Evaluating optimal multi-hub networks in a deregulated aviation market with an application to Western Europe

This paper develops, evaluates and ultimately aids in the choosing of an op timal, single allocation, hub-and-spoke network for an airline working in a deregulated market. An integer linear program evaluates potential hub netw ork combinations, whose profits are then determined using a non-linear math ematical program. International gateway airports and regional hubs, profit, frequency and aircraft size are the decision variables. An adapted, conjug ate-gradient projection algorithm is developed and the models are subsequen tly applied to Western Europe. (C) 2001 Elsevier Science Ltd. All rights re served.