• The Korean Journal of Air & Space Law and Policy
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• v.22 no.2
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• pp.135-154
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• 2007

The 3 Northeast Asian countries of Korea, Japan and China have been stricter to each other than to other countries of out-region in air liberalization. The prominent reason of this intra-regional protective policy in air transportation seems to be the difference in competitive strength of their national flag carriers. As the 3 countries realize the importance of their mutual cooperation in the region, since China grows to be one of the leading economies in the world and the intra-regional trade and visitors increase tremendously, they are now taking the policy of intra-regional air liberalization more vigorously than before. Especially air cargo liberalization is easier than air passenger liberalization because they realize that the development of open economy is based on free flow of logistics regardless of the competitiveness of their national flag carriers. As Korea is the leading country in the region to promote air liberalization, this paper reviews the importance and growing trend of air cargo, analyzes current air liberalization policy between Korea, Japan and China and the initial effects of open sky in the routes of Shandung-Korea, and suggests the new policies of air liberalization to promote free flow of air logistics.

• THE INTERNATIONAL COMMERCE & LAW REVIEW
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• v.26
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• pp.115-141
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• 2005

This study explores how strategic alliance activities are evolving and the factors that impact on the formation and development of airline alliances. Findings show the initiation of regional and more liberalized bilateral, or open skies, agreements have removed some of the impediments to structural changes in international aviation. Airlines in more liberal markets enter into greater numbers and more integrative forms of alliances. Also, airlines, on average, achieve better results of operation if the market is more liberal. Essentially, there is a positive relationship between the developments of alliances and the liberalization of air transport markets. It has been questioned that the US bilateral open skies agreements provide its carriers more access to the global market and countries that do not enter into such agreements with the US risk a loss of traffic. Consequently, open skies agreements may enable carriers who have the freedom to exercise market power to be dominant in the markets. This suggests that regulatory coordination and liberalization of international aviation reinforce each other and should therefore be pursued simultaneously.

• The Korean Journal of Air & Space Law and Policy
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• v.12
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• pp.246-274
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• 2000

This paper discusses the qualification criteria for international hub airport and suggests the strategies for Inchon International Airport (IIA) to be the hub airport in the East Asia. Recently, many East and Southeast Asia countries have invested on large scale international airports like Chap Lak Kok airport, Pudong airport etc.. as Korea have done on IIA. IIA to be open in 2001 will face a serious competition with these airport. Being a hub airport requires geographic proximity. sufficient volume of local traffic. uncongested infrastructure, a good accessibility to surrounding industrial centers. high quality of service to the airline. In order to promote airlines to land at IIA. Korea Government need to establish Open Sky Policy to many countries and national flag carriers of Korea need to be involved in a global alliance. Developing vicinity of IIA as free trade zone will generated more local traffic which makes IIA as more attractive candidate for airlines. The Korea airspace is one of the most restricted area in the world becuase of the national security. which limits civil aircraft maneuvers. The airspace need to be re-structured to exploit the full capacity of IIA.

• Journal of Advanced Navigation Technology
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• v.24 no.3
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• pp.173-183
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• 2020

This research focused on such a passenger sample that used to fly between Incheon int'l airport(ICN) and Dubai int'l airport(DXB) using either a national carrier or gulf carriers because the route between ICN and DXB is one of the international air routes with the toughest competition under the global pressure of open air transport market. Based on the results from the empirical research, this paper proposed a competitive advantage which a national carrier must have to cope with global competition under the open sky policies and implications for sustainable strategies of them. National carrier passengers perceived product benefits had a significant positive effect on price reliability in spite of lower price competitiveness. Following the empirical analysis results, it was proven a national carrier should try to improve product benefit sought by passengers to maintain sustainable competitive advantage in the market against foreign airlines.

• The Korean Journal of Air & Space Law and Policy
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• v.25 no.2
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• pp.139-162
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• 2010

In terms of the international air transport, the open skies policy implies freedom in the sky or opening the sky. In the normative respect, the open skies policy is a kind of open-door policy which gives various forms of traffic right to other countries, but on the other hand it is a policy of free competition in the international air transport. Since the Airline Deregulation Act of 1978, the United States has signed an open skies agreement with many countries, starting with the Netherlands, so that competitive large airlines can compete in the international air transport market where there exist a lot of business opportunities. South Korea now has an open skies agreement with more than 20 countries. The frequent flyer program (FFP) is part of a broad-based marketing alliance which has been used as an airfare strategy since the U.S. government's airline deregulation. The membership-based program is an incentive plan that provides mileage points to customers for using airline services and rewards customer loyalty in tangible forms based on their accumulated points. In its early stages, the frequent flyer program was focused on marketing efforts to attract customers, but now in the environment of intense competition among airlines, the program is used as an important strategic marketing tool for enhancing business performance. Therefore, airline companies agree that they need to identify customer needs in order to secure loyal customers more effectively. The outcomes from an airline's frequent flyer program can have a variety of effects on international competition. First, the airline can obtain a more dominant position in the air flight market by expanding its air route networks. Second, the availability of flight products for customers can be improved with an increase in flight frequency. Third, the airline can preferentially expand into new markets and thus gain advantages over its competitors. However, there are few empirical studies on the airline frequent flyer program. Accordingly, this study aims to explore the effects of the program on international competition, after reviewing the types of strategic alliance between airlines. Making strategic airline alliances is a worldwide trend resulting from the open skies policy. South Korea also needs to be making open skies agreements more realistic to promote the growth and competition of domestic airlines. The present study is about the performance of the airline frequent flyer program and international competition under the open skies policy. With a sample of five global alliance groups (Star, Oneworld, Wings, Qualiflyer and Skyteam), the study was attempted as an empirical study of the effects that the resource structures and levels of information technology held by airlines in each group have on the type of alliance, and one-way analysis of variance and regression analysis were used to test hypotheses. The findings of this study suggest that both large airline companies and small/medium-size airlines in an alliance group with global networks and organizations are able to achieve high performance and secure international competitiveness. Airline passengers earn mileage points by using non-flight services through an alliance network with hotels, car-rental services, duty-free shops, travel agents and more and show high interests in and preferences for related service benefits. Therefore, Korean airline companies should develop more aggressive marketing programs based on multilateral alliances with other services including hotels, as well as with other airlines.

