Unfavorable Factors of Developing Low-Cost Carriers in Taiwan

• Main Authors: Chung-HaoLin, 林仲壕
• Other Authors: Chin-E Lin
• Format: Others
• Language: en_US
• Published: 2010
• Online Access: http://ndltd.ncl.edu.tw/handle/82644756528928085920

碩士 === 國立成功大學 === 民航研究所 === 98 === While Southeast Asian low-cost carriers (LCCs) have been vivacious in expanding their business within the region for years, there has been hardly any national LCC setting foot in international air travel market despite foreign LCCs’ potent entry. The objective of this thesis is to explore the unfavorable factors existing in Taiwan’s air-travel environment to restrain LCCs’ development by method of in-depth interview with practical experts, including Civil Aeronautics Administration, national airlines, and travel agency. In terms of three primary aspects: laws and regulations, airport environment, and market segmentation, the results indicated the logic that it is definitely impossible for Government to deregulate international market for shielding national airlines from uneven profitability. By comparison, there is no overcrowded traffic among Taiwan’s airports, relatively, facilitating establishment of tailor-made terminal in Southeast Asia. Marketing power of tickets is still in travel agencies’ hand with their competitive “group packaged tour”. The authors concluded that national LCCs are at a distinct disadvantage in Taiwan’ air transportation industry, if any.