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Rail Transport Case Study

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Rail Transport Case Study
Introduction
In the field of rail transport operated in the past, only one public company and only in recent years there has been a gradual liberalization and opening up the sector to competition. In these sectors often arise after the liberalization of the competition problems arising for example. the historical development of the sector, high koncentrovanosti market, but also the behavior of the former state monopolies that are trying to protect its market position against new players.
1 Description of railway sector in Slovakia
Historically, the railway sector in Slovakia was organized so that all activities related to rail transport were performed by a public company which was responsible for the management and construction of railway infrastructure
…show more content…
Infrastructure Management together with the provision of access to it has the character of a natural monopoly, where there is not economic to build in next to the existing Railway Infrastructure a new one, so it is not realistic to expect more companies in this area. Thus, regarding the management of railway infrastructure and providing access to it there cannot be considered the creation of a competitive environment. By contrast, in the provision of transport services in the market may also act more players, and is realistic to develop competition in this area. Therefore, in the context of liberalization, which is determined by the direction of the EU, there was a process of separation of infrastructure management and transport services. Subsequently, in the provision of transport services, where it is possible to create a competitive environment, other companies were given the possibility to operate,not only the historical state carriers. In the area of railway infrastructure, where it is possible to create a competitive environment, the introduction of price regulation for access to railway infrastructure have created the conditions to access the railway infrastructure for all carriers. These measures were supposed to encourage the development of competition in rail …show more content…
In 2009, the group annual turnover exceeded 4.2 billion dollars. Despite the fact that STUDENT AGENCY and RegioJet are a purely Czech company, subsidized companies and multinational corporations cannot compete with RegioJet in Slovakia. Radim Jančura said: “Now, we are not student agency as before, but we are for the people, those who want quality service for price like in his student days ... With us you save money and even help to develop new projects.” as an opinion about his company - RegioJet and his strategy since he started his own

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