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Topic: Business
Number of pages / Number of words: 3 / 829
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This because according to a governmental accounting office study made many years ago, startup airlines' accident rate was higher than the major airlines' rate.

O Competition from established rival: the airline industry can be characterized as an imperfect oligopoly, in which a few carriers dominate in long distance flights, while several dozen small carriers compete for short-distance flights...


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The airline industry has become more concentrated over the last 10 years. Two main factors have contributed to this concentration: several mergers and bankruptcies. Several mergers have taken place during the last decade: as traffic growth has slowed and carriers have exhausted the means to boost profits through conventional cost-cutting measures, mergers provide opportunities for saving by consolidating administrative, distribution and maintenance operations...


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