Air transport plays an important role in international travel for tourism and business especially in a landlocked country such as Mongolia. Traveling by air is the most convenient and fast transportation method for Mongolian people. There aren’t any low cost carriers (LCC) in Mongolia yet. LCCs might be very attractive for people whose income level is low. Before bringing the low cost carriers in Mongolia, it’s important to assess the people’s expectation to it and its influence on purchase intention. However, there aren’t any related researches about Mongolian airlines’ passengers, their expectations and purchase intention. The purpose of this research is to examine Mongolian airlines’ passengers’ expectations to service quality about low cost carriers, their price sensitiveness and how their expectations influence on their future purchase intentions.
In order to achieve the purposes of this research and test the hypotheses, correlation coefficient was used. Data is collected through online questionnaire survey. Questionnaires are filled in by 400 Mongolian people. The both hypothesis were accepted. There is a positive relationship among the people’s expectations to service quality, purchase intentions and price sensitiveness. This research is contributed on academic, managerial and practical field. According to the previous researches, there are significant differences in service expectations among passengers of different ethnic groups/ nationalities. This research will contribute to Mongolian airline marketing literature. On the practical field, this research will be helpful to those who want to bring the low cost carrier in Mongolia. From this paper one can see people’s expectations to service quality about low cost carrier, which item is the most and the least important for them, its influence on purchase intention and how price sensitive they are.