LAUSR

This study analyzes air passenger route choice behavior for long-haul inter-continental travel. It employs the SP (state preference) technique and logit modeling to investigate the impact of route development via neighboring countries in the region. With the Japanese government pursuing an increase in international routes at Haneda International Airport, and the Chinese government planning to construct Beijing Capital Second International Airport by 2019, the competition among airports to serve as hubs in Northeast Asia will increase significantly. Korean passengers will have a greater number of route choices when traveling to North America or Europe, utilizing not only direct flights from Incheon International Airport but also flights via Tokyo or Beijing area airports including Haneda International Airport, Narita International Airport, Beijing Capital International Airport and Beijing Capital Second International Airport. Accordingly, passengers will choose among the alternatives by considering fares and flight times. As such, it is essential for airports to offer flights with competitive prices for transit passengers to become successful competitive airports in the region. Therefore, it will become more important for market decision makers to strive toward more attractive ticket prices and better route network quality.