Management Emphasis and Performance in the Airline Industry: An Exploratory Multilevel Analysis
Transportation Research Part E: Logistics and Transportation Review, Vol. 40, No. 6, 2004
Posted: 23 Nov 2010 Last revised: 20 Feb 2013
Date Written: November 1, 2004
Carrying through decisions in organisations is inherently micro-level, while the aggregated performance implication of decisions is a macro-level phenomena. This paper determines through exploratory factor analysis, factors associated with airline performance using a two-level bottom-up hierarchical approach. The determinant factors are used to test, through regression analysis, the relationship across lower and higher level factors and between the higher level factors and performance (distress versus non-distress). The results showed that airlines having higher relative score on productivity and brand image were less likely to be under financial distress, while airlines having higher relative emphasis on market power were more likely to be under financial distress.
Keywords: Multilevel analysis, Business performance, Business distress, Airlines, Business success, Airline strategy, Airline performance
JEL Classification: M00
Suggested Citation: Suggested Citation