Analyzing the Effects of COVID-19 on the Financial Performance of the Airlines Trading in BIST Transportation Index with Multiple-Criteria-Decision-Making Methods

Abstract

The current study aimed to investigate the effects of the COVID-19 pandemic on financial performance of the airlines operating in Turkey and trading in BIST Transportation Index with the use of Multiple-Criteria-Decision-Making (MCDM) methods. To suit the purpose of the study, the financial data of the airlines in the XULAS index during 2019-2020 were analyzed using the Technique for Order Preference by Similarity to Ideal Solution (TOPSIS) and the Multi-Attributive Border Approximation area Comparison (MABAC), which are MCDM methods. The results revealed that COVID-19 pandemic had severe negative effects on the financial performance of the air transportation, which further supports the findings of the existing literature. To extend the findings of the current study, the financial data of the General Directorate of State Airports Operations (GDSAO) during 2019-2020 were analyzed with the MCDM methods. The results were in line with the findings for the airlines which suggested that the financial performance of the GDSAO was affected as negatively as the airlines by the COVID-19.