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This study investigates the factors affecting air passengers' choice of transfer airport in the market between … an airport operator including identifying effective routes to better compete for transfer passengers. Specifically, a …) are used to control for potential endogeneity of airfare, while we treat airport characteristics including minimum …
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This paper explores the possibility that the fortress hubs phenomenon is a consequence of the nature of airline hub-spoke network rivalry with the cost complementarities and economies of traffic density inherent to such networks. A negative network effect of local competition is identified:...
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Many firms offer “core” and “side” goods in the sense that side-good consumption is conditional on core-good consumption. Airports are a common example where the supply of runway and terminal capacity is the core good and the supply of various concession services (for example, car rental...
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