A comparison of flight routes in a dual-airport region using overlapping error components and a cross-nested structure in GEV models

Abstract

This study investigates flying-route choice behavior with cross-grouping relationships. When there are different combinations of origin and destination airports for a city pair, it is important to identify the cross relations among the various flying routes. Here, this study does so using the allocation parameter of the cross-nested logit model and the overlapping error components of the error components logit model. A survey based on the stated preference method was designed to collect travelers’ preferences in order to examine the distribution of choices for Taiwan–Shanghai direct flights. The empirical results reveal that airfare and access time are significant variables, and could be used as operating strategies to increase the market share of flying routes. The flying route between the two international airports existed simultaneously within two groups, namely the leading group and the PVG group. Furthermore, comparing the models based on the criteria of interpretation, reproduction, and generalization indicated that the error components logit model can be effective in dealing with cross correlations among alternatives.