Research Of Spring Airline’s Low Cost Operating Mode

Civil aviation industry occupies an important position in Chinese transportation system,and plays an important role in Chinese economic transformation and the high-quality development in the new era.In recent years,the domestic civil aviation transportation has grown rapidly,but the share of the low cost aviation market still remained at low level,the characteristics of airlines is high cost,high risk,low profit,During the major uncertainty events prone to huge losses or bankruptcy reorganization,the emergence of the low cost operating mode effectively improve the airline’s operating efficiency and risk prevention ability.The purpose of this thesis is to enhance the public’s understanding of low-cost aviation,highlight the strong profitability and market survival ability of low-cost aviation through the operation results,and provide theoretical reference for enriching the domestic air transportation market structure and promoting the development of low-cost aviation in China.This thesis uses the research method of literature study method,case analysis method,field research method and comparative analysis method to carry out the research,introduced the relevant concepts and theories of low cost aviation,Take Spring Airline,an airline that uses cost-lead strategy for example,Analyzed the operating strategy in market selection,cost control and income improvement.Using the Spring Airlines operation data,financial data,and COVID-19 epidemic performance compared with the domestic all-service airlines,It highlights the low-cost aviation’s strong cost control ability and profitability in the industry.In the meantime the thesis points out that the company still has problems in resource acquisition,safety management,brand building,revenue and expenditure control,and needs to improve resource acquisition capacity,strengthen safe operation management capacity;change brand building ideas;excavate cost reduction and efficiency measures,The thesis extracts the experience and inspiration brought by the company’s low cost operation strategy,and provides reference for the development of companies in the industry.