[photopress:air_okayair.jpg,full,alignright]The low-cost carrier (LCC) concept was born in the US, the world’s single largest aviation market, thus it’s hardly surprising that the country remains home to the greatest number of LCCs.
China is now the second most-served LCC market worldwide. With 14 low-cost carriers like Home to Lucky Air and Deer Jet, United Eagle and Okay Airways serving mainland China, the country hosts just one fewer LCC than does the US.
There’s a similar category where China doesn’t even figure on the list – and where the dominance of the United States is totally without challenge. From ValuJet to Eastwind, from Song to Hooters Air, the US is home to the greatest number of defunct low-cost carriers anywhere on earth.
Globally, some 38 LCCs have gone bust since the business model was first introduced nearly six decades ago; 24 of those business failures took place in the US. None of them happened in China.
The rise of China’s LCC market, especially compared to the US, makes a lot of sense given macroeconomic conditions in both countries. China has a population of 1.3 billion and an economy that expanded by 11.4% last year alone.
Source: Gulf News