978-3-031-29324-5_1

Ordering information: This item can be ordered from
http://www.springer.com/9783031293245

DOI: 10.1007/978-3-031-29324-5_1

Access Statistics for this chapter

More chapters in Advances in African Economic, Social and Political Development from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().