Abstract
Small Pacific island states face considerable challenges due to their small size and population, geographical isolation, lack of natural resources and limited domestic demand. These factors make it difficult to develop a viable aviation service, an essential element of a successful tourism economy. This paper considers the options available to regional aviation operators including partnerships with other regional airlines, own national airlines, deregulation of air transportation and the introduction of Low Cost Carriers (LCC). This paper proposes that the introduction of LCCs is a viable option and uses data from existing academic sources and consultancy work carried out by the authors. However, the paper also notes some of the negative impacts that have been found to accompany the LCC model.
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