Volume List  / Volume 7 (2)



DOI: 10.7708/ijtte.2017.7(2).01

7 / 2 / 144-163 Pages


Ružica Škurla Babić - University of Zagreb, Faculty of Transport and Traffic Sciences, Zagreb, Croatia -

Mirko Tatalović - University of Zagreb, Faculty of Transport and Traffic Sciences, Zagreb, Croatia -

Jasmin Bajić - Croatia Airlines, Zagreb, Croatia -


Increased competition within global airline industry initiates consolidation activities on entering into different modes of cooperative arrangements including, franchising, code share agreements, alliances, mergers and acquisitions. Selecting the optimal business model means implementation of sustainable competitive strategy as one of the key airline business challenges. Characteristics and trends in airline competition worldwide were analyzed by using correlation and regression metrics. European air transport competition analyzes include specific Southeast Europe topics. The liberalization of the Croatian air transport market has significantly affected the increase in demand in the international scheduled passenger traffic from the year 2004. Air transport in Croatia is growing much faster compare to the maritime and land transport sectors. A significant structural change in the aviation market due to the strong increase of low-cost carriers share in international scheduled traffic occurs. At the same time, the share of domestic scheduled and charter transportation is stagnating. Croatia Airlines in restructuring process provided in the period 2011 - 2015 recognized necessity to justify market position through optimal network strategy.

Download Article

Number of downloads: 1651


Abeyratne, R. 2016. Competition and Investment in Air Transport. Springer International, Switzerland. 239 p.


anna.aero. 2016. European Airport Traffic Trends, Available from internet: http://www.anna.aero/databases/. (22.12.2016.).


ATAG. 2016. Aviation Benefits Beyond Borders. Air Transport Action Group, Switzerland. 80 p.


Bajić, J.; Mišetić, I.; Tatalović, M. 2016. Southeast Europe Air Transport in the Light of Global Market Changes - Challenges For Croatia. In book (ed. Kandžija, V., Kumar, A.), Economic Integrations, Competition and Cooperation. CEMAFI International, Croatia: 249-273.


Bajić, J.; Tatalović, M.; Kučko, K. 2014. Analysis of Airline Competition in Croatia (in Croatian: Analiza zrakoplovne konkurencije u Hrvatskoj), Suvremeni promet 34(1-2): 178-186.


Baroux J.L. 2013. The Airlines: The Failure of an Industry. LID Publishing, USA. 224 p.


Bjelicic, B. 2013. Low Cost Carriers in Eastern Europe. In book (ed. Gross, S., Luck, M.) The Low Cost Carrier Worldwide, Ashgate, United Kingdom: 39-58.


Black, K. 2010. Business Statistics: For Contemporary Decision Making. Sixth Edition, Willey, USA. 864 p.


Capstats.com. 2015. Global Capacity Report, December 2015. Available from internet: http://capstats.com/Capacity Reports. aspx#2015. (10.1.2017.).


Clark, P. 2010. Stormy Skies – Airlines in Crises. Ashgate, UK. 178 p.


Croatian Bureau of Statistics. 2010. Tourism, 2009. Available from internet: http://www.dzs.hr/Hrv_Eng/publication /2010/SI-1408.pdf. (11.9.2011.).


Croatian Bureau of Statistics. 2014. Tourism, 2013. Available from internet: http://www.dzs.hr/Hrv_Eng/publication /2014/SI-1515.pdf. (11.2.2017.).


Croatian Bureau of Statistics. 2015. Statistical Yearbook of the Republic of Croatia 2015. Croatia.


Croatian Bureau of Statistics. 2016a. First release Number: 5.1.5/11. Available from internet: http://www.dzs.hr/. (10.1.2017.).


Croatian Bureau of Statistics. 2016b. Statistical Yearbook of the Republic of Croatia 2016. Croatia.


Croatian Bureau of Statistics. 2016c. Tourism, 2015. Available from internet: http://www.dzs.hr/Hrv_Eng/publication /2016, /SI-1564.pdf/. (11.2.2017.).


Dizikes, P.; Valenti, C. 2001. Airline Bailout: How Big, How Crucial? Available from internet: http://abcnews.go.com /Business /story?id=87677&page=1. (10.5.2016.).


Doganis, R. 2010. Flying off Course - Airline economics and marketing. Fourth edition, Routledge, United Kingdom. 352 p.


Gittell, J.H. et al. 2016. Labor Relations and Human Resource Management in the Airline Industry. In book (ed. Belobaba, P. P. et al.) The Global Airline Industry, Wiley, USA: 287-325.


Heshmati, A.; Kim, J. 2016. Efficiency and Competitiveness of International Airlines. Springer, Singapore. 192 p.


Henke, M. 2016. Airline e-Commerce Log on. Take off. Routledge, United Kingdom. 610 p.


HGK. 2016. Economic Trends (in Croatian: Gospodarska kretanja) 11/12 2016. Hrvatska gospodarska komora (Croatian Chamber of Economy), Croatia.


Hill, C.V.L.; Jones, G.R.; Schilling, M.A. 2015. Strategic Management Theory. 11th Edition, Cengage Learning, USA. 528 p.


