Abstract: | The aim of this paper was to examine the developments in the Greek domestic air transport market which have most recently been affected by the liberalization process in the EU towards the single aviation market. Liberalization of the Greek domestic market was profound, ending 35 years of Olympic Airways complete monopoly on all air transport activities. Developments include new privately owned airlines, inter-regional routes, lower fares in real terms on routes with competition, innovation, improved services and wider consumer choice. Increased competition stimulated demand in the domestic market that reached record levels achieved in the mid-1980s. Market consolidation started in late 1999. |