Abstract
This paper discusses the factors that affect network connectivity and competitiveness in the European Union and Latin America/Caribbean air transport market. The methodology is based on detailed real origin and destination data that allow the calculation of levels of market concentration and segmentation, airport connectivity and network efficiency. The bilateral markets analyzed compare unfavourably with other inter-continental markets, even though the economic growth of the countries involved would suggest otherwise. The market is dominated by a small number of airports and airlines, and connectivity in several Latin American and Caribbean states is over-dependent on tourism. Geographic factors can partially explain the situation identified, while the impact of policy, especially as regards the fragmented moves towards liberalisation, is also discussed.
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