Arbeitspapier
The total size of an airline and the quality of its flights
We examine the relationship between the total size of an airline and its service quality by analysing over 4.8 million domestic flights within the USA in 2016. The total size of an airline is measured by its total market share, total amount of assets or total number of full-time equivalent employees. Delays are a widely used proxy for service quality and the most common category of airline customer complaints. Numerous regressions have been estimated using arrival delay time and whether a flight arrives on time as dependent variables. The regressors of main interest were the total airline size and the degree of competition on the route and airport. We control for weather, congestion, date, and characteristics of the airport, flight and airplane. The results suggest that the larger the total size of an airline, the smaller its average delay time and delay occurrence. Hence, larger airlines seem to offer a higher quality in terms of delays. We also find that an origin airport with less competition may lead to more delays. Surprisingly, a less competitive route may reduce delays.
- Language
-
Englisch
- Bibliographic citation
-
Series: Tinbergen Institute Discussion Paper ; No. 17-099/VIII
- Classification
-
Wirtschaft
Firm Behavior: Empirical Analysis
Oligopoly and Other Imperfect Markets
Air Transportation
Transportation Economics: General
- Subject
-
quality
airlines
travel time
delays
airline size
- Event
-
Geistige Schöpfung
- (who)
-
van Montfort, Joep
van den Berg, Vincent A.C.
- Event
-
Veröffentlichung
- (who)
-
Tinbergen Institute
- (where)
-
Amsterdam and Rotterdam
- (when)
-
2017
- Handle
- Last update
-
10.03.2025, 11:43 AM CET
Data provider
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. If you have any questions about the object, please contact the data provider.
Object type
- Arbeitspapier
Associated
- van Montfort, Joep
- van den Berg, Vincent A.C.
- Tinbergen Institute
Time of origin
- 2017
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