Mergers and service quality in the airline industry: A silver lining for air travelers?

We examine the relationship between mergers in the US domestic market and service quality, as measured through late flights, mishandled bags, involuntary boarding denials and flight cancellations. We find that in the immediate years following a merger, service quality generally deteriorates, and that the drop in service is due simultaneously to the merger and the increased concentration of the market. Thus, recent mergers in the US, including Delta and Northwest, United and Continental, Southwest and AirTran, have likely resulted in increased market concentration and decreased service levels. From a public policy perspective, our results point to the importance of regulators monitoring airline actions, such as mergers and acquisitions, that serve to increase the concentration of markets, and may also result in decreased service quality.     

Environmental and financial sustainability of air transport: Are they incompatible?

Many would consider that the current reliance on air transport is environmentally unsustainable, especially given its impacts on climate change and its use of non-renewable resources. In addition, financial sustainability is often seen as inconsistent with environmental sustainability. The conclusions here are otherwise. Air transport does contribute to greenhouse gas emissions, but the climate change problem is a general one, and while addressing it has a cost, this cost is minimised when air transport is required to bear the environmental costs that it imposes. The reliance on non-renewable resources does give rise to a sustainability problem. There is not likely to be a problem of lack of financial sustainability of the industry, though addressing environmental objective will lead to a reduction in performance in the short run. Both environmental and financial sustainability of air transport can be achieved, as long as efficient policies are adopted.     

Accessibility measurements in São Paulo,Rio de Janeiro,Curitiba and Recife,Brazil

Increasing attention is given to public transport services in cities of the Global South as a tool to enhance social inclusion and support economic development. Against this background, developing and evaluating indicators that quantify the distribution of public transport services from a social equity perspective is essential. The aim of the study is, therefore, to assess the equity of public transport services in four metropolitan regions in Brazil (São Paulo, Rio de Janeiro, Curitiba and Recife) with two commonly used indicators of public transport provision. The first indicator measures proximity to rapid transit infrastructure (bus rapid transit, light rail and heavy rail stops with high frequency throughout the day), and the second measures accessibility to jobs by public transport. While simple indicators of proximity to public transport stops are most commonly used given their ease of operationalization and communication, accessibility to job indicators are more representative of the benefits provided to individuals by the public transport network. Combining these two indicators in one study provides a quantitative assessment of the socio-spatial distribution of public transport services in four large metropolitan areas in Brazil and the results demonstrate that lower-income households are disadvantaged in terms of public transport services in all four metropolitan areas. Furthermore, the results highlight the importance of quantifying accessibility by public transport, in addition to proximity to rapid transit, and thereby sheds light on the importance of developing openly available public transport schedules and geographic data. This study is of relevance to planners and researchers wishing to measure and evaluate public transport equity in the Global South.     

Mapping accessibility in Belgium: a tool for land-use and transport planning?

This paper compares the spatial structure of car accessibility to towns and to railway stations during peak and off-peak hours in Belgium for the country’s 2616 municipalities. A clustering method is applied. It is shown that in a highly urbanised country, the situation is far from being spatially equitable in terms of accessibility, and some areas are more favoured than others. Congestion increases spatial inequalities, differently according to absolute or relative measures of change. By means of examples, this paper shows that even simple accessibility indicators could be useful to support decisions taken by planners and politicians (e.g. as regards the development of residential, industrial and business park areas). Maps indicate the spatial inequalities in terms of accessibility to urban centres and transport nodes, and the impact of congestion on these inequalities. The absolute and relative time losses due to congestion affect different areas in different ways. The location of new developments further increases the congestion problem and the spatial disparities. This paper also insists on the caution that should be adopted when measuring and interpreting “accessibility”, its measurements, its inputs, its temporal changes in absolute and relative terms as well as the need for spatially disaggregated data.     

Hello major airports,goodbye regional airports? Recent changes in European and US low-cost airline airport choice

Low-cost carriers (LCCs) are assumed to adopt a certain business model in which an important element is the concentration of services at secondary and regional airports. Yet, evidence suggests that increasingly LCCs also establish themselves in what can be considered the major airports. This raises the question of whether LCCs are changing their business model and adopting practices associated with the traditional, incumbent airlines, and if so what might cause such change. Based on categorization of airports and using OAG flight data the US and European markets are investigated. Focusing on several LCCs, with more attention given to Southwest and Ryanair, their profile of operation with respect to the type of airports used is analysed for a period of between 15 and 25 years and up to 2015. The results clearly indicate that LCCs are increasing their operations from major airports, while generally continuing their growth and expansion strategy. The main implication of which is the increase in direct competition between LCCs and traditional airlines while the impacts of this change on the smaller airports are not clear yet and need to be investigated further.     

