Low-cost carrier or low-cost airline is a company which is generally low prices in exchange for removing many traditional passenger services. The concept has its origin in the United States before spreading to Europe in early 1990, and later much of the rest of the world. The term originated within the airline industry referring to airlines with a lower operating cost structure than their competitors. While the term is often carrier has applied to a card with low prices and limited services, regardless of their operating models, low-cost carriers should not be confused with regional airlines that operate short flights without service, or with full-service leteckými companies that have a reduced rates. Pricing policy holders of the low cost is usually very dynamic, with discounts and tickets in advance. Although the price of advertising can be a very low, sometimes it does not include taxes and fees. Low-cost airlines often offer tickets at low prices – often flights are advertised as free to perhaps ten percent of the seats on each flight are available at the lowest price, and is the first to sell.

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India’s first low cost airline Air Deccan started service on the 25th August 2003. Cheap flights fare for Delhi-Bangalore route were 30% less than those of its competitors, such as Indian Airlines, Air Sahara and Jet Airways on the same route. The success of Air Deccan to book cheap flights request more than a dozen to encourage low-cost airlines in India. Air Deccan now faces stiff competition from another low-cost carriers such as Indian Jetlite, Kingfisher, GoAir and Paramount Airways. Indigo Airlines has recently ordered the 100 Airbus A320s worth 6 billion USD during the Paris Air Show, the largest of any India domestic carrier. After a year of operation in 2006, Kingfisher Airlines changed its business model of low-cost airlines in value. Deccan, the Kingfisher and renamed Kingfisher Red.

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The first airline offering no-frills Atlantic service was Freddie Laker’s Laker Airways, its famous “Skytrain” service between London and New York to operate during the late 1970′s. The service was suspended after the bell’s competitors, British Airways and Pan Am, was able to price Skytrain out of the market. In April 2006, flying Business magazine analyzed the potential for cheap air tickets, low-cost long-distance services and concluded that a number of Asian carriers, including AirAsia, were closest to such a model. Nov 2 2007, AirAsia X, a subsidiary of AirAsia and Virgin Group flew its first flight from Kuala Lumpur, Malaysia to Gold Coast, Australia. AirAsia X claims to the first true low-cost carrier long distance with cheap flights from late Sir Freddie Laker era. In August 2006, Zoom Airlines announced that it is a subsidiary of the UK, probably based at Gatwick Airport, which low-cost long-distance flights to the U.S. and India. The company has suspended all its activities from August 28, 2008 due to financial problems of high fuel prices.


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