The Financing Behavior of Airline Companies

Autores/as

DOI:

https://doi.org/10.12795/anduli.2020.i19.10

Palabras clave:

Global Alliances, Capital Structure, Airlines, Panel Data, Air Transportation

Resumen

Airline companies, including many legacy airlines, have developed global alliances to adapt to dynamic competitive conditions to gain a competitive advantage over other companies. In this way, the number of destinations and network structures of the airline companies have expanded. This study examines the financial factors affecting the capital structure of airline companies that are members of global alliances. In this context, the goal of this study is to reveal the financing behaviors of airlines using theories related to the structure of capital. To this end, we used secondary financial data of member airlines in strategic alliances. For the scope of the study, the period of 2005-2017 was examined, and the panel data analysis method was used. Empirical results of the study indicate that: a) There are significant differences between short-term and long-term debt behaviors of the airlines that were analyzed, b) While long-term debt behavior of airlines is in accordance with the Trade-Off Theory, short-term debt behavior is in accordance with the Pecking Order Theory, and c) In the global alliances, the long-term financial behavior is similar to the traditional low-cost business model of airlines.

Descargas

Los datos de descargas todavía no están disponibles.

Métricas

Cargando métricas ...

Biografía del autor/a

Kasım Kiraci, Iskenderun Technical University, Hatay (Turkey)

Asst. Prof. Kasım KİRACI

Iskenderun Technical University

Faculty of Aeronautics and Astronautics

Department of Aviation Management

Central Campus, 31200,

Iskenderun, Hatay

 P: +90 (326) 613 56 00 / 5204

F: +90 (326) 613 56 13

E: kasim.kiraci@iste.edu.tr / kiraci.kasim@gmail.com

Veysi Asker, Dicle University, Diyarbakır (Turkey)

Department of Aviation Management

Citas

Ajanthan, A. (2013). Determinants of capital structure: Evidence from hotel and restaurant companies in Sri Lanka. International Journal of Scientific and Research Publications, 3(6), 1-8.

Arsov, S., & Naumoski, A. (2016). Determinants of capital structure: An empirical study of companies from selected post-transition economies. Journal of Economics and Business, 34(1), 119-146. https://doi.org/10.18045/zbefri.2016.1.119

Bancel, F., & Mittoo, U. R. (2004). Cross-Country Determinants of Capital Structure Choice: A Survey of European Firms. Financial Management, 33(4), 103-132. http://www.jstor.org/stable/3666330

Bandyopadyay, A., & Barua, N. M. (2016). Factors determining capital structure and corporate performance in India: Studying the business cycle effects. The Quarterly Review of Economics and Finance, 61(1), 160-172. https://doi.org/10.1016/j.qref.2016.01.004

Bhaird, C. M., & Lucey, B. (2010). Determinants of capital structure in Irish SMEs. Small Business Economics, 35(3), 357-375. http://dx.doi.org/10.1007/s11187-008-9162-6

Brigham, E. F., & Houston, J. F. (1999). Fundamentals of Financial Management. Orlando: The Dryden Press.

Chang, C., Chen, X. & Liao, G. (2014). What are the reliably important determinants of capital structure in china? Pacific-Basin Finance Journal, 30(1), 87-113. http://dx.doi.org/10.1016/j.pacfin.2014.06.001

Crnigoj, M., & Mramor, D. (2009). Determinants of Capital Structure in Emerging European Economies: Evidence from Slovenian Firms. Emerging Markets Finance & Trade, 45(1), 72-89. http://dx.doi.org/10.2753/REE1540-496X450105

Damodaran, A. (1999). Applied Corporate Finance: A User’s Manual. New Jersey: Wiley Publisher.

Durukan, M. B. (1997). İşletmelerde Sermaye Yapısını Etkileyen Faktörlerin Ampirik Olarak Saptanması (Yayınlanmamış Doktora Tezi). Dokuz Eylül Üniversitesi Sosyal Bilimler Enstitüsü, İzmir.

Ehrhardt, M. C., & Brigham, E. F. (2008). Financial Management: Theory and Practice. Newyork: South-Western College Publisher.

Gitman, L. J. (2003). Principles of Managerial Finance. Boston: Pearson Educatin Inc.

Goetz, C. F., & Shapiro, A. H. (2012). Stategic Alliance as a Response to the Threat of Entry: Evidence from Airline Codesharing. International Journal of Industrial Organization, 30(6), 735-747. https://doi.org/10.1016/j.ijindorg.2012.08.003

Güriş, S. (2015). Stata ile Panel Veri Modelleri, Der Yayınları: İstanbul.

Gürsoy, C. T. (2012). Finansal Yönetimin İlkeleri. İstanbul: Beta.

Handoo, A., & Sharma, K. (2014). A study on determinants of capital structure in India.IIMB Management Review, 170-182. https://doi.org/10.1016/j.iimb.2014.07.009

Harris, M., & Arthur, R. (1991). The Theory of Capital Structure. The Journal of Finance, 14(1), 297-335. https://doi.org/10.1111/j.1540-6261.1991.tb03753.x

Keefe, M. O., & Yaghoubi, M. (2016). The influence of cash flow volatility on capital structure and the use of debt of different maturities. Journal of Corporate Finance, 18-36. https://doi.org/10.1016/j.jcorpfin.2016.03.001

Kiracı, K., & Aydın, N. (2018a). Factors that Determine the Capital Structure: An Empirical Study on Low-cost Airlines. Scientific Annals of Economics and Business, 65(3), 227-246. https://doi.org/10.2478/saeb-2018-0018.

