{"title":"进入和市场动态:低成本航空公司在中国的影响","authors":"Long Shi , Qihong Liu , Dongliang Pang","doi":"10.1016/j.tra.2025.104675","DOIUrl":null,"url":null,"abstract":"<div><div>This paper examines the impact of low-cost carriers (LCCs) on the pricing strategies of full-service carriers (FSCs) in the Chinese airline market. We first analyze the effect of LCC presence and find that LCCs exert significant downward pressure on FSC fares, with the magnitude of this impact varying across carriers and routes. Next, we explore the dynamic responses of incumbent FSCs to the entry and the threat of entry by LCCs. Our findings reveal that FSCs begin lowering fares well in advance of LCC entry, with fare reductions of approximately 11 %–18 % occurring as early as the 8th quarter before entry. The fare reductions intensify as the entry date approaches and persist beyond it. On the other hand, FSCs do not seem to respond to LCC entry threats. Our analysis highlights the importance of considering the dynamic pricing responses of FSCs rather than relying solely on LCC presence which is commonly used in the literature studying Chinese LCCs.</div></div>","PeriodicalId":49421,"journal":{"name":"Transportation Research Part A-Policy and Practice","volume":"201 ","pages":"Article 104675"},"PeriodicalIF":6.8000,"publicationDate":"2025-09-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":"{\"title\":\"Entry and market dynamics: The impact of low-cost carriers in China\",\"authors\":\"Long Shi , Qihong Liu , Dongliang Pang\",\"doi\":\"10.1016/j.tra.2025.104675\",\"DOIUrl\":null,\"url\":null,\"abstract\":\"<div><div>This paper examines the impact of low-cost carriers (LCCs) on the pricing strategies of full-service carriers (FSCs) in the Chinese airline market. We first analyze the effect of LCC presence and find that LCCs exert significant downward pressure on FSC fares, with the magnitude of this impact varying across carriers and routes. Next, we explore the dynamic responses of incumbent FSCs to the entry and the threat of entry by LCCs. Our findings reveal that FSCs begin lowering fares well in advance of LCC entry, with fare reductions of approximately 11 %–18 % occurring as early as the 8th quarter before entry. The fare reductions intensify as the entry date approaches and persist beyond it. On the other hand, FSCs do not seem to respond to LCC entry threats. Our analysis highlights the importance of considering the dynamic pricing responses of FSCs rather than relying solely on LCC presence which is commonly used in the literature studying Chinese LCCs.</div></div>\",\"PeriodicalId\":49421,\"journal\":{\"name\":\"Transportation Research Part A-Policy and Practice\",\"volume\":\"201 \",\"pages\":\"Article 104675\"},\"PeriodicalIF\":6.8000,\"publicationDate\":\"2025-09-17\",\"publicationTypes\":\"Journal Article\",\"fieldsOfStudy\":null,\"isOpenAccess\":false,\"openAccessPdf\":\"\",\"citationCount\":\"0\",\"resultStr\":null,\"platform\":\"Semanticscholar\",\"paperid\":null,\"PeriodicalName\":\"Transportation Research Part A-Policy and Practice\",\"FirstCategoryId\":\"5\",\"ListUrlMain\":\"https://www.sciencedirect.com/science/article/pii/S0965856425003039\",\"RegionNum\":1,\"RegionCategory\":\"工程技术\",\"ArticlePicture\":[],\"TitleCN\":null,\"AbstractTextCN\":null,\"PMCID\":null,\"EPubDate\":\"\",\"PubModel\":\"\",\"JCR\":\"Q1\",\"JCRName\":\"ECONOMICS\",\"Score\":null,\"Total\":0}","platform":"Semanticscholar","paperid":null,"PeriodicalName":"Transportation Research Part A-Policy and Practice","FirstCategoryId":"5","ListUrlMain":"https://www.sciencedirect.com/science/article/pii/S0965856425003039","RegionNum":1,"RegionCategory":"工程技术","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"Q1","JCRName":"ECONOMICS","Score":null,"Total":0}
Entry and market dynamics: The impact of low-cost carriers in China
This paper examines the impact of low-cost carriers (LCCs) on the pricing strategies of full-service carriers (FSCs) in the Chinese airline market. We first analyze the effect of LCC presence and find that LCCs exert significant downward pressure on FSC fares, with the magnitude of this impact varying across carriers and routes. Next, we explore the dynamic responses of incumbent FSCs to the entry and the threat of entry by LCCs. Our findings reveal that FSCs begin lowering fares well in advance of LCC entry, with fare reductions of approximately 11 %–18 % occurring as early as the 8th quarter before entry. The fare reductions intensify as the entry date approaches and persist beyond it. On the other hand, FSCs do not seem to respond to LCC entry threats. Our analysis highlights the importance of considering the dynamic pricing responses of FSCs rather than relying solely on LCC presence which is commonly used in the literature studying Chinese LCCs.
期刊介绍:
Transportation Research: Part A contains papers of general interest in all passenger and freight transportation modes: policy analysis, formulation and evaluation; planning; interaction with the political, socioeconomic and physical environment; design, management and evaluation of transportation systems. Topics are approached from any discipline or perspective: economics, engineering, sociology, psychology, etc. Case studies, survey and expository papers are included, as are articles which contribute to unification of the field, or to an understanding of the comparative aspects of different systems. Papers which assess the scope for technological innovation within a social or political framework are also published. The journal is international, and places equal emphasis on the problems of industrialized and non-industrialized regions.
Part A''s aims and scope are complementary to Transportation Research Part B: Methodological, Part C: Emerging Technologies and Part D: Transport and Environment. Part E: Logistics and Transportation Review. Part F: Traffic Psychology and Behaviour. The complete set forms the most cohesive and comprehensive reference of current research in transportation science.