Analysis of traditional Global Distribution Systems vs. New Distribution Capability
Journal Title: INCAS BULLETIN - Year 2019, Vol 11, Issue 2
Abstract
The development of airline services distribution from computer reservation to global distribution systems experiences nowadays a novel transformation based on an improved approach and higher benefits for all actors involved in the distribution process. In the first years since launching the new distribution capability (NDC) developed by IATA represented a problem with many unknowns, especially for airlines, traditional distribution channels and travel agencies. In order to better understand the need and implications of NDC, the particularities of various distribution channels were analyzed to underline possible drawbacks of global distribution systems and the rationale for which they need to be improved or modified. Thus, comparative analysis of the two global leaders among distribution systems in Europe and America (i.e. Amadeus and Sabre) were performed. In this context, operative and economic processes governing the distribution system were considered in terms of analyzing the importance of distribution process developing. Different criteria for product commercialization like product complexity, price or information importance mirror airlines’ competition for offering best experience to passengers. These aspects were studied from the perspective of the opportunities offered for shaping the future of the air distribution service. After the critical analysis of GDSs, the impact of NDC was evaluated considering the perspectives and approach of low cost or legacy carriers.
Authors and Affiliations
Casandra Venera PIETREANU
Keywords
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- EP ID EP585856
- DOI 10.13111/2066-8201.2019.11.2.20
- Views 59
- Downloads 0
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