If You Convince Them,They Will Come: Airports and Competition in an Uncertain Global Air Travel Market

Abstract

Airports no longer have the luxury of operating as public utilities, secure from the competition or the demands of the global economy. Domestic deregulation of the airline industry, the inability of the federal government to achieve fully its open skies goals, the globalization and consolidation strategies of the nation's major carriers, and the globalization of the world economy in general, place airport managers and policy makers in a precarious position. This article examines the effect of these changes on the strategies and tactics of America's airports to succeed in what has become a fiercely competitive market for international air service. With the devolution of decision making authority to states and localities, airports find themselves pitted against one another in a battle for economic and political resources. Our examination suggests that airports hoping to succeed in securing or maintaining direct international access or gateway status must adopt aggressive and innovative strategies.

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