| Summary: | 碩士 === 中華科技大學 === 航空運輸研究所 === 104 === The Low Cost Carriers (simplified here as LCC), from around the world perspective, have successfully operated more than 40 years. In Asia Pacific area, the LCCs’ segmentation seemingly also rose to a prospective market share. In 2004, the Jet Star was the first low cost carrier to enter Taiwan air market to operate Taipei to Singapore route. Currently, there are more than 20 LCCs operate air transportation business in Taiwan. Their business strategies, the different markets and how this seemingly ubiquitous segment soon impact and challenge some of the Taiwanese-owned legacy air service providers. Therefore, the China Airlines (CI) and Tranasia Airways (GE) had invested subsidiary Low Cost Carriers consequently in order to compete with in Taiwan.
The prime purpose of this paper was to understand both the CI and GE’s motivation, management strategies, segmentation, route development, distribution channel, fleet plan, price strategies and so on employed in the subsidiary low cost carrier (LCC) business in Taiwan. According to the literature review, this paper adopted semi-conducted in-depth interview as data collection method. There were 2 senior managers form CI, and another 2 from GE selected as our interviewees. The collected data and suggestions according to the interview result are provided to understand the whole picture of Taiwanese-owned legacy carriers – CI and GE invest LCCs as well as to initiate some questions related to this business for further researches.
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