• Journal of Korean Institute of Industrial Engineers
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• v.37 no.4
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• pp.311-322
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• 2011

The core of this research studies the strategic alliance of airlines, container shipping liners, and port operators that have shown successful results through the recent differentiated strategic Alliance Network, although a difference of scale exists between these firms and the small and mid-sized International Logistics firms, but because of the worldwide traditional Alliance Network of International Logistics firms, HTFN's(High Tech Forwarder Network) half hearted attitude and the small scale alliance of the small and mid-sized International Logistics firms organized in 1998 cannot breakthrough the present strenuous situation. And these results, creating an attempt to save our country's International Logistics Industry which have fallen into depression, suggests an awakening of a new strategy based on specialized nationals innovative IT-which does not exist in the world market-by categorizing our country's small and mid-sized International Logistics firms which are active worldwide.

• The Korean Journal of Air & Space Law and Policy
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• v.32 no.1
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• pp.83-138
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• 2017

Korea-China FTA entered into force on the 20th of December 2015, and one year elapsed after its effectuation as the FTA with China, our country's largest trading partner. Therefore, this study looks at the trends of air transport trade between Korea and China, and examines the contents of concessions to the air transport services sector in Korea-China FTA, and analyzes the impact on the air transport sector by Korea-China FTA, and proposes our country's aviation policy direction in order to respond to such impact. In 2016 the trends of air transport trade between Korea and China are as follows : The export amount of air transport trade to China was 40.03 billion dollars, down by 9.3% from the last year, and occupied 32.2% of the total export amount to China. The import amount of air transport trade from China was 24.26 billion dollars, down by 9.1% from the last year, and occupied 27.7% of the total import amount from China. The contents of concessions to the air transport services sector in Korea-China FTA are as follows : China made concessions to the aircraft repair and maintenance services and the computer reservation system services with limitations on market access and national treatment in the air transport services sector of the China Schedule of Specific Commitments of Korea-China FTA Chapter 8 Annex. Korea made concessions to the computer reservation system services, selling and marketing of air transport services, and aircraft repair and maintenance without limitations on market access and national treatment in the air transport services sector of the Korea Schedule of Specific Commitments of Korea-China FTA Chapter 8 Annex. The impact on the air transport sector by Korea-China FTA are as follows : As for the impact on the air passenger market, in 2016 the arrival passengers of the international flight from China were 9.96 million, up by 20.6% from the last year, and the departure passengers to China were 9.90 million, up by 34.8% from the last year. As for the impact on the air cargo market, in 2016 the exported goods volumes of air cargo to China were 105,220.2 tons, up by 6.6% from the last year, and imported goods volumes from China were 133,750.9 tons, up by 12.3% from the last year. Among the major items of exported air cargo to China, the exported goods volumes of benefited items in the Tariff Schedule of China of Korea-China FTA were increased, and among the major items of imported air cargo from China, the imported goods volumes of benefited items in the Tariff Schedule of Korea of Korea-China FTA were increased. As for the impact on the logistics market, in 2016 the handling performance of exported air cargo to China by domestic forwarders were 119,618 tons, down by 2.1% from the last year, and the handling performance of imported