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Munich Personal RePEc Archive

Analysis of the lowest airfares considering the different business models of airlines, the case of Budapest

Dudás, Gábor and Boros, Lajos and Pál, Viktor and Pernyész, Péter (2016): Analysis of the lowest airfares considering the different business models of airlines, the case of Budapest. Published in: Regional Statistics , Vol. 6, No. 1 (October 2016): pp. 119-138.

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Abstract

This study reports the findings of a research that compared the lowest airfares of full-service network carriers and low-cost airlines and mapped the cost distance between Budapest and European cities. The study investigated return air tickets for three time periods in 48 European cities for travellers who originated from Budapest. The study was based on quantitative research methods using automated internet data collection and a unique GIS-based mapping method to compare airfares and visualise the cost distance between European cities and Budapest. Our findings showed that low-cost airlines outperform full-service network carriers by offering lower-fare air tickets, while the cost distance maps showed that cities accessible by low-cost airlines are ‘closer’ to Budapest in general.

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