Airport competition: the European experience by Peter Forsyth, David Gillen, Jurgen Muller, Hans-Martin

By Peter Forsyth, David Gillen, Jurgen Muller, Hans-Martin Niemeier

The break-up of BAA, the blocked takeover of Bratislava airport via the competing Vienna airport and the prohibited subsidy of Ryanair via Brussels South Charleroi Airport have introduced the difficulty of airport festival to the pinnacle of the time table for air delivery coverage in Europe. "Airport pageant" studies the present kingdom of the controversy and asks even if airport festival is powerful adequate to successfully restrict marketplace energy. It presents facts on how guests selected an airport, thereby changing its aggressive place, and on how airports compete in several areas and markets. The e-book additionally discusses the most coverage implications of mergers and subsidies.

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One coach company built a network of feeder services into Heathrow that allowed convenient bus-to-bus transfers, not altogether to the liking of the airport operator, BAA. Air France has an air cargo truck hub at Frankfurt Hahn Airport, where it has no flights, and British Airways did the same at Maastricht Airport. 1 Rostock City-pairs served by LCCs at Stansted accessible at similar prices Airport Competition and Network Access: A European Perspective 13 Airports need to attract both airlines and surface operators to use them as one of the nodes in their networks.

2005). To our knowledge there are no estimates on the strength of economies of scope in the airport industry. It is plausible that economies of scope might arise from the use of runways for scheduled, charter and cargo traffic as well as from jointly offering non-aeronautical services (Australian Productivity Commission, 2002, p. 102). Since the demand for air transport services is still low in many small regional European markets, incumbent airports might enjoy a natural monopoly position, which, together with sunk costs, would make entry for newcomers unprofitable.

Lobbenberg, A. (2003). ‘The emperor awaits judgment’. ABN AMRO Research Paper, 18 September. Mandel, B. (1997). ‘The interdependence of airport choice and travel demand’. Paper to an ICAO symposium in Montreal, April. Ryanair Holdings plc (2003). Form 20F Report, filed with the US Securities and Exchange Commission, 30 September. Schwartz, A. (2003). ‘Priming the pump’, Air Transport World, October. This page has been left blank intentionally Chapter 3 Airport Entry and Exit: A European Analysis Christiane Müller-Rostin, Hansjochen Ehmer, Ignaz Hannak, Plamena Ivanova, Hans-Martin Niemeier and Jürgen Müller Introduction There have been many changes in recent years in both the airline and the airport industries in Europe and elsewhere.

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