The impact of general sales agents on the air cargo industry

Peter Hosie*, Ming K. Lim, Marcus Chng

*Corresponding author for this work

Research output: Contribution to journalArticle

Abstract

A General Sales Agent (GSA) is an airline's outsourcing counter part that markets and manages cargo services. An empirical investigation is undertaken to ascertain whether GSAs contribute economically to the air cargo industry using three 'litmus test' indicators:1) contribution to the airline's sales and profitability by expanding o perating networks; 2) viability as a marketing option for emerging or struggling airlines to help cut operating costs to reduce prices; 3) cost-effective GSAs were found to establish an airline's market presence through wide network coverage and good local knowledge, leading to an expansion of airline's operating networks and generating greater sales revenue.

Original languageEnglish
Pages (from-to)393-416
Number of pages24
JournalInternational Journal of Logistics Systems and Management
Volume13
Issue number3
DOIs
Publication statusPublished - 2012

Keywords

  • air cargo/freight
  • general sales agent
  • outsourcing
  • supply chain management

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