The Feasibility Of Developing Low-Cost Airline In China

Since the late of last century, the business model of low-cost airline represented by Southwest Airlines spread all over the world, influences and changes the framework and development of the world aviation industry. Along with the reform of Chinese civil aviation, the domestic air services were deregulated gradually. Some of low-cost airlines are coming into being. The first chapter of the paper describes the characteristic of low-cost airline model, and also discloses the radical reason for the success of this model. Based on the comparison between Chinese airlines and western airlines, the second chapter of the paper answers the question why Chinese airlines'operating cost is always higher than the western. In the third part of the paper, the study focuses on the items of low-cost airline model, analyzing the possibility of which being implemented in China, gets the conclusion that low-cost airline model is feasible to Chinese airlines for the reason that it is according to the development of Chinese civil aviation industry. In the final part of the paper, some suggestions to developing Chinese low-cost airline are addressed.