air cargo from China were 79,430 tons, down by 4.4% from the last year. In 2016 the e-commerce export amount to China were 109.16 million dollars, up by 27.7% from the last year, and the e-commerce import amount from China were 89.43 million dollars, up by 72% from the last year. The author proposes the aviation policy direction of Korea according to Korea-China FTA as follows : First, the open skies between Korea and China shall be pushed ahead. In June 2006 Korea and China concluded the open skies agreement within the scope of the third freedom and fourth freedom of the air for passenger and cargo in Sandong Province and Hainan Province of China, and agreed the full open skies of flights between the two countries from the summer season in 2010. However, China protested against the interpretation of the draft of the memorandum of understanding to the air services agreement, therefore the further open skies did not take place. Through the separate aviation talks with China from Korea-China FTA, the gradual and selective open skies of air passenger market and air cargo market shall be pushed ahead. Second, the competitiveness of air transport industry and airport shall be secured. As for the strengthening methods of the competitiveness of Korea's air transport industry, the support system for the strengthening of national air carriers' competitiveness shall be prepared, and the new basis for competition of national air carriers shall be made, and the strategic network based on national interest shall be built. As for the strengthening methods of the competitiveness of Korea's airports, particularly Incheon Airport, the competitiveness of the network for aviation demand creation shall be strengthened, and the airport facilities and safety infrastructure shall be expanded, and the new added value through the airport shall be created, and the world's No.1 level of services shall be maintained. Third, the competitiveness of aviation logistics enterprises shall be strengthened. As for the strengthening methods of the competitiveness of Korea's aviation logistics enterprises, as the upbringing strategy of higher added value in response to the industry trends changes, the new logistics market shall be developed, and the logistics infrastructure shall be expanded, and the logistics professionals shall be trained. Additionally, as the expanding strategy of global logistics market, the support system for overseas investment of logistics enterprises shall be built, and according to expanding the global transport network, the international cooperation shall be strengthened, and the network infrastructure shall be secured. As for the strengthening methods of aviation logistics competitiveness of Incheon Airport, the enterprises' demand of moving in the logistics complex shall be responded, and the comparative advantage in the field of new growth cargo shall be preoccupied, and the logistics hub's capability shall be strengthened, and the competitiveness of cargo processing speed in the airport shall be advanced. Forth, in the subsequent negotiation of Korea-China FTA, the further opening of air transport services sector shall be secured. In the subsequent negotiation being initiated within two years after entry into force of Korea-China FTA, it is necessary to ask for the further opening of the concessions of computer reservation system services, and aircraft repair and maintenance services in which the concessions level of air transport services sector by China is insufficient compared to the concessions level in the existing FTA concluded by China. In conclusion, in order to respond to the impact on Korea's air passenger market, air cargo market and aviation logistics market by Korea-China FTA, the following policy tasks shall be pushed ahead : Taking into consideration of national air carriers' competitiveness and nation's benefits, the gradual and selective open skies shall be pushed ahead, and the support system to strengthen the competitiveness of air transport industry and airport shall be built, and entry into aviation logistics market by logistics enterprises shall be expanded, and the preparations to ask for the further opening of air transport services sector, low in the concessions level by China shall be made.

