Dimensions of predatory pricing in air travel markets

Dimensions of predatory pricing in air travel markets

Journal: Air Transport Management

Author: William G. Morrison

Published: 2004

Abstract

This paper highlights how particular characteristics of air travel markets impact key dimensions of predatory pricing investigations. The paper suggests that product complementarity, product differentiation and the existence of internally flexible capacity create particular challenges in defining and measuring the extent of predation in air travel markets. These ‘dimensions of predation’ are applied to recent predatory pricing allegations in Germany.

Keywords: Predatory behaviour; Product differentiation; German airlines

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