Market Entry Barriers for Low-Cost Carriers: An Examination Within the Turkish Market

This research aims to classify the nature and characteristics of market-entry barriers encountered by low-cost carriers (LCCs) and to elucidate the strategies employed to counteract them. The emergence of the LCC business model fundamentally transformed the service paradigm within the aviation sector. These airlines have captured a rapidly increasing market share, reaching a global market penetration of 35% in 2020. Supported by the passage of the Turkish Civil Aviation Law in 1983, a shift in transportation policies in 2003, and its strategic geographical position, Turkey has recorded a growth rate surpassing the global average. Passenger numbers surged from 34 million in 2003 to an estimated 230 million in 2024. Turkish-registered airlines, leveraging this geographical advantage, gain access to 99 countries, 3.8 billion people, and significant economic markets within the narrow-body aircraft range. This expansion has intensified competition and recently facilitated the entry of new airline companies into the sector. The paucity of comprehensive studies on the LCC market in Turkey underscores the originality and significance of this research. Employing a qualitative methodology, this study draws on interviews conducted in April and May 2023 with sector experts and representatives of Turkish-registered LCCs. The data obtained from expert consultations underwent a rigorous thematic analysis, leading to the consolidation of market entry barriers into seven main themes. Foremost among these are governmental regulations, particularly those stemming from Turkey's relatively restrictive Asian and African markets due to its location. Strategies developed to overcome these barriers were grouped into four key themes, with managerial flexibility being the most critical. Due to the inherent nature of a qualitative research approach, the findings of this study are not generalizable. Future research could be substantiated with quantitative data, deepened by focusing on specific entry barriers, and expanded to incorporate the consumer perspective.