The Impact of Open Sky of Thai Airline Business

Abstract

The open sky affects the Thai airline business. This is because it opens an opportunity for foreign airlines, which are large airlines, have high potential, and have a network covering destinations around the world, to play a role in air transportation to Thailand. Although the number of flights and passengers increased but Thai airlines have suffered losses. Because one of the key factors is the intense price war. This article, therefore, aims to study the overview of aviation rights and related agreements as well as analyze the impact on Thai airlines' competitiveness in order to propose measures to support Thai airlines to increase their aviation competitiveness. This is a study using a documentary research method. It is the study of textbooks, articles, research documents, laws, treaties, and agreements related to aviation rights to which countries are parties including aviation business data from various databases. The results of the study found that the support of Thai airlines under the policy of opening free airspace is an urgent agenda in the current situation that Thailand opens the country in line with the 20-year national strategy on building competitiveness aim to develop on the basis “Creating new value in the future” by increasing the potential of entrepreneurs. The development of a new generation adjusts the business model to respond to market demand that combines with strategies that support the future as well as promotion and support from the government to enable Thailand to create a new income base and employment. The expansion of trade opportunities and investment in the global arena is also in line with the country's economic reform plan in terms of adding competitiveness, equality, and participatory growth.