Price reaction in New Zealand’s duopolistic airline market

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dc.citation.issue2
dc.citation.volume30
dc.contributor.authorNgo T
dc.contributor.authorTsui KWH
dc.date.accessioned2024-05-26T23:18:54Z
dc.date.available2024-05-26T23:18:54Z
dc.date.issued2023-02-11
dc.description.abstractThis study investigates the price reaction in a duopolistic market where two airlines (a full-service and a low-cost carrier) dominate the domestic aviation market. Utilising a rich dataset of 53,463 matched airfares for Air New Zealand and Jetstar in New Zealand from September to December 2019, we found a U-shaped relationship (from Jetstar to Air New Zealand) and an inverted U-shaped relationship (from Air New Zealand to Jetstar) between the two airfares. While distinguishing their different business models, such behaviour has not been empirically discussed in the literature. This study can be extended to larger and more complex markets.
dc.description.confidentialfalse
dc.format.pagination159-184
dc.identifier.citationNgo T, Tsui KWH. (2023). Price reaction in New Zealand’s duopolistic airline market. International Journal of the Economics of Business. 30. 2. (pp. 159-184).
dc.identifier.doi10.1080/13571516.2023.2173933
dc.identifier.eissn1466-1829
dc.identifier.elements-typejournal-article
dc.identifier.issn1357-1516
dc.identifier.urihttps://mro.massey.ac.nz/handle/10179/69665
dc.languageEnglish
dc.publisherTaylor and Francis Group
dc.publisher.urihttps://www.tandfonline.com/doi/full/10.1080/13571516.2023.2173933
dc.relation.isPartOfInternational Journal of the Economics of Business
dc.rights(c) The author/sen
dc.rights.licenseCC BY 4.0en
dc.rights.urihttps://creativecommons.org/licenses/by/4.0/en
dc.subjectNew Zealand’s duopolistic domestic aviation market
dc.subjectairline competition
dc.subjectAir New Zealand
dc.subjectJetstar
dc.subjectairfare
dc.subjectprice reaction
dc.titlePrice reaction in New Zealand’s duopolistic airline market
dc.typeJournal article
pubs.elements-id459950
pubs.organisational-groupOther
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