International Aviation: Better Data on Code-Sharing Needed by DOT for
Monitoring and Decisionmaking (Testimony, 05/24/95, GAO/T-RCED-95-170).

The Transportation Department's (DOT) recent successes have created
momentum and renewed hope that U.S. airlines will have better access to
key foreign markets in the future.  However, the challenges facing DOT
are stiff as foreign governments are often unwilling to permit greater
competition between their national airlines and lower-cost U.S.
airlines, although U.S. airlines often disagree as to what DOT's
strategy should be.  The international environment has also become
increasingly dynamic, with airlines forming a growing number of
alliances to create global and regional route networks.  Given the
success of such alliances, it is likely that code-sharing will continue
to play a large role in bilateral negotiations and any increased rights
of direct access or relaxation of foreign investment limits will be
linked to the value that governments and airlines place on code-sharing.
Unless it solves its data problems, DOT will be limited in its ability
to effectively negotiate increased U.S. access to foreign markets and
keep abreast of the increasingly global industry, monitor code-sharing's
impact on competition and fares, and equitably accommodate competing
U.S. airlines.

--------------------------- Indexing Terms -----------------------------

 REPORTNUM:  T-RCED-95-170
     TITLE:  International Aviation: Better Data on Code-Sharing Needed 
             by DOT for Monitoring and Decisionmaking
      DATE:  05/24/95
   SUBJECT:  Airline industry
             Airline regulation
             Computerized information systems
             Competition
             Commercial aviation
             Competition limitation
             International travel
             International economic relations
             Investments abroad
             International agreements
IDENTIFIER:  European Union
             Heathrow Airport (United Kingdom)
             United Kingdom
             Canada
             Japan
             Germany
             
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