• Journal of Digital Convergence
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• v.9 no.2
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• pp.131-140
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• 2011

As the recent advances in network and wireless communications and semiconductor design and process technologies, our computing platform is rapidly shifting from desktop PCs to mobile devices such as UMPC (Ultra Mobile PC), Tablet PC, and Smartphone. Especially, wide-spreading Smartphones allow a new field of application based on location based services available with an user interface called augmented reality (AR). Therefore, this paper introduces an implementation of AR using various OpenAPls on Android Smartphones. In order to utilize enrich user data in real time, the system integrates with location based social network services also with OpenAPI. These APIs enable third-party developers to make use of rich contents of many portal web sites. The prototype was implemented on the real Android phone, Sky Sirius, and the result shows that it can provide an efficient location based service using AR technology without any constraints on mobile devices; in addition, it connects SNS to AR for sharing user data including photos, videos, and messages based on a specific location.

• 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.

• Journal of Navigation and Port Research
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• v.34 no.7
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• pp.587-594
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• 2010

The positive and negative opinion to cargo demand of Incheon's SAMT in the near future remains cloudy. Considering port and shipping environmental changes and the logistics situation of China which explains the lack of facilities in Chinese airports, the creating of SAMT cargoes of the Incheon region could catches a favorable opportunity to be a logistics hub in the North-East Asia. On the other hand, as open-sky policy and direct-call service has been carried out between China and N.A.(North America), Incheon could cause a loss of competitiveness in SAMT because the enhancement in the aspect of the connectivity of Chinese airlines and shipping lines makes customer sent to last destination their cargoes whenever they want. In the same context, this paper analyses on conditions of domestic and international SAMT and proposes in this uncertainty future forecasting of SAMT of Incheon by scenario planning according to changes in integrated SAMT, measuring the likelihood of final scenario. This study shows the Sea & Air multi-transport volume will have either slight increase or decrease from the current condition. Consequently, RFS expansion and system & service improvement through strong ties with major cities in China will be required in a short run aspect. Nonetheless, we also need to take domestic & international transportation environment into account in the long run.

• Journal of the Korean Society for Aviation and Aeronautics
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• v.22 no.4
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• pp.15-24
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• 2014

Low Cost Carrier(LCC)s in Asia Pacific market are expected to record high growth due to the expansion of Open Sky Policy among Korea, Japan, China and South East Asia. As everybody is aware of, LCC is not only saving flight cost but also creates differentiating business model by reducing unnecessary services such as F&B and in-flight duty free sales services. Booming LCCs in Asian market will cause not only Incheon airport but also other local airports in Korea to compete heavily to attract LCCs. For example, Air Asia Group with more than 200 fleet has expanded its alliance network throughout Asia. Therefore this paper has researched a new business model operating a LCC terminal for the hub airport competitiveness. According to analysis result of case study, it was found out, considering increasing airline demand next decade, Incheon airport and other domestic airports in Korea had better change an existing terminal into a LCC Terminal(LCCT) to differentiate airport services and expand its hub network. That is because of economic feasibility, first of all, of securing hub and spoke networking capabilities with airlines and finally of developing commercial facilities customizing LCC passengers' demand.

• The Korean Journal of Air & Space Law and Policy
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• no.spc
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• pp.137-163
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• 2007

The air market in Asia has already entered upon the age of limitless competition. It means a very important moment in Asia air market. Each Asian country thus has put a lot of effort into a development plan and support to their hub airport. In order to achieve such a plan, first of all we should build closer cooperation system between the two countries Japan and Korea. The Korea and Japan are very fast growing in the northeast countries within the global air transport market. Air passenger and cargo traffic volumes between Korea and Japan have increased dramatically, since the 1990s. In response to such a trend, both countries have opened new airports and expanded existing facilities in the hopes of laying claims to the main international hub airport in Asia. Apart from the trend, air transportation between Korea and Japan's metropolitan areas is the only transportation in substance, even if they are located very closely in geographical position. The air transportation between the two countries shows that it is necessary to get fast and more convenient because of the economic and cultural interchange and exchange concentrated on the metropolitan areas, and that will promote the economic growth of Korea and Japan. However, within the air transportation industry field, there have no sufficient seats/slots to supply the air demand from the capital cities of each country, as well as no counterplan for some problems regarding capacityand sustain ability of metropolitan airports. Thus, it is necessary for us to consider in all aspects and solve them to improve air transportation between Korea and Japan. This paper is to try to demonstrate this matter and from all angles, that is, in legal and political aspects, facilities and given environmental conditions and cooperation between Korea and Japan. I think that it is indeed a great necessary and convenient for many Korean and Japanese tourists to conclude a new 'Open Sky Agreement' between Japan and Korea in order to the prepare the increase of the shuttle flight between Haneda-Gimpo and opening of air route newly for shuttle flight between Haneda and Cheongju as well as opening of air route for shuttle flight between Haneda-Shanghai Hongqiao International Airport and Beijing International Airport for the 2008 Beijing Olympic Games. Furthermore it is a great desirable thing for us to conclude a new 'Open Sky Agreement' in cooperation reciprocally among the Japan, China and Korea for opening the new air route by the shuttle flight.