RESEARCH METHODSEMBA 510

Low Cost Carriers (LLCs) in Turkey

Serdar Celebi

12/10/2016

Purpose

• The purpose of this study is to determine Low Cost Carriers’(LCCs) flying to new airports in Turkey. Turkey is a country of 80 million and LLCs started operating not too long ago. Thanks to the rapid economic developments and supportive policies in last 12 years, Turkish airspace is more open to other carriers other than the flag carrier Turkish Airlines. In this study, I would like to focus on LLCs’ motivation on flying to new destinations.

Turkish Domestic Market Share 2014

Method

Variable Operational definition Data source

CityPopulations

Destination city’s latest population

Wikipedia

Air Travel Passenger numbers

Monthly passenger number who fly to an airport

www.shgm.gov

LCCs market share

Percentage of an LCCs’ market share

www.dhmi.gov

Research Question

• Q1: What is the level of relationship between the

city population and air passenger numbers?

Analyses• Q1: What is the level of relationship between the city

population where the airport is located and potential

passengers for LCCs to fly there?

Population Airport Passengers

Mean 1,491,550 Mean 13,814,206

Standard Error 378649.2084 Standard Error 5690733.137

Median 788,996 Median 3,506,867

Mode #N/A Mode #N/A

Standard Deviation 2364663.548 Standard Deviation 35538617.05

Sample Variance 5.59163E+12 Sample Variance 1.26299E+15

Kurtosis 24.17600898 Kurtosis 27.25367822

Skewness 4.584350348 Skewness 4.962937399

Range 14,342,468 Range 212,799,631

Minimum 34,550 Minimum 79,878

Maximum 14,377,018 Maximum 212,879,509

Sum 58170451 Sum 538754020

Count 39 Count 39

Confidence Level(95.0%) 766535.2476 Confidence Level(95.0%)11520286.95

Analyses• Research Question 1

• Correlation 0.96

• There is a strong correlation between the city population

and the airport passengers

Conclusions• Mean>Median

• It is positive-skewed non symmetric distribution

Limitations

• Very limited data availability for Airlines like BoraJet, AtlasJet and SunExpress

• Most available data is only available the for the years of 2015 and 2016

References

• Nergiz, A. (2008). Türkiye’de sivil havacılığın gelişimi ve THY, Thesis for the MS Degree. İstanbul: Marmara University

• TOBB, Turkish Civil Aviation Assembly Sector Report. (2013), http://www.tobb.org.tr [retrieval date: 13 October 2014]

• Turkey City Populations at: https://tr.wikipedia.org/wiki/N%C3%BCfuslar%C4%B1na_g%C3%B6re_T%C3%BCrkiye'deki_%C5%9Fehirler

Thank you…