Airline new route selection using compromise programming - The case of Taiwan-Europe

The decision to launch a new route has a huge effect on the outcomes of airlines in the market. In order to find potential destinations for airlines, this paper utilizes a compromise programming method for selecting direct flight routes. The selection framework comprises two objective functions, with one maximizing total revenue and the other minimizing total cost. A case studying Taiwan-European region destinations is interpreted in the analysis. The results indicate that four potential routes, including Madrid, Milan, Munich and Zurich should be added to the airlines' service destinations. Therefore, this research suggested that the airport authority could apply incentives scheme to attract carriers to open new routes and add flight frequencies to strengthen its competitiveness.