Two faces of airport business: A non-parametric analysis of the Italian airport industry

Two faces of airport business: A non-parametric analysis of the Italian airport industry

Journal: Air Transport Management

Author: Simone Gitto, Paolo Mancuso

Published: 2012

Abstract

In this paper, we use data envelopment analysis to evaluate the impact of regulatory reforms on the technical efficiency of 28 Italian airports between 2000 and 2006. The analysis utilizes two model specifications for airport activities: the first includes aeronautical activities, and the second both aeronautical and non-aeronautical activities. This allows evaluation of the impact of commercial activities on overall airport efficiency. The results show that different model specifications of airport activities can substantially affect policy conclusions; and that major sources of efficiency gains can be obtained from airside activities, private-capital inflows to airport management companies, types of concession agreements and the liberalization of handling services.

Keywords: Airport efficiency, Airport reforms, Non-parametric efficiency estimation, Italian airports

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