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We investigate the relationship between airline network structure and airport congestion. More specifically, we study the ways in which airlines adjust capacity to delays depending on the network type they operate. We find some evidence suggesting that airlines operating hub-and-spoke structures react less to delays than airlines operating fully connected configurations. In particular, network airlines have incentives to keep frequency high even if this is at the expense of a greater congestion at their hub airports. We also show that airlines in slot-constrained airports seem to react to higher levels of congestion by using bigger aircraft at lower frequencies; thus, we conclude that conditioning the number of available slots on the levels of delays at the airport seems an effective measure that creates the right incentives for airlines to reduce the congestion they generate.

This study investigates, both theoretically and empirically, the effects of joint ventures on traffic. Although alliances are a pre-condition for joint ventures, both cooperation agreements are different in their nature. The reason is that alliances are revenue-sharing agreements, whereas joint ventures also involve a cost-sharing commitment. Our empirical analysis focuses on the transatlantic market, including non-stop routings (interhub markets) and one-stopover routings (interline markets). Our theoretical and empirical findings emphasize the relevance of economies of traffic density and reveal a positive effect of joint ventures on traffic, both in interhub and interline markets.

International business research has long acknowledged the importance of regional factors for foreign direct investment (FDI) by multinational corporations (MNCs). However, significant differences when defining these regions obscure the analysis about how and why regions matter. In response, we develop and empirically document support for a framework to evaluate alternative regional grouping schemes. We demonstrate application of this evaluative framework using data on the global location decisions by US-based MNCs from 1980 to 2000 and two alternative regional grouping schemes. We conclude with discussion of implications for future academic research related to understanding the impact of country groupings on MNC FDI decisions.

This introductory paper explains the aims of the larger volume, provides a brief overview of each individual contribution, and establishes some of the many connections between them. Philip Selznick’s legacy for organizational studies is vast, rich, and insufficiently appreciated. The papers in this volume pick up on different aspects of Selznick’s legacy and demonstrate the enduring value of his work.

Airport economics literature has recently included the supply of concession services among the factors that might affect airport pricing. In particular, there is only little empirical analysis on whether: (i) the supply of airport concession services can stimulate the demand for travel (two-side complementarity) and (ii) the demand for airport concession services is independent of traveling activities (welfare neutrality). In this chapter, we survey papers that have addressed two-side complementarity and welfare neutrality in airport concessions. Our goal is to discuss the different assumptions that have shaped the models and to collect evidences, facts and empirical findings that may support analytical hypotheses. We argue that the notions of two-side complementarity and welfare neutrality might be interrelated – especially when airports invest in concessions in the area accessible to non-passengers. Welfare gains should be assessed on a case by case basis, depending on the type of airport in terms of ownership, size (and the relative mass of connecting passengers compared to origin–destination passengers), and the source of concession revenues. Our arguments might be particularly relevant to policy makers who need to understand (i) whether the supply of concessions reduces or increases the benefits of airport (aviation) price regulation and (ii) whether the effective control of market power may require the regulation of the prices of both the businesses.

While many modern institutionalists have shown a renewed interest in Philip Selznick’s early work, previous efforts to reincorporate his perspective have given relatively little attention to values (which are the most central element of the theory itself). This paper addresses this disconnect by: (1) revisiting Selznick’s key arguments about values and explaining their various roles in his thought, (2) expressing a theoretical framework through which values could be “reinfused” into the contemporary institutional literature and, (3) developing six different proposals for theory and research which do just this. These proposals are offered as an a la carte menu of possibilities, rather than a programmatic agenda for reform. While we hope that our paper will facilitate a renewed focus on values within institutional theory, we do not see this as a theoretical imperative.

Commenting on the Mexican Revolution in 1938, Trotsky argued that the country might achieve “national independence,” understood as a break with dependency relations. Whether this might occur depended – Trotsky continued – on “international factors.” Though not engaging with Mexico, Antonio Gramsci made a similar theoretical point. It is hence from this perspective that this chapter analyses the Mexican Revolution, asking whether it led to a break in dependency relations and the attainment of “national independence” or what I refer to as “relative geopolitical autonomy.” Presenting a framework of analysis largely based on the work of Gramsci that highlights its continuity with the thought of Marx, the chapter will answer negatively to this question. The chapter starts from the idea that Porfirio Díaz’s regime was unable to adapt the economic structure (still pre-capitalist) to the complex superstructures (capitalist), that is, to realize an historic bloc. It would be this job that the emergent Mexican bourgeoisie sought to finish. However, the situation is complicated by the powerful emergence of social movements from below, constituted largely by landless peasants, and to a lesser extent, the industrial proletariat. I will therefore argue that the revolution has been both “passive” and “bounded.” The term passive revolution will be applied to the last phase of the revolution as the emerging bourgeoisie successfully coopted the demands of the popular masses thereby “passivizing” them. But crucially, the revolution was also “bounded” because international factors, and especially US influence, played a conditioning role throughout the revolutionary process. At the same time, it would be the very “passive” nature of the revolution that would contribute to the reproduction of relations of dependency. Hence the chapter concludes that the period Trotsky commented upon (the Cárdenas period) is the highest level of “independence” Mexico achieved, only to decrease again over the years.