The Effects of Strategic Alliances and Risk Pooling on the Load Factors of International Airline Operations
Journal
Transportation Research-Part E
Journal Issue
39
Pages
19-34
Date Issued
2003
Author(s)
Fisher C. Chen
Abstract
This paper develops a theoretical model and conducts an empirical analysis of the effects of complementaryand parallel codesharing on the load factors of international airline operations. The analysis shows that, given the increased demand resulting from the expansion of a global network, only parallel codesharing leads to higher load factors, since parallel alliance airlines can supply fewer seats than their complementary counterparts. These results provide new insights into several managerial and policyissues about airline strategic alliances such as partner selection, cost savings, and supply coordination. 002 Elsevier Science Ltd. All rights reserved.
Type
journal article