Impacts of liberalisation in global mature markets
This chapter examines aviation markets in developed economies, including the US European Union EU Canada and Australasia that have gone through the deregulation process. The chapter traces the factors that led to deregulation and how deregulation in air transport may or may not be tied to other trade initiatives. It looks at the evolution of the industry, the growth of airline alliances, the introduction of joint ventures (JVs) and the recent development of metal neutral JVs. International liberalisation was a more gradual affair, with the US again leading the way by establishing liberal, near open skies, agreements with smaller European countries. The deregulation and international liberalisation in other developed economies generally followed that of the US, but at a slower pace, and not with nearly the degree of openness.