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Effects of Increased Nonstop Routing on Airline Cost and Profit

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dc.contributor.author Melconian, Terran
dc.contributor.author Clarke, John-Paul
dc.date.accessioned 2007-04-26T20:44:43Z
dc.date.available 2007-04-26T20:44:43Z
dc.date.issued 2001-09
dc.identifier.uri http://hdl.handle.net/1721.1/37294
dc.description.abstract Delays in the United States air transportation industry are increasing every year, with correspondingly increasing costs. Delays are particularly bad at hub airports, due to the extra demand placed on these connecting points. This paper addresses one approach to help alleviate this problem, that of shifting capacity from hub-and-spoke flights to nonstop flights. In order to evaluate the effects of such a change, we analyze the market share and revenue benefits of adding new nonstop flights to a market previously served only by connecting service, and examine the actual cost of delays. The MIT Extensible Air Network Simulation, developed in support of this work, is also presented. For a sample analysis for Continental Airlines, it is found that over $550,000 per day in additional profit could be obtained by reassigning flights away from the congested hubs. en
dc.description.provenance Submitted by sallyc@mit.edu (sallyc@mit.edu) on 2007-04-26T20:44:42Z No. of bitstreams: 1 Melconian.PDF: 647190 bytes, checksum: 82c3820b4c75d7b9e931efb7a09506ab (MD5) en
dc.description.provenance Made available in DSpace on 2007-04-26T20:44:43Z (GMT). No. of bitstreams: 1 Melconian.PDF: 647190 bytes, checksum: 82c3820b4c75d7b9e931efb7a09506ab (MD5) Previous issue date: 2001-09 en
dc.language.iso en_US en
dc.relation.ispartofseries ICAT-2001-4 en
dc.subject delays en
dc.subject Air Transportation en
dc.subject ub airports en
dc.title Effects of Increased Nonstop Routing on Airline Cost and Profit en
dc.type Technical Report en

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