DELIVERING STRATEGIC EXPERTISE GLOBALLY

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Focus: Airline Alliances - Responses to a Global Marketplace

An airline industry shaped by alliances changes the competitive landscape for airline service. As a result, airport operators must evaluate how these changes affect their airports and identify opportunities to improve financial and operating performance.

Airline alliances emerged from a need to create seamless international air travel. Globalized industries increasingly require access to local markets beyond a country’s primary international gateway. In response to this requirement, large, strategic, branded airline alliances were formed, together with code-sharing and other marketing arrangements, to mitigate the effects of restrictive bilateral agreements, ownership restrictions, and licensing and control regulations. Airlines based in different countries formed alliances to facilitate access to specific markets and to leverage their local knowledge, relationships with suppliers, and specialized marketing and distribution channels.

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