Highlights Non-Japanese LCCs have provided scheduled services to Japan since 2007. Japan’s aviation industry entered a period of LCC operations in 2012. Scheduled services provided by LCCs do not replace charters on domestic leisure routes. The role of charters in international tourism has been affected by LCC operations. An integration of charters and LCC operations is a new issue in leisure markets.

    Abstract Recent aviation deregulation is producing structural changes within leisure industries in many parts of the world. This paper reviews the development of low cost carriers (LCCs) and assesses its effects on both of domestic and international charter markets in Japan since 2007. Furthermore, this paper analyzes the effect of scheduled services deregulation on international tourism to Japanese regional areas in relation to charter services. The results suggest that in the domestic market, LCC operations have seldom impacted charter traffic due to the differences in target markets and routes. In the international market, LCCs launched scheduled services to Japan but mainly on high demand routes. The deregulation of scheduled services led to a passenger shift from charters to newly scheduled flights and a concentration of tourist arrivals in regional centres. It also led to a decline in international tourist arrivals in some remote destinations. This paper indicates a current trend in which charter business is still an important sector in aviation and leisure markets.


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    Title :

    The effect of LCCs operations and scheduled services deregulation on air charter business in Japan


    Contributors:

    Published in:

    Publication date :

    2014-01-01


    Size :

    8 pages




    Type of media :

    Article (Journal)


    Type of material :

    Electronic Resource


    Language :

    English