Do enhancements to loyalty programs affect demand? The impact of international frequent flyer partnerships on domestic airline demand
利用美国航空公司与国际航司常旅客计划合作范围的变化,评估增强常旅客计划对国内航线需求的经济影响,发现增强计划能增加主导机场出发航线的需求。
Frequent flyer programs (FFPs) may allow airlines to exercise market power on routes that depart from airports at which they are dominant. Prior research, however, has not disentangled the effects of FFPs from other advantages that dominant airlines may possess. I exploit variation in the extent and scope of U.S. airlines' FFP partnerships with international carriers to evaluate the economic impact of enhancements to FFPs. The results indicate that enhancements to an airline's FFP are associated with increases in its demand on specifically those routes that depart from airports at which it is dominant .