• Journal of the Korean Geographical Society
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• v.39 no.6 s.105
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• pp.955-970
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• 2004

With the flow of globalization, world aviation markets are showing growing trends toward liberalization, deregulation, and privatization. At the same time, also apparent is a strong trend toward regionalism on aviation markets to realize open skies at the regional level. This research examines the recent trend of regionalism in the world aviation market from a political economic perspective, taking a single European aviation market as an example. The results show that the creation of a single European aviation market is the EU's strategic response against the US to enhance the European aviation industry's competitiveness. More specifically, the results show that the European countries are creating a single European aviation market in order to stand against the US' so-called 'divide and nile policy' and 'encirclement strategy' and to make their airliners to have competitive advantages over the US airliners on the lucrative North-Atlantic air routes. Recently, the single European aviation market is expanding by including the Mediterranean and Balkan states to pursue Pan European aviation cooperation and to develop European Common Aviation Area so that it can continuously enhance its negotiating leverage against external markets. The results imply that it is urgent for the Northeast Asian countries to create their own regional aviation bloc to develop their aviation industry and to increase their negotiating power against external countries.

• 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.

• Journal of Distribution Science
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• v.14 no.5
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• pp.51-57
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• 2016

Purpose - In the year of 2015 and 2016, one of the items that got attention in CES was a drone. It has been 100 years since a drone emerged, but most were used for military purposes. As its use became diverse as of 2010, it got attention of the general public. In Korea, it was in 2011 that a drone was known to the public through an aerial video shooting for television program. This study tried to come up with suggestions by comparing domestic with overseas cases, and tried to consider the related technologies and systems with applying the role of drones in logistics service. Research design, data, and methodology - The overseas cases were regarded as drone's logistical purpose. The Prime Air service by US Amazon is still not commercialized and under pre-testing due to Federal Aviation Regulations, although it started in 2013. In Germany, DHL succeeded in delivering service testing which is called Parcelcopter, but it is not commercialized yet. Other than these, there are more attempts to prepare logistics service in China with Taobao, in France with Geopost's test, and in Africa. In Korea, CJ Korea Express tested delivery with a self-developed drone Results - In order to study for utilizing drones for logistics as the prerequisites, some overseas and domestic cases, which are currently considered, were reviewed. Also, the technologies and institutional requirements to commercialize drones for logistical purpose were reviewed. The reasons for using drones in logistics is to ensure the price competitiveness by reducing cost. The empirical test also will be needed because drone pilot areas are designated by ministry of land, infrastructure and transport. Conclusions - In order to utilize drones in logistics and foster the industry, this study would like to suggest the followings. First of all, size of drones for logistics needs to be fixed and their operating system should be standardized. Centralized investment resources are needed through standardization to ensure the market occupancy. Secondly, it is necessary to get the converged businesses that do research, develop and commercialize drones with the investment of private sector. Example can be found in Korea aerospace Industries. We can respond to the rapid growth of the market with intensive investing by integrating the private sector investment. Thirdly, institutional arrangements are needed to be established quickly. In the case of high-technologies like drones, institutional support often does not follow the rapid development of the technology. The problems can be found in securing drones-only airspace, creating drone-specialized pilot's license, matters related to remote controller and complementary regulations for drones in Aviation Act. If these regulations are not prepared or complemented at the right timing, technologies cannot be commercialized even though the development is completed. Fourthly, there is a need to secure the transparency regarding possible privacy and personal information protection problem while operating drones. Finally, in order to foster this new industry, government should focus on supporting R&D more in the long term than short term outcomes.

• Journal of the Korea Society of Computer and Information
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• v.18 no.5
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• pp.103-111
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• 2013

This paper provide a framework for an IGILMS(internet-based global integrated logistics management system) which can access and mediate cargo transportations among small- and medium-sized domestic/international logistics corporations as regards cargo, registration and search for space, public tender and negotiation, contract, payment and safety-guarantee, transportation through the internet, wireless communication means, or smart phone etc. In addition, we describe a model to provide customized services in the B2B e-market for IGILMS and the structure and the control of its fulfillment process, and provide technical architecture of the IGILMS for an internet-based global logistics management system. To validate an efficiency of the proposed system, we develop a simulation model and analyze the performance of the proposed system.

• Journal of Korea Trade
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• v.24 no.3
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• pp.20-36
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• 2020

Purpose - As the global product network expands through both internationalization and diversification of the multimodal transportation system, corporate strategies have shifted to emphasize the importance of a high value-added international logistics system. To guide policies and strategies to attract relevant industries, this study aims to analyze the location competitiveness of regional logistics distribution center to serve Northeast Asia. Design/methodology - Multi-criteria techniques are considered to offer a promising framework for evaluating decision-making factors. This paper employed an analytic hierarchy process to analyze the hierarchal structure of determinants for selecting the location of a regional logistics distribution center. Adopting both qualitative and quantitative evaluations, this study suggest political implications for a regional logistics distribution center development, such as the direction of political support, service differentiation and infrastructure development. Findings - This study developed a location competitiveness evaluation model, based on the case study of the major port-cities in Northeast Asia. Evaluation model incorporates five factors underpinning 17 components extracted using factor analysis. The results revealed that the logistics factor is the most significant factor for evaluating the competitiveness of a regional logistics distribution center. The remaining factors were market, costs, and services environment. Comparing qualitative and quantitative evaluations, results provide useful insights for a regional logistics distribution center development in Northeast Asia. Originality/value - This study revealed differences between qualitative and quantitative evaluations. The finding implies that prior works on evaluation models of competitiveness has not successfully measured the gap between quantitative data and expert' evaluations. To overcome this limitation, this paper considered both actual data such as actual distance, cost, the number of companies located, and expert opinions.

