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Feasibility Analysis Of A Low Cost Strategy For Long Distance Flights


Author : Joren Steinheuer
language : en
Publisher:
Release Date : 2015-12-01


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Bachelor Thesis from the year 2015 in the subject Business economics - Investment and Finance, grade: 2,0, University of applied sciences, Dusseldorf, language: English, abstract: This thesis focuses on the economic feasibility of a low cost strategy for long distance flights, based on the example of Eurowings in the product portfolio of the full service carrier Lufthansa. On the ITB 2015, Europe's largest tourist trade fair, an executive board member of Lufthansa, Karl Garnand, announced the first routes for the coming low cost long distance flight product of the company. Lufthansa is going to start this project with its brand Eurowings. The first flights to three destinations will be operated as from November 2015, tickets are already bookable. The low cost carrier business prospers for a long time. Its market share in Germany, measured by the number of passengers, grew from 4,8% in 2002 to 25% in 2014. However, this success refers exclusively to short and middle distance flights. Eurowings is not the first try of an airline to establish a low cost product for long haul flights, but there is no example with economic success."

Low Cost Concept For Long Haul Destinations A Feasibility Analysis Of Eurowings Strategies


Author : Maxim Lachmann
language : en
Publisher: GRIN Verlag
Release Date : 2017-09-18


Download Low Cost Concept For Long Haul Destinations A Feasibility Analysis Of Eurowings Strategies written by Maxim Lachmann and has been published by GRIN Verlag this book supported file pdf, txt, epub, kindle and other format this book has been release on 2017-09-18 with Business & Economics categories.


Master's Thesis from the year 2016 in the subject Business economics - Operations Research, grade: 1,3, University of Applied Sciences Essen, language: English, abstract: This paper analyses Eurowings' marketing strategy by applying different macro- and microeconomic tools in order to consider competition, political forces, environment influences and economic impacts. The goal is to examine in particular Eurowings' low cost long haul business model and which strategy was selected by the Lufthansa Group and how this strategy works. Additionally, the objective is to analyse Eurowings European competitors, with the major goal first to understand Eurowings' market position in Europe. Subsequently, the results of this strategic assessment show Eurowings' strengths, weaknesses, opportunities and threats. The aviation industry in the 21st century has been changing continously. The low-cost carrier business model has revolutionised the commercial transport industry. Commercial Aviation industry and its development is positively influenced by external factors such as politival, social, economic and technological developments. Airlines are therefore forced to adjust their business models to the external factors and new market requirements, as well as to introduce new business concepts with the objective to gain more market shares and competitive advantages. The European market is divided into different low-cost carriers, each fighting for customers, image, and profit. Eurowings is a new player in this low-cost business, in particular in the market for long-haul destinations, which could become an opportunity to be the first successful low-cost German airline and the third biggest low-cost carrier in Europe.

Low Cost Carriers


Author : Stephen Ison
language : en
Publisher: Routledge
Release Date : 2017-07-05


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Low cost carriers (LCCs) represent one of the most exciting and dynamic yet often contentious developments in recent commercial aviation history. Formed as a direct result of policies of airline deregulation and liberalisation that were initiated in the United States in the late 1970s before being implemented in certain European, Australasian, Latin American and other world markets from the mid-1990s onwards to encourage competition, LCCs have been responsible for progressively reconfiguring the spatial patterns, operational practices and passenger experiences of flight. In the process, they have enabled growing numbers of people to fly to more places, more frequently, and at lower cost than had been previously possible. In so doing, however, they have generated a number of socio-economic and environmental challenges. The 23 essays included in this volume provide a detailed insight into the emergence, expansion and evolution of the low cost carrier sector worldwide. The volume covers deregulation and liberalisation of the global airline sector, the business models and operating characteristics of low cost carriers, the changing nature of the airline/airport relationship, LCC network characteristics, issues of pricing and competition and the current impacts and likely future trajectories.

The Entry Of Low Cost Airlines Into The Market For Long Haul Flights


Author : Jakob Stemmler
language : en
Publisher: GRIN Verlag
Release Date : 2015-06-05


Download The Entry Of Low Cost Airlines Into The Market For Long Haul Flights written by Jakob Stemmler and has been published by GRIN Verlag this book supported file pdf, txt, epub, kindle and other format this book has been release on 2015-06-05 with Business & Economics categories.


Bachelor Thesis from the year 2013 in the subject Business economics - Marketing, Corporate Communication, CRM, Market Research, Social Media, grade: 1,3, University of Mannheim (Fakultät für Rechtswissenschaft und Volkswirtschaftslehre, Abteilung Volkswirtschaftslehre), language: English, abstract: The entry of low-cost carriers (LCCs) in the early 1990ies revolutionized the European airline industry. Before the LCCs entered the European short-haul market, incumbent full service carriers (FSCs) were able to operate relatively unhindered. Supported by many deregulations, LCCs set their focus on a cost base as low as possible, so they were able to offer fares tremendously lower than incumbent players. Even though they took some market share from the FSCs, the main success was based on the ability to reach new customer segments. Passengers, previously travelling by car or long-distance busses, took advantage of newly affordable airline fares and were willing to incur limited comfort. Now, around 20 years after the first entry of European LCCs, the short-haul market is not expected to continue growing significantly. Hence, if the LCCs want to continue their expansion, they need a ‘new market’, and it seems just like a question of time until they add long-haul routes to their route network. Nevertheless, the long- and short-haul market are comparable just to a limited amount. As we will see in the following analyses and discussions, several specific characteristics require fundamental changes in the current LCC business model, which is optimized for short-haul operations. The focus point of this thesis is the development of an auspicious entry mode, based on theoretical economic frameworks. In comparison to the short-haul market, competitive interactions between incumbent FSCs and entering LCCs are expected to be much more intense on long-haul routes. This is based on the fact that LCCs will not be able to sustain their high cost advantages also on long-haul routes. For long-haul flights it is also not possible to reduce provided comfort and additional services in such a way the LCCs currently do on their short-haul operations. Hence, on long-haul routes, entering LCCs and incumbent FSCs will be active much more in the same market than they currently do, which implies a much higher degree of competition. This provides several points of contact for game theoretical considerations, as we will see in the following chapters.

Itf Round Tables Airport Demand Forecasting For Long Term Planning


Author : International Transport Forum
language : en
Publisher: OECD Publishing
Release Date : 2016-07-08


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This report reviews the state of the art in forecasting airport demand. It focuses particularly on addressing demand risk, passenger behavior and uncertainty and discusses how to make more effective use of such analysis in planning decisions.

Antarctic Living Marine Resources


Author :
language : en
Publisher:
Release Date : 1978


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Upper Mississippi River Illinois Waterway System Navigation Feasibility Study Integrated Feasiblity Report


Author :
language : en
Publisher:
Release Date : 2004


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