RESEARCH OF THE ACTIVITIES OF LOW-COST AIRLINES IN THE AIR TRANSPORTATION MARKET OF UKRAINE

Abstract

The main concepts of new structure of aircraft business have been studied in this article. The key factors of airlines success, which implement business model ‘lowcost’, have been analyzed. The part of airline market that uses low-budget business model have been researched, despite the global crisis and a fragmentary phenomenons that should negatively reflect to the development of the market, still continues to increase, at a time when network, charter and regional parts reduce. The comparative characteristic of traditional and low-budget airlines have been conducted and the main differences of the actual indicators of activity have been specified. There have been emphasized that even though there are a number of advantages in comparison with the traditional air companies, and low-budget airlines determine the pace of world industry, but for the full business doing there is a need to solve a number of problematic issues, which have been characterized and detected during research, as well as to develop the concrete strategy in the industry and use its potential for cooperation with local authorities. The main role of a budget company that enters the Ukrainian market, if we talk about the positive effect of the activities of low-cost carriers, is the development of regions: flights to secondary airports, development of routes that never existed, creation of new jobs, development of tourism, and the other.