A comparative evaluation of the government's role in national airlines

Abstract

This paper contrasts the role of the government owners of the British and Singaporean national airline companies. Although both companies were outstanding performers, it is contended here that the Singapore state-owned enterprise was operating out of a more favourable political economic environment. British Airways resembled the classic case depicted in the literature — inhibited by government interference, politicisation, confusion of long-term plans, etc. Singapore Airlines' history manifests these classic afflictions much less, and the government's proactive role even seemed to provide a competitive advantage.