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Multiple-Criteria Approach of the Operational Performance Evaluation in the Airline Industry: Evidence from the Emerging Markets

Author

Listed:
  • Mahmut BAKIR

    (Graduate School of Social Sciences, Anadolu University, Eskisehir, Turkey.)

  • Şahap AKAN

    (Graduate School of Social Sciences, Anadolu University, Eskisehir, Turkey.)

  • Kasım KIRACI

    (Faculty of Aeronautics and Astronautics, Iskenderun Technical University, Hatay, Turkey.)

  • Darjan KARABASEVIC

    (Faculty of Applied Management, Economics and Finance, University Business Academy in NoviSad, Belgrade, Serbia.)

  • Dragisa STANUJKIC

    (Technical Faculty in Bor, University of Belgrade, Bor, Serbia.)

  • Gabrijela POPOVIC

    (Faculty of Applied Management, Economics and Finance, University Business Academy in Novi Sad, Belgrade, Serbia.)

Abstract

The main objective of this study is to develop a multiple-criteria decision-making (MCDM) model in order to evaluate the operational performance of airlines operating in emerging markets. In this respect, the manuscript proposes a hybrid multiple-criteria decision-making model based on the integration of the PIPRECIA (PIvot Pairwise RElative Criteria Importance Assessment) and MAIRCA (MultiAttributive Ideal-Real Comparative Analysis) methods. In the proposed model, the PIPRECIA method was used to determine the criteria weights and the MAIRCA method was used to rank alternatives. In order to demonstrate the applicability of the proposed model, a real-life case study was also conducted on the operational performance of 11 airlines in emerging markets. Furthermore, after the application, a sensitivity analysis was conducted in order to ensure the stability of the application and the robustness was confirmed. As a result of the study, the most important performance criterion is found to be operating costs.

Suggested Citation

  • Mahmut BAKIR & Şahap AKAN & Kasım KIRACI & Darjan KARABASEVIC & Dragisa STANUJKIC & Gabrijela POPOVIC, 2020. "Multiple-Criteria Approach of the Operational Performance Evaluation in the Airline Industry: Evidence from the Emerging Markets," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(2), pages 149-172, July.
    • Handle: RePEc:rjr:romjef:v::y:2020:i:2:p:149-172
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    References listed on IDEAS

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    2. Alptekin Ulutaş & Darjan Karabasevic & Gabrijela Popovic & Dragisa Stanujkic & Phong Thanh Nguyen & Çağatay Karaköy, 2020. "Development of a Novel Integrated CCSD-ITARA-MARCOS Decision-Making Approach for Stackers Selection in a Logistics System," Mathematics, MDPI, vol. 8(10), pages 1-15, October.
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    4. Dragisa STANUJKIC & Darjan KARABASEVIC & Gabrijela POPOVIC & Cipriana SAVA, 2021. "Simplified Pivot Pairwise Relative Criteria Importance Assessment (Piprecia-S) Method," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(4), pages 141-154, December.

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    More about this item

    Keywords

    airline performance; emerging markets; PIPRECIA method; MAIRCA method; MCDM;
    All these keywords.

    JEL classification:

    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • L93 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Air Transportation

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