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Author: | Nather, D. |
Title: | Flying the unfriendly skies |
Journal: | Business and Society Review
1990 : SPRING, NO. 73, p. 44-50 |
Index terms: | DEREGULATION AIR TRANSPORT COMPUTER SERVICES COMPETITION AIRLINES MONOPOLY |
Language: | eng |
Abstract: | Deregulation made the airline industry vigourously competitive, but without adequate safeguards to control the excesses of a free market aviation environment now it is becoming less and less competitive. Locking out policies of dominant carriers are discussed: boxing out competitor through gate leases; the buying and selling of airport "slots"; manipulating demand for services; computerized reservation systems biased toward themselves; the technique called "code sharing"; anticompetitive practices followed by unreasonable rate hikes. Airline industry is an aggregate of regional monopolies. Proposal for limited reregulation is considered, and ways of restoring competition are proposed. |
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