Environmental sustainability,airport capacity and European air transport liberalization: irreconcilable goals?

The general aim of this paper is to discuss the apparently irreconcilable tensions that exist between policies for air transport liberalization in the European Union (EU), those directed at environmental sustainability, and the inadequacy of plans for additional airport capacity and modal shift to meet projected growth in air transport. The paper analyses the contradictory responses of the major stakeholders in the air transport industry to these problems, concentrating in particular on the environmentally incompatible strategies adopted by airlines in the competitive market-place. It concludes that environmentally driven capacity constraints at airports will effectively determine air transport's development within the EU, and that current laissez-faire attitudes of airlines and their regulators are unlikely to prevail as 'polluter pays' principles are more firmly implemented.     

Spatio-temporal evolution of cities and regional economic development in Nepal: Does transport infrastructure matter?

The literature on the New Economic Geography (NEG) suggests that transport cost is a major driving factor for the emergence of core–periphery patterns within a country. However, very few studies have tested this theoretical explanation in the context of transport infrastructure networks in developing countries. This paper takes a closer look at Nepal and tests four expectations that are drawn from the NEG, which highlight different aspects of the formation of core–periphery dynamic as determined by infrastructure quality. The expectations are tested by relating spatial-temporal patterns of road development to the growth and distribution of cities and examining the transport infrastructure contribution to shaping the patterns of regional economic development. We used intercity travel time estimates, based on the design speed of roads, length of sections and pavement type (from 1961 onwards in 10-year segments) as an indicator for the quality of infrastructure (transportation cost). Next, we computed hubness and accessibility indices of cities, defined by means of a gravity model and as a function of transportation cost, to undertake a cross-city comparison. We applied GIS mapping, multiple regression and mediation analysis techniques to relate these transport and accessibility characteristics to spatio-temporal patterns in city size and GDP per capita. Our study broadly confirms the core expectation derived from the NEG that transport improvements facilitate urbanization and that higher urbanization leads to higher regional GDP per capita. Two independent effects were identified in qualification of these overall patterns – the impact of market potential on city primacy and the impact of highly localized, immobile resources on GDP.     

Road traffic noise in Montreal and environmental equity: What is the situation for the most vulnerable population groups?

Road traffic noise is one of the most detrimental environmental nuisances for the population. Prolonged exposure to high road noise levels can lead to various problems in people's health and well-being. The objective of this article is to determine whether the groups most vulnerable to road noise, that is, children under 15 years old, people 65 years old and over, and the groups most likely to experience high nuisance levels, visible minorities and low-income individuals, are affected by an environmental inequity related to this nuisance. The method of estimating this nuisance employed in the study is based on a combination of several elements: that is, average traffic flows, road geometries, normal atmospheric conditions, and the characteristics of the urban environment. All of these parameters were considered for the 14 boroughs that make up the central portion of the Island of Montreal. Modelling was used to calculate the maximum daily road noise, based in part on the LimA software predictive model and according to the XPS 31-133 computation method. The results obtained from three different statistical tests and spatial regression analyses show that, on the one hand, the groups chosen on the basis of age are not affected by any environmental inequity related to the phenomenon of road traffic noise. On the other hand, low-income individuals and visible minorities live in city blocks marked by road traffic noise levels that are slightly higher than those experienced by the rest of the population.     

Exploring causality in trade and air passenger travel relationships: the case of Asia-Pacific, 1980–2010

This paper explores the potential of heterogeneous Granger analysis in transport geography research by applying this method to a specific case of the often complex and potentially reciprocal linkages between the deployment of transport infrastructures and spatial economic development: the linkages between rising intra-regional volumes of trade and air passenger traffic in Asia-Pacific. Although conceptual and empirical linkages between both indicators can be assumed based on previous research, relatively little is known about the actual causality. Using heterogeneous Time Series Cross Section Granger causality analysis for the period 1980–2010, we explore the presence of four ‘causality scenarios’ amongst different country-pairs: (1) there is no co-evolution, implying that both patterns develop independently (e.g. Japan–Australia); (2) there is ‘real’ co-evolution in that both patterns influence each other through feedback loops (e.g. South Korea–Philippines); (3) air passenger traffic is facilitated by trade (e.g., South Korea–Philippines); or (4) trade is facilitated by air passenger traffic (e.g. Australia–Malaysia). Some tentative interpretations of this heterogeneity are offered.     

