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| Title |
WINNING GOL! : BRAZIL'S LOW-FARE CARRIER SOARS ON GLOBAL IPO AS IT REWRITES THE RULES OF COMPETITION
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| Accession No |
00982238 |
| Authors |
Lima, E P |
| Journal Title |
Air Transport World
Vol. 41
No. 11 |
Corp. Authors
/ Publisher |
Penton Media, Incorporated ; Penton Media
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| Publication Date |
20041000 |
| Description |
p. 22-25;
Photos(4); Tables(3) |
| Languages |
English
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| Abstract |
Low-cost Brazilian passenger airline Gol is one-of-a-kind in Brazil. It is positioning itself on the same tier as Southwest, Jet Blue, Ryanair and WestJet among investors, who responded with $151 million for the airline and $115 million for selling shareholders in the June IPO offering. It is applying the low-cost model to Brazil, but with some twists that reflect the underdeveloped nature of the country's market. The vast majority of intercity travel is done by bus, and there were only 30 million emplanements in 2000, out of a population of around 175 million. Gol's strategy is to attract the 130 million people who use buses as well as go after the price-sensitive flyers among the 70% of flyers who are traveling on business. Top executives in the airline are also instrumental in the bus industry in Brazil. In highly competitive markets like Sao Paolo-Rio de Janeiro, it runs direct, low-fare flights. But it keeps utilization high by continuing on to other cities. Strictly no-frills, it also offers Internet check-in and has a 99% reliability factor. On the management side, all levels of employee are trained to add management skills to strengthen all aspects of operations, so that routing decisions are not made just on technical considerations, but for their business implications, too. Challenges remain as it tries to further erode marker share of legacy competitors and survive threats such as rising fuel prices. Includes chart showing fleet development plans and selected traffic and financial results. |
| TRT Terms |
Competition ; Costs ; Discount fares ; Regional airlines ; Revenues |
| Geographical Terms |
Brazil |
| Identifier Terms |
Gol Linhas Aereas |
| Subject Areas |
A02 Airlines |
| Availability |
Penton Media, Incorporated Find a library where document is available
Available from UC Berkeley Transportation Library through interlibrary loan or document delivery
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| Document Source |
UC Berkeley Transportation Library
Source Data: BTRIS Record Number 4950
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| TRIS Files |
ATRIS; BTRIS |
| Database |
TRIS Online |
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TRT
