Essay regarding Review of Related Literature

Review of Related Literature

REVIEW OF RELATED LITERATURE

Background and Literature Guide

The regulatory landscape in the air travel industry around the world has been changing dramatically because the 1980s in order to meet the growing density of air traffic as a result of the increasing the use of economies. Reforms were made through deregulation and liberalization, all geared towards reducing the restrictions on competition to be able to increase the performance of the industry.

This examine examined the regulatory and policy routines of the Filipino air transportation industry and their effects around the state of competition and market composition of the sector. Until 1995, the country had a one-airline plan. This offered the Filipino Airlines (PAL) the digital monopoly with the country's surroundings transport market. The monopoly, however , made so much inefficiency that the flight was not conscious to keep the service to specific standards. The landmark to get reform came in 1995 with all the passing of Executive Purchase 219 building the domestic and international civil aviators liberalization coverage of the country. For the domestic air transportation, restrictions on home routes and frequencies were eliminated and so were federal government controls on rates and charges. Pertaining to the international air transportation, the EO allows in least two international carriers to be chosen as recognized carriers pertaining to the country. To get the discussion of targeted traffic rights with all the country's bilateral partners, the main consideration can be national pursuits where it was once the interest in the flag carrier. In 1999, the us government also designed a policy upon progressive liberalization of the country's bilateral air flow services agreement. Nonetheless, there is really not much liberalization going under EO 219. Several areas continued to be restricted or regulated. These include ownership and effective control, capacity and frequency, airfares, freedom of rights granted and cabotage.

The Competition and Market Structure of the...