• Journal of Korean Society of Transportation
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• v.32 no.2
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• pp.162-169
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• 2014

This study dealt with the airport network applying the Structural Equivalence which has used in the field of social science network. It analyzed the size of aviation market and trade exchanges. The results between blocks through the Convergence of Iteration Correlation are as follows; Block 1 (major hub airport) and Block 5 (Australian and New Zealand airports) have a strong relationship between other blocks. Block 3 (CIS region) and Block 7 (Malaysia and Indonesia) have been indicated as relatively low degree. The structural equivalence analysis can be grouped as a small number of blocks with large and complex networks and also presented a significant result according to the nature of the relationship between aviation market and the level of trade exchanges.

• Journal of Korean Society of Transportation
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• v.26 no.5
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• pp.117-127
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• 2008

After the deregulation of the aviation market in the United States in 1978, airlines took advantage of the possibilities of the liberalized market and reorganized their networks. Then, the hub-and-spoke networks became widely used in the aviation market. The framework of hub-and-spoke network made it feasible to amplify flight networks. Thus, a number of airlines were able to fly to more destinations than ever before through the networks. Amplification of networks can be implementing through the transfer of passengers, transshipment of cargo, or both most researches have been concentrated on the passenger aspect at airports worldwide. Air cargo, however, has become one of the most significant areas at hub airports to keep their leading position in terms of the provision of services and handling volumes. This paper investigates the connectivity of airfreight networks as the temporal concentrations in current network at Incheon International Airport. In order to evaluate airline flight schedule effects to stimulate hubbing at an airport, the indirect connectivity can be considered to be the number of direct frequencies, the minimum connecting times and the quality of the connection determine indirect connectivity. Therefore the connectivity of freight transshipment depends on both the quality of the connection at the hub airport and the quality of the indirect flight compared to the direct flight. In addressing these issues, this paper analyzes the connectivity of flight schedules using a temporal wave-system structure and estimates the degree of connectivity and quality of connectivity applying the NETSCAN model.

• The Korean Journal of Air & Space Law and Policy
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• v.19 no.2
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• pp.97-136
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• 2004

The Northeast Asian air cargo market has expanded tremendously as a result of the opening up of the Chinese market. The importance of the Asia-Pacific region in the global air transport has also increased. The exchange of human and material resources, services, and information in Northeast Asia, which is expected to increase in the near future, requires that the airlines operating within this region adopt a more liberalized approach. This paper introduced alternatives which can be applied to the Northeast Asian airlines industry so as to bring about the integration of regional air transport: First, this paper found a need for individual Northeast Asian nations to alter their policies towards the airlines industry. Second, each country should further liberalize their respective domestic air transport. Third, there is a need for freer air service agreements to be signed between the nations of Northeast Asia. Fourth, the strategic alliances between the airlines operating in Northeast Asia should be further strengthened. Fifth, this liberalization process should be carried out in an incremental manner, beginning with more competitive airports and routes, or with less-in-demand routes. Sixth, there is a need for a shuttle system to be put into place between the main airports in China, Korea, and Japan. Seventh, these three nations jointly develop aviation safety and security systems that are in accordance with international standards. Eighth, the liberalization process of the aviation industry should be undertaken in conjunction with other related fields. Ninth, organizations linking together civil aviation organization in the Asia-Pacific area should be formed, as should each government linking together. By doing so, these countries will be able to establish regular venues through which to exchange opinions on the integration and liberalization of the air cargo market so as to induce the gradual liberalization of the actual market. The liberalization of the air transport in Northeast Asia will prove to be a daunting task in the short term. However, if the Chinese airlines continue to exhibit continuous growth and Japanese airlines are able to complete their move towards a low-cost structure, this process could be completed earlier than expected. Over the last twenty five years the air transport has undergone tremendous changes. The most important factor behind these changes has been the increased liberalization of the market. As a result, rates have decreased while demand has increased. This has resulted in turning the air transport industry, which was long perceived as an industry in decline, into a high-growth industry. The only method of increasing regional exchanges in the air transport is to pursue further liberalization. The country which implements this liberalization process at the earliest date may very well emerge as a leading force within the air transport industry.