* Economic rationale for Code-sharing
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Join Date: Apr 2002
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* Economic rationale for Code-sharing
I've heard that operational costs are all born by the operating airline which would make C-S only a revenue sharing plan which confuses me...does anyone have information about the economic rationale of Code-sharing.
any links/documents are welcome.
any links/documents are welcome.
Join Date: Oct 2003
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There is no book with "how to operate a code share"it is a deal that is made in as many variantes as there are code shares. You can get them as punisdhing or as profitable as you imagin for either party.
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From a recent post on passengers & SLF:
quote
Codesharing is a way to boost an airline's position on the reservations computer screen. Generally speaking, when a prospective passenger asks for a particular journey, travel options are listed in the following order:
Nonstop flights
Direct multi-sector flights
Online (=same-airline) connections
Interline (=different airline) connections
Codesharing effectively changes an interline connection into an online connection, moving it up the screen where it's more likely to be proposed by the agent.
unquote
So codesharing is essentially aimed at attracting traffic from a competing network, the revenue for which will be shared pro rata between the two partners as if it were an interline connection.
quote
Codesharing is a way to boost an airline's position on the reservations computer screen. Generally speaking, when a prospective passenger asks for a particular journey, travel options are listed in the following order:
Nonstop flights
Direct multi-sector flights
Online (=same-airline) connections
Interline (=different airline) connections
Codesharing effectively changes an interline connection into an online connection, moving it up the screen where it's more likely to be proposed by the agent.
unquote
So codesharing is essentially aimed at attracting traffic from a competing network, the revenue for which will be shared pro rata between the two partners as if it were an interline connection.
Join Date: Oct 2003
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So codesharing is essentially aimed at attracting traffic from a competing network, the revenue for which will be shared pro rata between the two partners as if it were an interline connection.