Abstract
Airports are important air transportation facilities, providing cargo transportation, aircraft takeoff and landing, and passenger services. Trade liberalization and globalization along with shifting economies and trading focuses have led to the rapid growth of airline and cargo transportation in Asia-Pacific regions. Therefore, Asian countries are constantly expanding and improving their airport facilities. Thus, improving and measuring airline service quality has attracted significant research attention in recent years. The Chinese Government has also actively promoted low-cost tourism, although competition in low-cost carrier markets was bound to be fierce. This not only promoted tourism industries but also attracted many foreign visitors to taking low-cost carriers to China for sightseeing. With international oil prices and regional economy issues, full-service carriers face considerable operational pressure on cost and competition. This study used the fuzzy delphi and decision making trial and evaluation laboratory methods to explore and analyze key factors for passengers choosing low-cost airlines. We considered passengers using U Airlines to travel from Shanghai to Taiwan (Taoyuan, Kaohsiung Far) and investigated service quality, low-price strategies, switching costs, and boarding willingness factors. We found that boarding willingness and service quality were strongly relevant to passenger satisfaction. Service quality should be prioritized, followed by switching cost, to enhance passenger boarding willingness. Low-cost regional airlines need to prioritize improving service quality empathy and service quality responsiveness with limited resources. Performance indicators such as willingness, service quality assurance, and service quality reliability showed significant benefits for overall service performance and passenger boarding willingness.
Highlights
The first global low-cost carrier (LCC), Southwest Airlines, was established in the United States in 1978 with unprecedented low-cost, low-fare strategies to operate in the local civil aviation market
This study investigated the key factors for passenger attitudes toward regional LCC routes
We considered previous literature regarding service quality, switching cost, and boarding willingness to define 3 major dimensions, 7 measurement indicators, and 29 evaluation factors
Summary
The first global low-cost carrier (LCC), Southwest Airlines, was established in the United States in 1978 with unprecedented low-cost, low-fare strategies to operate in the local civil aviation market. The innovation was widely favored by passengers and gradually expanded into a low-fare passenger airline market in the fiercely competitive civil aviation industry. Global passenger airline markets in Europe, Australia, and Southeast Asia subsequently started a new wave of low-cost carriers from 2000. Southeast Asia currently has the most active low-cost carriers in Asia. Due to the price pressure from these LCCs, all additional costs other than transportation were reduced and directly reflected in low fares. The new LCC market gradually crossed traditional regional markets, expanding northward to include China, Japan, and South Korea
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