• Title/Summary/Keyword: Air Transport Cost

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Study on Calculation Methodology for National Aviation Safety Cost (국가항공안전비용 산출방법론에 관한 연구)

  • Song, Ki-Han;Lee, Dae-Kyum
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.23 no.2
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    • pp.21-31
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    • 2015
  • The world air transport industry has grown steadily with quantitative expansion. The volume of air transport in the world is skyrocketing with the open-sky trend. Air passengers from or to South Korea has shown 5% of annual growth for the last couple of decades which caused South Korea now ranking in 18th in the World for air transport market size. Quantitative expansion of Air transport affects in policy making of air transport operators, such as airports, airlines or authorities, directly and indirectly. Especially, Aviation Safety field should be supported by policy regime with the growth of air transport volume, assured resources for continuous monitoring is standing out as a vital factor. This study is to estimate social costs caused by aviation accidents and investment costs for aviation safety by airports, airlines and authorities as operators. Estimated investment costs for aviation safety verified by comparing and analysing them. Precedent studies were reviewed to refer research methodology to calculate aviation accident costs and safety costs of operators. Safety costs of operators was calculated with literature researches and interview surveys among professionals of each operators in rational range.

Economies of Scale in Multiproduct Firms;Evidence from Air Transport Industry (항공운송산업의 비용분석을 통한 규모의 경제성 추정;초월대수(Translog)비용함수와 푸리에(Fourier) 신축함수 비교 분석을 중심으로)

  • Kim, Je-Chul;Huh, Seok-Min;Lee, Dong-Hui;Lee, Young-Soo
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.14 no.4
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    • pp.38-47
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    • 2006
  • This study analyzes the expense structure of the air transport industry, based on the cost and income data of 18 major airlines, estimates the economic effectiveness of scale and conducts comparative analysis. As for the method of analysis, Translog cost function and the Fourier flexible function were used. The result showed that big companies had the economy of scale based on the Translog cost function, while the Fourier flexible function led to a estimation that expanding the input is not recommended, for the expansion of scale entails the poor economy of scale. It can be presumed that the economy of scale was estimated according to the U shape of the Translog cost function in the given data. On the other hand, the Fourier flexible cost function approaches the unknown function, as it is a Fourier series, and correctly infers the economy of scale based on the analyzed data. As for the flag carrier's economy of scale, it was inferred that the economy of scale existed by any of two functions. Therefore, the conclusion was that further expanding the scale will not cause any problem.

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Study on the strategic changes of the world LCC business models and their implications to Korean LCC industry(A Case Study of the world's major LCCs) (세계 LCC 비즈니스 모델의 전략적 변화 연구 및 국내 LCC 산업 관련 시사점 도출(세계 주요 LCC 사례를 중심으로))

  • Kim, Sang Do;Kim, Kee Woong;Choi, Kun Hee
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.21 no.3
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    • pp.55-64
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    • 2013
  • As the price competition between airlines became increasingly intensified, due to increased participation of low-cost carriers in the air transport industry and the continued deregulation of international air transport, each airline has introduced various management techniques for securing international competitiveness and operational efficiency in order to cope with the uncertainty in air transport industry. The world leading LCCs, such as Ryan air, easyJet and Southwest, have changed their traditional business models by increasing operation to primary airports, diversifying operating routes, making strategic alliances with FSCs or other LCCs, increasing the operations on the mid or long distance routes, expanding ancillary revenues, etc. As Korea's air transport industry is confronting with intense competition, our LCCs are requested to adjust to this new challenging situation. As the world leading LCCs did, Korean LCCs are recommended to adopt new business models such as restructuring of the air transport industry through M&A, operating more flexibly in terms of frequency or route, launching of services to primary airports, making strategic alliances with foreign FSCs, developing of 4th or 6th traffic demands, etc.

