The impact of the emergence of low-cost carriers and budget flights

• Main Authors: Fabian, Frederick Nico G., Jung, Young Gyun, Montealto, Kevin Andre L., Yu, Harvin Adrian C.
• Format: text
• Language: English
• Published: Animo Repository 2013
• Subjects: Air travel; Airlines > Rates > Philippines; Civil Engineering
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/11478
• Institution: De La Salle University

The emergence of the low-cost carriers in the form of budget flights and promotional fares in the Philippines has truly aided the developing socio-economic status of the Philippines. Its appearance greatly affected the air industry of the country in terms of the number of airlines operating and the demand of the passengers. The main objective of the study is to evaluate the effects of the emergence of low-cost carriers with respect to the performance of the airport and the airline industry of the Philippines. Results show that the unique characteristic of offering inexpensive fares of low-cost carriers triggered an increasing number of passengers and flight trips in the airline industry. In terms of passenger demand, low-cost carriers are improving in the field of airline industry in the Philippines albeit both the low-cost carriers and the present infrastructure design and policies implemented in Ninoy Aquino International Airport (NAIA) cannot properly adapt to the growing airline industry.