Airline transportation and competitive strategies have gained importance in line with the growth of the sector in parallel with the development of technology. The increase in the number of businesses has also led to the growth of competition in air transport services.
Against competition, airlines define strategies and work according to planning. A competitive strategy is for an airline to examine its competitors and determine and do what it will do to be ahead of its competitors. We can talk about three main strategies for firms:
When we say differentiation, it means that an airline is unique and unbeatable in the field of services it provides to its customers. They create these differences according to the requests and demands of the customers. If you are single in the sector, your prices will rise at the same rate.
The airline works to minimize expense costs while providing better quality service than its competitors in order to become a cost leader. Although the cost of expenses is small, the profit margin should also be high. A company that correctly applies the criteria of Air Transport and Competitive Strategies will soon be ahead of its competitors in everything.
In order to gain cost leadership, measures such as small airports can be used first, reducing turnaround numbers, providing internet-only services for ticket sales, not working with reservations, and imposing a certain limit on flights.
How many of these suggestions will be used depends entirely on the firm's own initiative. Creating a strategy without compromising quality is the first goal.
The airline can focus its operating principle on a single group or region. It can present its manufacturing or distribution scheme to a single region, or it can organize its working purposes in this direction, focusing only on one sector.
When focusing on a single sector, there is an opportunity to rise to a leading position in that sector. As the focus is on a single region, professionalization and quality service are provided. A cost leadership strategy or differentiation strategy can also be applied at the same time when focusing.
For a sector, for example, for the transport sector, it is advantageous to focus and take a leading position in the sector.
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