ABSTRACT
The aviation industry changed over the last two decades. Deregulation and liberalization of air transport markets and renegotiation of existing bilateral agreements caused the traditional flag carriers to face stronger competition and led to turbulent times in deregulated markets. After a phase of consolidation in the 1990s the industry is again confronted with major changes and new developments. These are not only caused by the spread of deregulation over the globe, but are accompanied by technological breakthroughs which are likely to change the international traffic patterns, powerful new competitors both among the network carriers and the low cost airlines, as well as new freedoms and requirements on the side of airports and cargo transportation. This chapter outlines these changes, reflects on their impact and subsequently puts the other chapters collected in this volume into context.
