ABSTRACT Since open air policy, the operating model of low cost airline has already been introduced to the world more than 40 years. In Asian and European countries, the benefits of operating low cost airlines is significantly higher than traditional airlines. Thus, this business model has been introduced to Southeast Asia recently, such as Malaysia, Singapore, and Thailand. . Since the low-cost strategies have been successfully applied in different Asian countries, the current study aims to investigate and examine the applicability of the low cost model in Taiwan. This study put premiums on the historical low cost airlines industry development and the key elements of successful and failure cases. Moreover, the current study overviewed the business operating model, core strategies, and conditions for low cost airlines. Based on this knowledge, analyses and integrated comparisons of current airline industry in Taiwan can benefit, Airport management and Airlines. The fundamental purpose of this research is to find out the way of operating low cost airlines in Taiwan. Keywords: Low cost airlines, case study, comparative study