The pain persists: Exploring the spatiotemporal trends in air fares and itinerary pricing in the United States, 2002–2013

In the United States, the Airline Deregulation Act of 1978 prompted higher levels of service frequency between large and/or popular markets, lowering associated fares, on average. However, deregulation also increased financial instability within the commercial air transport industry, reduced quality of service, increased passenger fees and accelerated changes in the operational configurations of networks through hubbing, dehubbing, mergers and acquisitions. Over time, these market forces have squeezed service to/from smaller communities through schedule reductions and higher fares, creating “pockets of pain” in the air transport landscape. The purpose of this paper is to explore the uneven spatiotemporal distribution of air fares, by airports and associated flight segments, examining both symmetries and asymmetries in fare patterns over time and across space. Results suggest that several significant pockets of pain still exist within the U.S., and that asymmetries in air fares creates a lopsided fare structure for many smaller markets, further aggravating the fare imbalances spawned by deregulation.     

Does the nature of airport terminal service activities matter? Processing and non-processing service quality,passenger affective image and satisfaction

The surge in air transport demand and the increasingly competitive and volatile market dynamics due to airline deregulation are rapidly transforming airports’ character into multi-service firms and destinations. As a result, service performance measurement of significant systems and their consequent impact on airport users are crucial in creating better airport service design, operation and management for sustainable competitive advantage. The present study 1) assesses the applicability of the Airport Indicators of Passenger Experience (AIPEX) model on Shanghai Pudong International Airport (PVG), and 2) tests a theoretical model that explores the direct and indirect relationships among airport service quality, passenger affective image and satisfaction, as well as the moderating mechanism of passenger type (travel purpose) in these associations. The results indicate that, the AIPEX model fits the PVG context for airport service performance assessment. Also, the theoretical model suggests robust direct associations among processing/non-processing domains and passenger satisfaction, as well as the processing domain and passenger affective image, except non-processing domain and passenger affective image relation. Moreover, significant mediating and moderating effects of passenger affective image and travel purpose on the significant positive direct associations are found. Further, implications for theory and practice are discussed.     

What shapes local public transportation in Europe? Economics,mobility, institutions,and geography

This paper analyzes factors explaining supply and demand of local public transportation. Together with variables related to traditional economic factors and mobility, we consider variables reflecting institutional characteristics and geographical patterns. Being a political capital increases supply and demand of local public transportation, inequality is associated with higher supply, and contracting out reduces supply. Furthermore, our regional analysis allows us capturing the effect of geographical characteristics and different traditions of government intervention. In all, we provide first evidence on the role played by institutional and regional characteristics useful to achieve a better understanding of local public transportation supply and demand.     

Hostility or hospitality? A review on violence,bullying and sexual harassment in the tourism and hospitality industry

The present work reviews the current knowledge about violence, bullying and sexual harassment in the tourism and hospitality industry. It indicates the high prevalence of these aggressive behaviours, and identifies structural reasons, insufficient managerial skills and/or common beliefs as their causes. The negative impacts of bullying, violence and sexual harassment on employees include intentions to leave and psychological upset. These personal negative feelings and attitudes contribute to negative organizational performance indicators, such as high staff turnover rate and low profitability. In addition, the high prevalence of violence creates a negative image for the tourism and hospitality industry in general. The review shows that intervention plans are scattered in aims and time frames, focus mainly on managerial policies, and almost completely overlook immediate actions as well as guest violence. Given its importance, the low number of appropriate intervention tools, policies and agendas clearly suggests the urgent need for more research. The final section of the work provides an overview of three core themes that can potentially contribute to the development of an effective intervention agenda, namely, corporate social responsibility, social media and comparisons to other sectors.     

The first rapid tram line in Poland: How has it affected travel behaviours,housing choices and satisfaction,and apartment prices?

The opening of the Poznań Rapid Tram (pol. Poznański Szybki Tramwaj, PST) in the year 1997 symbolically marked the beginning of a new era in the development of urban transportation systems in Poland. In this paper we would like to address the following question: more than one decade after the opening of the PST, what are its effects in terms of travel behaviours, housing choices and satisfaction, and apartment prices? In order to answer this question, we combined data on travel behaviours and housing choices from a survey based on a sample of nearly 300 households with data on housing prices from over 1400 real estate transaction records from the period between 2010 and 2013. Our results show that the proximity to PST affects travel behaviours, as respondents living close to PST stops confirmed that they use this form of transportation more often. There also seems to be some effect on housing choices; in locations close to PST stops we found many households living in rental housing, particularly university students. Also, about 20% of interviewees declared that they would pay more for apartments located closer to the rapid tram. However, that effect was only partly confirmed through the analysis of transaction prices. Using standard and spatial econometric regressions including variables like apartment size, floor number, amenities, and type of building we found a weak correlation between the proximity to PST and apartment prices. In conclusion, we argue that treating property price effects as the main justification for public transportation projects might be a doubtful choice, because in some cases the principal impacts of such projects might be visible in terms of residents' satisfaction and travel behaviours.     

