The life cycle of an airline company through the lens of network theory

Abstract The life cycle of Avianca Brasil Airlines is investigated by employing complex network analysis. Various network parameters are discussed including average path length, clustering coefficient, connectance, and network similarity. These factors are compared with financial data to characterize the company’s network evolution over the years. Our results show that the airline network evolved toward a small-world configuration, maintaining short path lengths and increasing clustering, while two major hub relocations marked the most pronounced structural transitions. We further note that a later period of rising operational costs coincided with network expansion to more cities and a decrease in connectance, reflecting a sparser configuration. The present study highlights the importance of network-oriented strategies in the highly competitive airline industry. Graphic abstract We investigate the rise and fall of Avianca Brasil through the lens of complex network theory. By reconstructing the airline’s domestic flight network from 2010 to 2019, we reveal how strategic decisions, including hub relocations and route expansions, impacted the structure and efficiency of its operations. Key metrics such as path length, clustering coefficient, and network similarity show that the company evolved toward a small-world topology while expanding its market presence. This map depicts the domestic flight network of Avianca Brasil as of September 2013, showcasing its small-world characteristics and hub-centric structure.