Air wars in Asia: competitive and collaborative strategies and tactics in action

It has been forecast that before the turn of the millennium air travel in Asia will account for 40 percent of global travel rising to 50 percent by 2010. The International Air Transport Association also forecast world international scheduled passenger numbers to grow by an average of 7.1 percent annually to 2000, to reach 522 million. Air wars over Asia are hotting up, with some of the world’s biggest airlines engaged in intense competition over Asian skies – potentially the richest and most lucrative air travel market on Planet Earth, notwithstanding the 1997 currency turmoil. This article looks at how competition in the Asia Pacific air travel industry was played out in the 1990s. A glimpse of what is to come can be drawn from the several tough skirmishes seen thus far in the 1990s.