Factors Influencing Operating Cost in the Airline Industry

Factors Influencing Operating Cost in the Airline Industry

Unit cost is reduced by long stage length but increased by high stage density. A mixture of long and short stages seems to be advantageous. Network characteristics determine the technology, which in turn determines unit cost. Fleet standardisation has little effect.

Share Content

Facebook
Twitter
LinkedIn

Related Articles

Cost Functions for Inland Waterways transport in the United States

American inland waterway transport is subject to a complicated system of control by government agencies, which require knowledge of costs. Inland waterway costs have fallen slightly, and a large share of the market has come into the hands of a small number of firms. The authors find increasing returns to scale for size of firm and output.

View Journal »