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“What You Should Know About Low-Cost Carriers”
Dowling College
Aliyah R. McDonald
Concepts of International Air Transport
AER – 3106N – 90010
Professor William Winter
9 December 2015
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It was in 1978 when a landmark moment took place in the airline in–
dustry. It was then that deregulation was introduced to the United States air-
line industry. Following the deregulation, many airlines set up operations
across the country while determining their own consumer pricing. When this
took place full service carriers started receiving competition from various
carriers; offering nearly the same service at a lower fare for the consumers.
Today in this modern day twenty-first century the development of our
global society that we live in cannot be imagined without the luxury of travel–
ing. Along with this need for travel comes competition within the industry
that provides us the luxury of easy reliable travel. In recent years various
low-cost airlines are becoming more popular among traveling via aircraft.
Many say and I would agree that the low-cost airline carriers are revolutioniz–
ing airline travel.
Low cost carriers took the airline industry by storm during the mid
1990’s. Low cost carriers also known as LCCs challenged full service carriers
mainly in the short haul market. Low cost carriers did not provide much ex-
tras such as in-=ight-entertainment or meals; but were loved for the ultra low
fares on short haul destination routes. In today’s vast airline industry low
cost carriers have a very large and strong presence in many markets across
the United States; making up an estimated one third share of the domestic
airline market.
It was after World War II when the United States federal government
was heavily regulating commercial air travel. Due to the regulation many
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only relied on a small amount of leading airliners; limiting competition to
within the individual states. This competition was predominant in larger
states such as California and Texas, because of the large population and geo–
graphical advantage making travel attractive. It was in 1949 when Kenny
Friedkin made his dream reality by leasing a war surplus DC-3 converting it
into a passenger aircraft. The DC-3’s first =ight took place departing San
Diego heading for Oakland with a stopover in Burbank; =ying as Paci9c
Southwest Airlines. Paci9c Southwest Airlines was the world’s first ever low
cost carrier airliner. Paci9c Southwest Airlines also known as PSA offered low
fare and friendly customer service on small routes with the state of Califor–
nia. Despite the sti8 competition Paci9c Southwest Airlines was successful
