IMPACT OF STATE’S POLITICAL STABILITY ON COMPANY’S ECONOMY— CASE STUDY OF PEGASUS AIRLINES
There is a reciprocal relationship between air travel and a tourist destination. An existing airline connection is a prerequisite for visiting an area by foreign tourists and thus for the development of tourism. On the other hand, the popularity of a tourist area creates the preconditions for the further development of flight routes to other destinations. Unstable political situation prevailing in the region can harm the whole economy. Among others, the aviation industry will be hit, because there is a dependence between air transportation growth and Gross domestic product (GDP), the aviation strongly correlates with the economic cycle. On the example of Turkey the improvement in the political situation can be seen reflected in the results of the Pegasus Airlines. Financial results of two consecutive years were compared and interpreted. At the same time other circumstances that could have contributed to the results were investigated. At the end of the discussion attention was drawn to new circumstances that could further destabilize the situation in Turkey and the whole region and negatively affect the further development of the Turkish aviation.
Akkemik, A. K. (2012). Assessing the Importance of International Tourism for the Turkish Economy: A Social Accounting Matrix Analysis. Tourism Management, 33(4), 790-801.
Alderighi, M. & Cento, A. & Nijkamp, P. & Rietveld, P. (2012). Competition in the European aviation market: the entry of low-cost airlines. Journal of Transport Geography, 24, 223-233.
Arana, J. E. & Leon, J. C. (2008). The impact of terrorism on tourist demand. Annals of tourism research, 35(2), 299-315.
Azani, E. & Lvovsky L. A. & Haberfeld, D. (2016). Trends in Aviation Terrorism. Retrieved from: https://www.ict.org.il/Article/1757/trends-in-aviation-terrorism#gsc.tab=0
Balascik, V. & Buk, P. & Kis, S. & Koscak, P. & Val’usova, M. (2015). Safety of Air UAV Operation. 2015 International Conference On Information Science And Management Engineering (ICISME 2015). Thailand, DEC 20-21, 2015, pp. 345-348.
Bjelicic, B. (2007). The business model of low-cost airlines – past, present, future. In S. Gross, A. Schroder, Handbook of low cost airlines – strategies, business processes and market environment (pp. 11-30). Berlin, Germany: Erich Schmidt Verlag.
Camurdan, B. & Cetin, S. & Gurgen, S. & Kushan, M. C. (2016). The position of Turkish air transportation in Europe. SGEM 2016, Bk 2: political sciences, law, finance, economics and tourism conference proceedings, Vol V, International Multidisciplinary Scientific Conferences on Social Sciences and Arts, pp. 849-855.
Charbel, B. (2014). The Effect of Terrorism on Tourism Demand in the Middle East. Peace Econo- mics, Peace Science and Public Policy, 20(4), 669-684.
Daily Sabah. (2017). Turkey outpaces peers in air transport with 14 pct growth in a decade [online]. Published 2017-08-20. Retrieved 2019-01-10. Retrieved from: https://www.dailysabah.com/business/2017/08/21/turkey-outpaces-peers-in-air-transport-with-14-pct-growth-in-a-decade-1503263738
Daily Sabah. (2018). More than 40 million tourists visit Turkey in 10 months of 2018 [online]. Published 2018-11-30. Retrieved 2019-01-10. Retrieved from: https://www.dailysabah.com/tourism/2018/11/30/more-than-40-million-tourists-visit-turkey-in-10-months-of-2018
Dzunda, M. & Dzurovcin, P. & Cekanova, D. (2018). Operational Economic Aspects of Warning Collision Systems for Helicopters. Transport Means 2018. Part III = proceedings of 22nd International Scientific Conference. Kaunas (Litva) : Kaunas University of technology, 1473-1475.
Donmez, P. E. & Zemandl, E. J. (2019). Crisis of Capitalism and (De-)Politicisation of Monetary Policymaking: Reflections from Hungary and Turkey. New political economy 24(1), 125-143.
Flypgs. (2018). Services [online]. Retrieved from: https://www.flypgs.com/en/travel-services
Galanda, J. & Sulej, R. & Jezny, M. (2016). Virtual Concept of a Symbiotic Environment for CBL and CBT Methods Based Education in Aircraft System. Nase more, 63 (3), pp. 244-248.
Graham, A. & Papathedorou, A. & Forsyth, P. (2008). Aviation and Tourism. Implications for Leisure Travel. Burlington, USA. Ashgate Publishing Company.
Gross, S. & Schroder, A. (2007). Basic business model of European low cost airlines – an analysis of typical characteristics. In S. Gross, A. Schroder, Handbook of low cost airlines – strategies, business processes and market environment (pp. 31-50). Berlin, Germany: Erich Schmidt Verlag.
Lewis, D. & Heathershaw, J. & Megoran, N. (2018). Illiberal peace? Authoritarian modes of conflict management. Cooperation and conflict, 25(4), 486-506.
Melnikova, L. & Cibereova, J. & Korba, Peter (2016). Building a training airport for pilots. Informatics, Geoinformatics And Remote Sensing Conference Proceedings, SGEM 2016, Vol I. 16th International Multidisciplinary Scientific Geoconference (SGEM 2016). Albena, Bulgaria, JUN 30-JUL 06, 2016, pp. 109-116.
Pegasus. (2017). Condensed consolidated financial statements for the nine-month period ended 30 September 2017. Retrieved from: http://www.pegasusinvestorrelations.com/medium/image/q3-2017- financial-results_582/view.aspx
Pegasus. (2018a). History of Pegasus [online]. Retrieved from: http://www.pegasusinvestorrelations. com/en/about-pegasus/about-pegasus
Pegasus. (2018b). Condensed consolidated financial statements for the nine-month period ended 30 September 2018. Retrieved from: http://www.pegasusinvestorrelations.com/medium/image/q3-2018- financial-results_797/view.aspx
Power, G. (2018). The UK Foreign Office says the country is ‘generally safe’ as it starts to rebuild its tourism sector. The Week [online]. Published: 2018-07-24. Retrieved: 2019-01-10. Retrieved from: https://www.theweek.co.uk/turkey/93371/how-safe-is-it-to-travel-to-turkey-in-2018
Riley, J. (2014). Terrorism and rail security. RAND. 2014. Retrieved from: http://www.rand.org/content/dam/rand/pubs/testimonies/2005/RAND_CT224.pdf
Silverman, R. (2014). Dogan versus Erdogan: Business and Politics in AKP-Era Turkey. Mediterranean Quarterly 25(2), 131-151.
Szabo, S. & Vitek, P. & Kraus, J. et al. (2017). Probabilistic model for airport runway safety areas. Transport Problems, 12 (2), pp. 89-97.
Theocharous, A.L. & Zopiatis, A. & Lambertides, N. & Savva, C.S. & Mansfeld, Y. (2018). Tourism, Instability and Regional Interdependency: Evidence from the Eastern-Mediterranean. Defence and Peace Economics, DOI: 10.1080/10242694.2018.1501531.
Vagner, J. & Pappova, E. (2014). Comparison of Radar Simulator for Air Traffic Control. Nase more, 61 (1-2-), pp. 31-35.
Yaya, M. E. (2009). Terrorism and Tourism: The Case of Turkey. Defence and Peace Economics, 20 (6), 477-497.