An Overview of the Low-Cost Carrier Model in the Russian Market

This study provides an overview of the low-cost carrier (LCC) model in the Russian market. The LCC model seeks to achieve a competitive advantage through the reduction of operating costs, below the traditional airline model. Since Russia is an emerging and developing economy, airlines face a high level of uncertainty. Despite the fact that the Russian aviation market is dominated by a few large carriers, Russian lowcost airlines such as SkyExpress and Avianova have been growing rapidly since starting their operations. While Russian LCCs follow the traditional LCC model, some differences are apparent as a result of the specifics of the Russian environment.