Much of the literature on the airline industry identifies a potential entrant to a market based on whether the relevant carrier has presence in at least one of the endpoint airports of the market without actually operating between the endpoints. Furthermore, a potential entrant is often defined...

When there is significant overlap in potential partner airlines׳ route networks, policymakers have expressed concern that an alliance between such airlines may facilitate collusion on price and/or service levels in the partners׳ overlapping markets. The contribution of our paper is to put...