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dc.contributor.authorde Oliveira, RP
dc.contributor.authorOliveira, AVM
dc.date.accessioned2021-03-19T02:37:27Z
dc.date.available2021-03-19T02:37:27Z
dc.date.issued2021
dc.identifier.issn0969-6997
dc.identifier.doi10.1016/j.jairtraman.2021.102044
dc.identifier.urihttp://hdl.handle.net/10072/403235
dc.description.abstractThis paper develops an event study to investigate the airfare effects of the bankruptcy of a financially distressed full-service carrier (FSC) and its subsequent acquisition by a low-cost carrier (LCC) in Brazil. We account for the distressed carrier's survival network design strategies (SNDS) pursued during its reorganization—a suspected source of sample selection bias. Additionally, as rivals' pricing could be aimed at driving the distressed/bankrupt carrier out of the market, we treat the carrier's distress as endogenously determined with it. Our results do not uncover any survival pricing behavior stemming from SNDS, but reveal fiercer price competition from rivals in periods preceding both the distressed carrier's bankruptcy filing and acquisition. We also find evidence of enduring price competitiveness in the long run of the acquisition event, shedding light on the potential facilitating role played by bankruptcy protection regulations in keeping and sustaining market contestability after the bankruptcy-filing period.
dc.description.peerreviewedYes
dc.languageen
dc.publisherElsevier BV
dc.relation.ispartofpagefrom102044
dc.relation.ispartofjournalJournal of Air Transport Management
dc.relation.ispartofvolume92
dc.subject.fieldofresearchUrban and Regional Planning
dc.subject.fieldofresearchTransportation and Freight Services
dc.subject.fieldofresearchcode1205
dc.subject.fieldofresearchcode1507
dc.titleFinancial distress, survival network design strategies, and airline pricing: An event study of a merger between a bankrupt FSC and an LCC in Brazil
dc.typeJournal article
dc.type.descriptionC1 - Articles
dcterms.bibliographicCitationde Oliveira, RP; Oliveira, AVM, Financial distress, survival network design strategies, and airline pricing: An event study of a merger between a bankrupt FSC and an LCC in Brazil, Journal of Air Transport Management, 2021, 92, pp. 102044
dcterms.licensehttps://creativecommons.org/licenses/by-nc-nd/4.0/
dc.date.updated2021-03-18T00:20:14Z
dc.description.versionAccepted Manuscript (AM)
gro.rights.copyright© 2021 Elsevier. Licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International Licence (http://creativecommons.org/licenses/by-nc-nd/4.0/) which permits unrestricted, non-commercial use, distribution and reproduction in any medium, providing that the work is properly cited.
gro.hasfulltextFull Text
gro.griffith.authorde Oliveira, Renan P.


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