Kiracı, K., & Aydın, N. (2018b). Determinants of Capital Structure: Empirical Evidence from Traditional Airlines. Uluslararası İktisadi ve İdari İncelemeler Dergisi, 21(1), 173-186. https://dx.doi.org/10.18092/ulikidince.363126

Kleymann, B., & Seristö, H. (2001). Levels of airline alliance membership: balancing risks and benefits. Journal of Air Transport Management, 7(5), 303-310.

Korkmaz, T., Başaran, Ü., & Gökbulut, R. İ. (2009). İMKB'de işlem gören otomotiv ve otomotiv yan sanayi işletmelerinin sermaye yapısı kararlarını etkileyen faktörler: Panel very analizi. İktisat İşletme ve Finans, 24(227), 29-60. http://www.iif.com.tr/index.php/iif/article/download/iif.2009.277.8149/6488

Le, T. V., & Phan, T. N. (2017). Capital structure and firm performance: Empirical evidence from a small transition country. Research in International Business and Finance, 42(1), 710-726. https://doi.org/10.1016/j.ribaf.2017.07.012

Lopez-Gracia, J., and Sogorb-Mira, F. (2008). Testing trade-off and pecking order theories financing SMEs. Small Business Economics, 31(2), 117-136. http://dx.doi.org/10.1007/s11187-007- 9088-4

Modigliani, F., & Miller, M. H. (1963). Corporate Income Taxes and the Cost of Capital: A Correction. The American Economic Review, 53(3), 433-443. https://www2.bc.edu/thomas-chemmanur/phdfincorp/MF891%20papers/MM1963.pdf

Pacheco, L., & Tavares, F. A. (2015). Capital structure determinants of Portuguese footwear sector SMEs: Empirical evidence using a panel data. TÉKHNE - Review of Applied Management Studies, 13(2), 145-157. https://doi.org/10.1016/j.tekhne.2016.04.002

Palacin-Sanchez, M. J., &di Pietro, F.(2016). The Role of the Regional Financial Sector in the Capital Structure of Small and Medium-Sized Enterprises (SMEs). Regional Studies, 50(7), 1232-1247. http://dx.doi.org/10.1080/00343404.2014.1000290

Sayılgan, G., &Uysal, B. (2011). Türkiye Cumhuriyet Merkez Bankası Sektörel Bilançoları Kullanılarak Sermaye Yapısnı Belirleyen Faktörler Üzerine Bir Analiz: 1996:2008. Ankara Üniversitesi SBF Dergisi, 66(4), 101-124. http://dergipark.gov.tr/download/article-file/35846

Seo, J., & Choi, W. (2016). What Determinants Affect the Capital Structure of Consumer Cooperatives? The Case of ICOOP Korea. Annals of Public and Cooperative Economics, 87(1), 117-135. https://doi.org/10.1111/apce.12088

Serrasqueiro, Z., and Nunes, P. M. (2014). Financing Behavior of Portuguese SMEs in Hotel Industry. International Journal of Hospitality Management, 43(2), 98-107. http://dx.doi.org/10.1016/j.ijhm.2014.09.001

Stiglitz, J. E. (1988). Why Financial Structure Matters. Journal of Economic Perspectives, 2(4), 121-126.

Taner, B., & Akkaya, G. C. (2005). Finansal Danışmanlık: İşletme Düzeyindeki Sorunların Çözümüne Doğru Bütüncül Bir Yaklaşım. Muhasebe ve Finansman Dergisi, 25(1), 30-40. http://dergipark.gov.tr/download/article-file/425802

Teng, B. S. (2003). Collaborative advantage of strategic alliances: value creation in the value net. Journal of General Management, 29(2), 1-22.

Van Horne, J. (2002). Financial Management and Policy. New Jersey: Prentice Hall.

Vo, X. V. (2017). Determinants of capital structure in emerging markets: Evidence from Vietnam. Research in International Business and Finance, 40(1), 105-113. https://doi.org/10.1016/j.ribaf.2016.12.001

Wattson, R., & Wilson, N. (2002). Small and Medium Size Enterprise Financing: A Note on Some of the Empirical Implications of a Pecking Order. Journal of Business Finance & Accounting, 29(3), 557-578. https://onlinelibrary.wiley.com/doi/pdf/10.1111/1468-5957.00443

Yerdelen Tatoğlu, F. (2016). Panel Veri Ekonometrisi STATA Uygulamalı. İstanbul: Beta Yayınevi.

https://www.staralliance.com/en/ (date of access 03.05.2019)

https://www.oneworld.com/ (date of access 04.05.2019)

https://www.skyteam.com/en (date of access 03.05.2019)

Descargas

Publicado

2020-02-28

Cómo citar

Kiraci, K., & Asker, V. (2020). The Financing Behavior of Airline Companies. ANDULI. Revista Andaluza De Ciencias Sociales, (19), 225–244. https://doi.org/10.12795/anduli.2020.i19.10

Número

Sección

Artículos
Visualizaciones
  • Resumen 428
  • PDF (English) 199