Strategic response from Singapore Airlines to the rapid expansion of global, full-service hub carriers in the Middle East

Publication Type

Book Chapter

Publication Date

1-2019

Abstract

The rise of Emirates, Etihad, and Qatar Airways in the Middle East (collectively referred to as "ME3") has been absolutely dramatic. How should other full-service carriers respond? This study takes a look at how one carrier, Singapore Airlines, has responded and may offer clues to how others may choose to respond. Facing ME3's ascent in service quality and rapid capacity expansion, Singapore Airlines stuck to its niche as a premium carrier and refrained from tit-for-tat type competition. It managed to command a fare premium in select markets even in the presence of ME3, but had to sacrifice growth in its passenger count. This offers valuable lessons for other full-service carriers.

Keywords

Full-service incumbents, Intercontinental hub, Airline strategy, Strategic response, Hub carriers, Rapid expansion

Discipline

Asian Studies | Strategic Management Policy | Transportation

Research Areas

Strategy and Organisation

Publication

Airline Economics in Asia

Volume

7

Editor

Fu Xiaowen, and James Peoples

First Page

33

Last Page

60

ISBN

9781787545663

Identifier

10.1108/S2212-160920180000007004

Publisher

Emerald Publishing

City or Country

Bingley

Additional URL

https://doi.org/10.1108/S2212-160920180000007004

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