Empirical Study of Multimodal Transport Route Choice Model in Freight Transport between Korea and Mongolia

  • Ganbat, Enkhtsetseg;Kim, Hwan-Seong
    • Proceedings of the Korean Institute of Navigation and Port Research Conference
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    • 2015.10a
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    • pp.241-242
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    • 2015
  • According to globalization of world economy on distribution and sales, logistics and transportation parts are play important role. Especially, it important to know and study how to choose right transport route and which is the key factor of route choice model in multimodal transport system. Thus this study aims to consider 4 main factors: cost, delivery time, freight, and logistics service factors additionally dividing into 13 sub factors and object is forwarders between Mongolia and Korean freight transport. The survey is based on AHP through interview with company officials. The paper provides empirical insights about current status of Mongolian forwarders and difference of the important factors between transportation modes. Result shows that time factor is role factor to choose transport route and then cost factors. Additionally, this study shows 2 different route choose factors between air transport and shipping transport forwarders.

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Development of Air Cushion Transporter Using the Pneumatic Floating Pad (공기부양판을 적용한 에어쿠션 트랜스포터의 개발)

  • Jung, Hyunmok;Hong, Junhee;Yun, Dongwon;Park, Heechang;Kim, Byungin;Lee, Sunghwi
    • Journal of the Korean Society of Manufacturing Technology Engineers
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    • v.25 no.5
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    • pp.338-344
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    • 2016
  • Recent trends in transport system for carrying heavy freight are that demands of a high efficiency, economic efficiency, convenience and safety are increased. Conventional transport systems were poor in transport efficiency and economic efficiency. And Safety problems can be caused to products and workers. In order to overcome these problems, an air cushion transport device with a high-pressure air is required. The air cushion transporter is a device for reducing the frictional force of floor surface and lifting the heavy freight by spraying the high-pressure air to the floor. Technology to float and transfer freight using high-pressure air is very convenient and initial cost can be reduced. In this paper, the study on the levitation performance and transport efficiency of air cushion transport system is conducted and verified that air cushion transporter has a significantly higher transport efficiency than conventional heavy handling systems.

A study on Air and High Speed Rail modal According to the Introduction of Low Cost Carrier Air Service (저비용항공 진입에 따른 항공과 고속철도수단 선택에 관한 연구)

  • Lim, Sam-Jin;Lim, Kang-Won;Lee, Young-Ihn;Kim, Kyung-Hee
    • Journal of Korean Society of Transportation
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    • v.26 no.4
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    • pp.51-61
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    • 2008
  • Most of Korea's 15 local airports, with the exception Jeju, Gimpo and Gimhae airports, have been several billion Won in the red each year. It has been reported that one of the causes of the poor financial performance is inaccurate air traffic demand predictions. Under the situation, the entry of low-cost carrier air service using turbo-prop airplanes into the domestic airlines market gets a wide range of support, which is expected to promote the convenience of consumers and help to activate local airports. In this study, the authors (1) suggest a high-speed transport demand model among existing airlines, Korea Train Express (KTX) and low-cost carrier air service; (2) try to make low-cost air carrier demand predictions for a route between Seoul and Daegu through a stated-preference survey; and (3), examine possible effectiveness of selected policy measures by establishing an estimation model. First, fare has a strong influence for mode choice between high-speed transport modes when considering the entry of low-cost carrier air service between Seoul and Daegu. Even low-cost carrier air service fare is set at 38,000 won, which is considerably low compared with that of KTX, in the regions where the total travel time is the same for both low-cost carrier air service and KTX, the probability of selecting low-cost carrier air service is 0.1, which shows little possibility of modal change between high speed transportation means. It is suggested that the fare of low-cost air service between Seoul and Daegu should be within the range of from of 38,000 to 44,000 Won; if it is higher, the demand is likely to be lower than expected.

