Latin America's airlines continue game of chess: Avianca's planned Viva purchase the latest move

Dynamics have shifted in the Latin American market during the past two years.

Those changes span from the bankruptcies of the region's three largest airline groups to operators forming new partnerships to capitalise on the recovery.

Now the Colombian flag carrier Avianca is working to solidify its position in the market through the planned acquisition of its ultra-low cost rival Viva. If approved, the proposed agreement would bolster Avianca's existing leading position in the Colombian market.

Avianca's decision to acquire Viva is the latest in the interesting moves that Latin American airlines are making, or attempting to make, in order to remain competitive now that the COVID-19 pandemic has moved to an endemic phase.

It is the latest move in the chess game Latin American operators are playing to ensure they remain competitive over the long term.