Suitability of Low Cost Carrier Business models for the Nigerian Airline Market: A Comparative Analysis
Keywords:Low Cost Carrier business model, Southwest Airlines, Ryanair, Nigerian airline market
In this study, survey data was used to identify a suitable low cost business model for the Nigerian airline market using a comparative analysis. Distinct operating features of two (2) leading low cost carriers (Southwest Airlines and Ryanair) were used as the basis of the comparative analysis. Sample population of 97 was used in the study, which represented the passengers at the departure hall of Nnamdi Azikwe International Airport in Nigeria. Qualitative analysis was conducted using statistical charts and hypothetical test was carried out using chi-square statistical distribution at 5% confidence level. The results for the study reveals that the Nigerian airline market favours LCC business model. The study further reveals that Nigerian passengers prefer Southwest Airlinesâ€™ business model to that of Ryanair. Thus, Southwest Airlinesâ€™ business model is more suitable for the Nigerian Airline market when compared to Ryanairâ€™ business model.
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