Article ID: | iaor20001621 |
Country: | United Kingdom |
Volume: | 35E |
Issue: | 3 |
Start Page Number: | 155 |
End Page Number: | 182 |
Publication Date: | Sep 1999 |
Journal: | Transportation Research. Part E, Logistics and Transportation Review |
Authors: | Gudmundsson Sveinn Vidar |
Keywords: | financial |
In this paper, an exploratory study of failure and distress prediction models is presented based on a qualitative survey among new-entrant airline managers and a quantitative data source containing financial and traffic data of new-entrant airlines. Using logistic regression, it became evident that qualitative variables are a viable source for model construction. They contribute to a deeper understanding of the underlying distress and failure process. A number of significant predictor variables are discussed in the context of managing new-entrant airlines.