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Abstract The high-sensitivity nature of the aviation industry to any global changes has driven the fierce competition between full-service airlines and low-cost carriers. This competition has led to blurring the differences between the adopted airline business models, emerging a hybrid airline business model that is based on high-quality customized air services. Consequently, ticket prices play a significant role in achieving a balance between value and affordable fares. Recently, various Middle Eastern low-cost carriers have hybridized their airline business models. In this regard, the study aims to investigate the influence of applying intertemporal price discrimination strategy according to advance purchase of air tickets on the offered airfares – as a competitive airline pricing strategy – in the context of the competition between hybrid airlines and legacy flag carriers in the Middle East airline market. To achieve this aim, the study follows the descriptive analytics method to identify the airline pricing patterns; relying on quantitative empirical analysis. Accordingly, 66,841 ticket prices of seven-day, direct round-trip flights offered for leisure segment were monitored on eight routes during a year on a daily-basis, covering from September 2018 till August 2019 at different dates before departure. Moreover, observation of the offered airfares was conducted using the airlines’ official websites and limited to those offered by the Middle Eastern hybrid airlines and legacy flag carriers that operate on the same routes out of the primary and secondary airports in the Egyptian airline market – as a departure point – to different destinations inside the Middle East. It was concluded that hybrid airlines tend to price aggressively when competing with legacy flag carriers in the Middle East airline market. Eventually, a future vision of hybridizing Egypt Air’s business model was presented after providing some recommendations for the Egyptian civil aviation ministry, Middle Eastern hybrid airlines, and leisure passengers travelling inside the Middle East. |