STRATEGIC ALLIANCES IN AVIATION INDUSTRY: AN EFFICIENCY ANALYSIS USING DATA ENVELOPMENT ANALYSIS AND ASSURANCE REGION APPROACH

Aim: Strategic alliance is defined as the act of two or more companies producing product or service together, acting in the direction of common interests for the sale of manufactured products or services. Today, especially those companies operating in the aviation industry seem to have established such strategic partnerships in order to adapt more rapidly to changing global conditions. In this study, it was aimed to perform a comparative efficiency analysis for the strategic alliances which established in the aviation industry Method: Additionally to basic Data Envelopment Analysis (DEA), Assurance Region approach was also applied to the 59 airline company and the interpretations of the findings were made with a different point of view in the light of this approach. Findings: In comparison with basic DEA, it was found quite different results under Assurance Region Method which consider weights of each input and output variables. Results: While mean efficiency score was found as %62 under basic DEA, however, it was found as %44 under DEA/AR approach. Theseresults show that efficiency score was decreased about %30 under DEA/AR approach. 11 airline company were found as efficient under basic DEA, only 3 of them were found as efficient under DEA/AR approach. And also, we can say that DEA/AR approach is more sensitive technique than basic DEA