Airline Business Models and Networks

This paper examines the evolution of airline business models and network structure decisions in the passenger aviation industry. The paper reviews the growth of hub-and-spoke networks as the dominant business model following deregulation in the latter part of the 20th century, followed by the emergence of low cost carriers as a global phenomenon at the end of the century. The paper highlights the link between airline business strategies and network structures, and examines the resulting competition between divergent network structure business models. In this context, we discuss issues of market structure stability and the role played by competition policy.

The Global Shift of the Car Industry

Key readings:

1. Renault/Nissan: The Making of a Global Alliance, Transnational Management

2. Peter Dicken, 2003, Global Production Networks in Europe and East Asia: The Automobile Components Industries, GPN Working Paper n. 7.

3. John Sutton, 2004, The Auto-component Supply Chain in China and India -A Benchmarking Study, Sticerd, LSE.

4. Deloitte, 2009, A New Era: Accelerating toward 2020: An Automotive Industry Transformed.

5. Yveline Lecler, 2002, The Cluster Role in the Development of the Thai Car Industry, International Journal of Urban and Regional Research, 26.4, 799-814

6. Lothar Krempel and Thomas Pluemper, 1999, International Division of Labor and Global Economic Processes: An Analysis of the International Trade of Cars with World Trade Data. Journal of World-Systems Research, V.3, 487-498.

7. Phallapa Petison and Lalit M. Johri, 2008, Localization drivers in an emerging market: case studies from Thailand, Management Decision, 46(9), 1399-1412.