The Prospect of the Development of Sea&Air Transportation Routes around the Yellow Sea Regions (환황해권 Sea&Air 수송의 발전 가능성 전망)

  • Kim, Tae-Seung;Won, Dong-Woo;Yun, Jung-Won
    • Journal of Korea Port Economic Association
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    • v.22 no.3
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    • pp.189-207
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    • 2006
  • As the development of Northeast Asian logistics hub becomes one of the national agenda for further development, the sea&Air transport around the Yellow Sea regions has drawn attention of many scholars and government officials. The Sea&air transport is a mode of transportation combining the advantage of high-speed in air transport with the advantage of low-price in sea transport. Hence the sea&air aims at a niche market between air and sea. This paper reviews the possibility of development of the sea&air transport in the aspects of competitiveness over other modes, future demand condition, and the change of the technology and transport environment. The result is that the sea&air is competitive in the aspect of time as well as cost, and sustainable in the aspect of future demand condition. But, it is not stable in the aspect of the conditions of technology or transport demand. Especially, the progress of air transport technology which is aiming at the door-to-door transport among mid- and small- cities, and the rapidly increasing strategic alliances of international airlines with Chinese airlines for the market of China will undermine the stability of the sea&air transport seriously As alternatives, this paper proposes the 3-stage development strategy of sea&air transport. First, at the stage of transshipement, the development of high speed vessels to reduce the time crossing the Yellow Sea and the proactive marketing strategy to induce Chinese-owned products should be emphasized. Second, the value added logistics activity which will secure the demand of the sea&air transport should be developed. Third, demand creation by developing the SCM hub in Incheon is final goal for the logistics hub strategy as well as the sea&air transport.

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China Effect and Sea/Air Intermodal Transport in Korea (중국효과와 해상/항공 복합운송)

  • Kim, Chang-Beom
    • Journal of Korea Port Economic Association
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    • v.23 no.2
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    • pp.25-40
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    • 2007
  • The sea/air intermodal transport is a time-saving and cost-saving transport for cargo shipments. In reaction to a recent growth of high value-added products in China, the volume of sea/air intermodal transport in Korean airport has been increasing continuously. This paper treats the situation, the system, and the possibility of sea/air intermodal transport, which are emerging as an alternative to solve the logistics problem related to the increase of international air cargo demand in China. Also, several strategies are considered to develope Korea into intermodal transport hub including the value added logistics activity which will secure the demand of sea/air intermodal transport.

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Estimations of modal shift from maritime and air transport to surface transport between China and South Korea : focusing on China's three northeast provinces. (한중간 해상에서 육상으로 화물운송전환수요의 추정 : 동북 3성 지역을 중심으로)

  • Hong, Sung-Wook;Lee, Soon-Cheul
    • Proceedings of the KSR Conference
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    • 2005.05a
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    • pp.1125-1131
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    • 2005
  • This study is based on the assumption of surface transport linkages between Korea and China. Active economic cooperation between South Korea and North Korea are expected within the near future and Russia and China have interested in the land transport linkages in Korean peninsula. How much freight demands between the two countries that has been mainly dependent on air and sea transportation so far may convert the transport mode to surface transportation are estimated. Particularly, freight demands between South Korea and China's three northeast provinces are focused. The sensitivity analysis depends on transport time and transport cost changes is included. The modal shifts is estimated to be more sensitive to the changes in transport costs than those in transport time, suggesting the importance of transport costs of rail and road. Despite the dearth of data on the surface transport operation in North Korea, the attempts made in this study to estimate the demand conversion are hope to provide reference points for potential effects of the rail and road transport connections between China and the Korea peninsula before our discussions expand to the establishment of freight transport network of the northest Asia and, moreover, the Eurasian continent.

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Analysis and Prospect of Export Trend of Air Cargo Market before and after COVID-19

  • Kim, Young-Rok;Lim, Jae-Hwan;Choi, Yun-Chul
    • Journal of the Korean Society for Aviation and Aeronautics
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    • v.28 no.4
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    • pp.164-170
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    • 2020
  • Recently, the aviation industry faced a major crisis due to the impact of COVID-19. However, despite the sluggish passenger transportation, the cargo transportation sector is relatively maintained or increasing depending on the item. In this study, we will look at the trends before and after COVID-19, focusing on the cargo export field, which is a concern of the aviation industry. First, it analyzes the entire air cargo and then analyzes the trends of each item and country in detail. In particular, it examines the process of changes in air transport costs, which increased significantly immediately after COVID-19, and conducts future trends and prospects in the cargo export field. As a result of the study, some characteristics of air cargo exports before and after COVID-19 were found in an analysis by item and country, and transportation costs varied according to route distance.