Business Studies

Business Studies

Archive
Join as an Editor/Reviewer

The Search For African Airline Network Models: Contrasting With US Airline Network Models

Volume: 165  ,  Issue: 1 , January    Published Date: 26 January 2025
Publisher Name: IJRP
Views: 104  ,  Download: 64 , Pages: 125 - 194    
DOI: 10.47119/IJRP1001651120257457

Authors

# Author Name
1 Capt Emmanuel Jinyunga Kalombe
2 Dr Janis Kabwe

Abstract

The recent African infrastructure developments such as construction of new airports, and improvements to existing airport infrastructure over the past decade suggest favourable prospects for the expansion of the continents airline business. Despite positive and consistent growth projections for the African economy, the continents airline flight network capacity falls short of their international counterparts. African airlines need to establish robust and resilient flight network models that incorporates enhanced partnerships and effective marketing strategies (Bofinger, 2017) essential for sustaining the airline business. The expansion of airline route networks is a critical aspect of the sector, vital for connectivity prospects of the African airline market . However, the existing networks do not offer a complete perspective on the viability of airline models within this region. The preceding analysis is further supported by numerous studies on the African airline markets, which present a concerning outlook on the overall effectiveness of established models for the African Airline Network. Nevertheless, the volume of air transport in Africa remains significantly lower than that of other global regions. Basing on data from the International Air Transport Association (IATA) and visible airlines data, the traffic density, as indicated by the seat capacity of African airlines, is a mere 2% (IATA, 2024) of the worlds total passenger capacity. As of December 18, 2024, Africas population was estimated to be about 1,531,226,940, accounting for approximately 18.3% of the global population. Africa is the second most populous region in the world, exhibiting a population density of 51 individuals per square kilometre. As of 1st July,2024, the U.S. Census Bureau estimated the population of the United States to be 340,110,988 (Routley, 2024). The United States accounts for 22% of the African population. The preceding data further reveal a notable disparity in flight networks between the United States and Africa. Among the 49 global airlines with networks exceeding 100 destinations, US airlines exhibit a capacity of 1,521 destinations, accounting for 15.27% of the world average for airlines that share comparable coverage. Despite the foregoing, in Africa,  most of these airline networks are strategically structured around areas with high to moderate population density within the African region (Figure 6),though sub–Saharan Africa has a good share on the existing flight networks. An illustrative representation of flightradar24 (Figure 5) depicting the current positions of aircraft in flight globally reveals the constrained aviation network and services within Africa. The existing airline networks appear to be methodically organized around areas in Africa that are both moderately populated and economically strong (Figure 8). The nascent analysis indicates that the air transport sector in Africa is rapidly developing (Bofinger, 2017) and consequently, an effective airline business model is essential for the sustainable operations of any African airline aiming to manage its flight network strategies. The data on seat capacity and traffic density for African airlines, as previously illustrated by IATA, reveals a significant disparity between air travel volumes in Africa and those in other global regions, as evidenced by the notably lower seat capacity (Figure 1).  Notwithstanding the above, the “concept” of a national flag carrier is deeply embedded within the political framework of African society, such that the aviation industry is recognized as an essential element of individual states national identity and pride, despite its expensive nature and technical demands. The airline industry is regarded as a social privilege that governments should regulate for the common advantage of the continent, notwithstanding the frequent failures of national airlines resulting from diverse business management variables. Some African national airlines have undergone restructuring through public-private partnerships, as demonstrated by the emergence of Air Senegal after the dissolution of Senegal Airways. In light of the preceding discussion, this study observed that a significant number of African governments continue to demonstrate a hesitance to: (a) completely transfer airlines to the private sector or go into Public Private Partnership (PPP) enterprise. (b) wholly depend on private airlines when a national carrier is economically unviable. The airline industry often showcases a high level of technical expertise, leading to several and prominent African governments to adopt protectionist air regulations and skewed bilateral or                                                                         multilateral agreements in a quest to protect an existing national airline. Nevertheless, this study strongly asserts that an airlines success is profoundly affected by effective and strategic management concepts that support its fleet and operational network. Despite the ongoing evolution of the global marketplace, research into the development of effective flight network models for African airlines holds significant potential for a promising future.  Considering the aforementioned, to more effectively investigate the distinct needs of the business models or route networks of African airlines, concepts and principles typically associated with North American and European contexts have been acknowledged or enhanced to create a platform for comparisons in order to investigate applicable flight network that aligns with the African airline landscape. The airlines approach to its network and fleet profoundly influences aircraft selection, route configuration, flight frequency, and overall fleet size. Ensuring the continuous profitability and sustainability of the airline is of paramount importance. The strategy regarding the network and fleet should align with the broader objectives, existing resources, and inherent strengths of the airline. The strategy ought to exhibit adaptability to respond to the continually evolving market dynamics. African Airlines have the potential to improve cost-effectiveness and profitability through the formulation of a network and fleet strategy that optimizes efficiency while maintaining reliable and secure service for clients. The preceding discussion delineates a concept that requires a common goal to be established between the airlines and the states, concentrating on the efficient execution of processes designed to cultivate sustainable flight network.

Keywords

  • African States
  • economic consideration
  • Point to Point
  • Hub and Spoke
  • US Network Models
  • African Airlines
  • KPIs
  • AFCAC
  • SAATM
  • Low Cost Carrier
  • Flight Networks
  • Marketing
  • Strategies
  • US Population
  • Airline Markets
  • African Population
  • Sustainability
  • Profitability
  • International Air transport Association (IATA)
  • Public Private Partnerships
  • National Airlines
  • Economy
  • sustainabilty
  • Flight Frequency