IATA. 2014. Financial Forecast Archives, Available from internet: http://www.iata.org/publications/economics/Pages/ ffarchives.aspx. (10.1.2017.).


IATA. 2016. Industry Economic Performance, Available from internet: http://www.iata.org/publications/economics /Pages /industry-performance.aspx. (10.1.2017.).


ICAO. 2013. Global Air Transport Outlook to 2030 and trends to 2040. International Civil Aviation Organization, Canada. 156 p.


IdeaWorksCompany. 2016a. 2015 Top 10 Ancillary Revenue Rankings, Available from internet: http://www.idea workscompany.com/wp-content/uploads/2016/07/2015-Top-10-Airline-Ancillary-Revenue-Rankings-Final.pdf. (17.1.2017.).


IdeaWorksCompany. 2016b. Press-Release-115-Global-Estimate, Available from internet: http://www.ideaworks company.com/wp-content/uploads/2016/11/Press-Release-115-Global-Estimate.pdf. (17.1.2017.).


Janjic, M. 2007. The Sustainability of Air Transportation: A Quantitative Analysis and Assessment. Ashgate, United Kingdom. 376.p.


Mayer-Shonberger, V.; Cukier, K. 2014. Big Data: A Revolution That Will Transform How We Live, Work, and Think. Houghton Mifflin Harcourt, USA. 272 p.


McGrath, R.G. 2013. The End of Competitive Advantage: How to Keep Your Strategy Moving as Fast as Your Business. Harvard Business Review Press, USA. 240 p.


Mišetić, I.; Tatalović, M.; Malović-Beganović, I. 2007. Competition on Croatian Air Traffic Market (in Croatian: Konkurencija na hrvatskom zrakoplovnom tržištu), Suvremeni promet 27(6): 601-609.


Palling, C.; Hooper, P.; Thomas, C. 2014. The Sustainability in Air Transport. In book (ed. Goetz, A.R., Budd, L.) Geographies of Air Transport. Ashgate, United Kingdom: 125-140.


Pearce, B. 2013. Profitability and the Air Transport Value Chain. International Air Transport Association, Switzerland. 52 p.


Pilarski, A. 2007. Why Can't We Make Money in Aviation? Ashgate, United Kingdom. 260 p. Porter, M. E. 2007. Competitive Advantage (in Croatian: Konkurentska prednost). Masmedija, Croatia. 489 p.


Shaw, S. 2011. Airline Marketing and Management. Seventh Edition. Ashgate, United Kingdom. 378 p.


Steiner, S.; Tatalović, M.; Bajić, J. 2010. Competition and Cooperation on European Southeast Air Transport Market. In book (ed. Kandžija, V., Kumar, A.) Economic integrations, competition and cooperation. University of Rijeka, Faculty of Economics, Croatia: 534-552.


Sull, D.N. 2005. Why Good Companies Go Bad and how Great Managers Remake Them. Harvard Business Press, USA. 288 p.


Taneja, N.K. 2016a. Designing Future-Oriented Airline Businesses. Routledge, United Kingdom. 308 p.


Taneja, N.K. 2016b. Extending the Boundary of the Airline Business Airline Leader 36: 8-11.


Taneja, N.K. 2017. Airline Industry: Poised for Disruptive Innovation? Routledge, United Kingdom. 322 p.


Tatalović, M.; Bajić, J.; Šimunović, S. 2014. Fitting the Fleet and the Service to the SEE Market Demand - Future of Small European Airlines. In book (ed. Kandžija, V., Kumar, A.) Economic integrations, competition and cooperation. University of Rijeka, Faculty of Economics, Croatia: 296-309.


Tatalović, M.; Bajić, J.; Šimunović, S. 2012a. Air Transport Development in Croatia: Strategy without Strategy (in Croatian: Razvoj zračnog prometa u Hrvatskoj: Strategija bez strategije), Suvremeni promet 31(1-2): 11-21.


Tatalović, M.; Mišetić, I.; Bajić, J. 2012b. Airline Management (in Croatian: Menadžment zrakoplovne kompanije). Mate d.o.o. Croatia. 891 p.


Truxsal, S. 2013. Competition and Regulation in the Airline Industry: Puppets in Chaos. Routledge, United Kingdom. 208 p.


UNWTO. 2016. Tourism Highlights. 2016 Edition. The World Tourism Organization, Spain.


WEF. 2013. The Travel & Tourism Competitiveness Report 2013: Reducing Barriers to Economic Growth and Job Creation. World Economic Forum, Switzerland. 485 p.


WEF. 2015. The Travel & Tourism Competitiveness Report 2015: Growth through Shocks. World Economic Forum, Switzerland. 509 p.


WEF. 2016. The Global Competitiveness Report 2016–2017. World Economic Forum, Switzerland. 383 p.


Whish, R.; Bailey, D. 2012. Competition Law. Seventh Edition. Oxford University Press, USA. 1015 p.


Whyte, R.; Lohmann, G. 2017. Airline Business Model. In book (ed. Budd, L., Ison, S.) Air Transport Management An International Perspective. Routlage, United Kingdom: 107-121.


www.tuzla-airport.ba, 2017. Statistics for passenger traffic (passengers). Available from internet: http://www.tuzla-airport.ba/en/statistika/. (28.2.2017.).