Where to park? A behavioural comparison of bus Park and Ride and city centre car park usage in Bath,UK

Integrating car parking facilities with public transport in Park and Ride (P&R) facilities has the potential to shorten car trips, contributing to more sustainable mobility. There is an ongoing debate about the actual effects of P&R on the transport system at the subregional level. A key issue is the relative attractiveness of city centre car parks (CCCP), P&R and public transport. The paper presents the findings of a comparative empirical case-study based on a field survey of CCCP and P&R users conducted in the city of Bath, UK. Spatial and statistical analyses are applied. Radial distance to parking, availability of P&R sites in the direction of travel, gender, age, income and party-size are found to be important factors in a binary logistic regression model, explaining the revealed-preference of parking type. Stated analysis of foregone parking alternatives suggests more use of public transport and walking/cycling would likely occur without first-best parking alternatives. The policy implications and possible planning alternatives to P&R at the urban fringes for achieving greater sustainability goals are also discussed.     

Automobile use,fuel economy and CO2 emissions in industrialized countries: Encouraging trends through 2008?

Car use and fuel economy are factors that determine oil demand and carbon dioxide (CO₂) emissions. Recent data on automobile utilization and fuel economy reveal surprising trends that point to changes in oil demand and CO₂ emissions. New vehicle and on-road fleet fuel economy have risen in Europe and Japan since the mid 1990s, and in the US since 2003. Combined with a plateau in per capita vehicle use in all countries analyzed, these trends indicate that per capita fuel use and resultant tail-pipe CO₂ emissions have stagnated or even declined.Fuel economy technology, while important, is not the only factor that explains changes in tested and on-road fuel economy, vehicle efficiency and transport emissions across countries. Vehicle size and performance choices by car producers and buyers, and driving distances have also played significant roles in total fuel consumption, and explain most of the differences among countries. Technology applied to new vehicles managed to drive down the fuel use per unit of horsepower or weight by 50%, yet most of the potential fuel savings were negated by overall increased power and weight, particularly in the US. Similarly, the promise of savings from dieselization of the fleet has revealed itself as a minor element of the overall improvement in new vehicle or on-road fuel economy. And the fact that diesels are driven so much more than gasoline cars, a difference that has increased since 1990, argues that those savings are minimal. This latter point is a reminder that car use, not just efficiency or fuel choice, is an important determinant of total fuel use and CO₂ emissions.We speculate that if the upward spiral of car weight and power slows or even reverses (as has been observed in Europe and Japan) and the now mandatory standards in many countries have the intended effect that fuel use will remain flat or only grow weakly for some time. If real fuel prices of 2008, which rivaled their peaks of the early 1980s, fell back somewhat but still remain well above their early 2000 values. If the prices remain high, this, combined with the strengthened fuel economy standards, may finally lead to new patterns of car ownership, use and fuel economy. However, if fuel prices continue their own stagnation or even decline after the peaks of 2008 and car use starts upward, fuel use will increase again, albeit more slowly.     

Delivery to homes or collection points? A sustainability analysis for urban,urbanised and rural areas in Belgium

E-commerce is a rapidly growing and evolving sector. The sector is however struggling with organising its last mile deliveries in order to meet the sustainability requirements, both economically and environmentally. Multiple studies have compared deliveries to collection points with deliveries to residential home addresses in sustainability terms. The variety in results indicates that these studies are bound to local parameters (such as regulations, drop densities, collection point networks). Consequently, their results cannot be generalised or transferred to other contexts. In this research, we compare deliveries to stores serving as collection points and homes for online ordered non-food products in Belgium. The solutions are simulated with agent-based transport model TRABAM. The results are evaluated based on their generated external costs and differentiated according to three area types: urban, urbanised and rural areas. Considering the case-specific density of the collection points, the results indicate that home deliveries are preferred in rural and urbanised areas when considering the sustainability impact solely. In urban areas, collection point deliveries are more sustainable.