Airline Pricing on Shuttle Routes

For decades, the airline industry has offered short-haul, high-frequency flights that served time-sensitive professionals.  Over the years, the customer demand for these shuttle services has evolved from the traditional business traveler to include technology-savvy people with flexible schedules, looking to combine work with leisure travel.  These changes in consumer behavior, combined with rising fuel costs and increased competition from alternate modes of transportation, has pressured airlines to consider profitability on off-peak flights along the Northeast Corridor.  In this case, students are asked to analyze historical consumer demand patterns and cost data on aircraft operations to determine how aircraft choice and pricing strategy interact in Delta's decision making.