Deregulation and Globalisation: Process, Effects and Future Challenges to Air Transport Markets

Through a sequence of examinations, the research identifies that there is a difference in the liberalization process of different regions' air transport markets. This has impacted on the configuration of strategic airlines alliances. Deregulation and strategic alliances that have contributed to the air transport market globalisation to benefit air travellers' welfare, carriers and economic development of each country should be pursued simultaneously in reducing the current existing barriers to entry into the regulated air transport market. However, increased complexity in the international business environments stem from a number of sources that pose long term issues. This challenges both globalisation process and approaches. The future air transport market consolidation or fragmentation will therefore have implications for the airline operations, as well as, State of governance.