The effect of joint ventures on airline competition: the case of American airlines, British airways and Iberia joint business


Ustaomer T. C., Durmaz V., Lei Z.

4th International Conference on Leadership, Technology, Innovation and Business Management (ICLTIBM), İstanbul, Turkey, 19 - 21 November 2014, vol.210, pp.430-439 identifier

  • Publication Type: Conference Paper / Full Text
  • Volume: 210
  • Doi Number: 10.1016/j.sbspro.2015.11.391
  • City: İstanbul
  • Country: Turkey
  • Page Numbers: pp.430-439
  • Keywords: Joint ventures, Airline competition, Airline joint venture drivers
  • Anadolu University Affiliated: Yes

Abstract

Regulatory obstacles have led international airlines to make extensive cooperation in the provision of service. The global airline alliances that link U.S. airlines to members in other states is the most visible form of cooperation. Moreover, when the alliance members obtain antitrust immunity, they can determine fares for interline trips that were not possible under traditional pricing arrangements. This research attempts to explain the effect of BA, AA and IB joint venture on transatlantic competition.