Today’s airline industry exists in an intensely competitive market. As per data available from the information centre of The World Bank, during 2012 approximately 2.8 billion people traveled using air transportation. The global airlines industry is expected to reach an estimated $832.8 billion in 2020 with a CAGR of 3.7% over the next seven years (2013-2020). The global airline industry comprises air transport service providers of passenger and cargo. Industry services are used by individuals and business for international, domestic, and regional travel purposes across the world. (JCR-VIS Credit Rating Company Limited 2013) Air transport has always been considered as a very special sector in the international context. It facilitates global economic and social growth, international and domestic tourism, world trade growth (Hardy, F. W. 2009). The domestic air transportation network in Bangladesh is comprised of 8 conventional (full-size) airports, 8 airports for STOL (Short-Take-Off and Landing) aircraft including two airports under construction. The 8 conventional airports, which are used for commercial purpose, handle widely varying traffic volumes. The largest airport is Zia International airport near Dhaka and the smallest one is Cox’s Bazar airport. The most important corridors, as measured by air passenger volumes, are those between Dhaka, at one end, and Chittagong, Jessore, Sylhet at the other end. (M.J.B. Alam, and M.M. Hoque). In Bangladesh, there are few domestic airlines which are operating flights both nationally and internationally. The demands of these airlines were low before due to high price. But now the price is getting down due to high supply, low operating cost, customer service, safety and time. Some private companies are dominating the market currently than Biman Bangladesh Airlines.
source:Journal of Management Research and Analysis, January - March, 2018;5(1):61 - 68