Tuesday, January 22, 2013

Astronomical Impacts Of an Expanding International Airline Market


               Emergence of airline growth internationally could be setting the stage for major changes to commercial aviation, as we know it. The introduction of new money and markets could inject new life into airline operations in America and Europe, or could prove to be costly and detrimental hurdles. At stake are potential market growth opportunities, commercial aviation safety, and key cultural and political relationships. If constructive business relationships are developed as new international players emerge, we can expect to see a steady improvement in all three categories.

                As Chinese, Indian, African, and Middle Eastern airlines are introduced and developed, more opportunity for growth is also developed for existing airlines. These new entities are the result of an expanding global marketplace that has created new users of the aviation industry. The Brooking’s Institution released the results of a study of passenger numbers in the United States from 1990 to 2011 that showed that international flights had a 117% passenger growth as opposed to a 53% increase in domestic passengers (Jones, 2012). These statistics show a growth in international travel in the infancy of the global economic changes. This growth will almost certainly increase faster in the coming years. Constructive airspace and airport use and development agreements could lead to access to twice as many commercial airline users, as well as economic partnerships from sources not considered in the past. Poor international relationships could lead to big competitive troubles, considering that Asia is the largest economy in the world. Healthy relations with international markets also allow for constructive communications related to standards and quality, which is vital to commercial aviation safety.
               There is no doubt that safe operation is paramount to the success of commercial aviation. In a recent interview with a writer from Aviation Week & Space Technology, Director and CEO of the International Air Transport Association, Tony Tyler, reported that the aviation industry was on track to achieve record safety performance for the third consecutive year in 2012. Mr. Tyler also mentioned that some regions were not performing to these standards (Warwick, 2012). This is something that many international travelers may not give much thought to. Once out of America, which airlines are safe? The FAA produces an annual list that can be found on its website that places countries into one of two categories, countries that meet International Civil Aviation Organization (ICAO) safety standards and those that do not. Unfortunately, it is not always easy to determine from which country an airline is based. The European Union publishes a list of airlines that do not meet ICAO standards as a tool for its citizens (Stoller, 2011). The EU’s list includes at least forty Middle Eastern airlines alone, and its 65 pages are noticeably more comprehensive than the one page FAA counterpart is. The development of constructive international business relationships in commercial aviation allows for clear lines of communication of safety expectations and responsibilities. If these boundaries and expectations are not established, the aviation industry safety trend could take a dramatic turn as more airlines develop internationally. More money and better safety are not the only benefits that can come from these constructive business relationships. These relationships can potentially bring world peace.

                From Innovation to industry development, aviation has always been pushing the boundaries of what humanity can achieve. It really does not surprise me that this industry may be one key element in really beginning to help international borders and cultural differences begin to fade away. The global market has made it easier for everyone to see that we are all striving for the same goals, and if we work together, we will be far more successful. I would prefer to avoid detailing the possible results of competition driving our cultures further apart.  

Sources



Jones, C. (2012, December 05). Airlines, airports cater to international travel. Retrieved January 22, 2013, from USA TODAY: http://www.usatoday.com/story/travel/flights/2012/12/02/airlines-growth-abroad/1738099/

Stoller, G. (2011, June 17). How safe is that foreign airline? Retrieved January 22, 2013, from USA TODAY: http://travel.usatoday.com/flights/story/2011/06/How-safe-is-that-foreign-airline/48517212/1

Warwick, G. (2012, December 31). IATA Chief's Overview Of Airline Sector. Retrieved January 22, 2013, from Aviation Week & Space Technology: http://www.aviationweek.com/Article.aspx?id=/article-xml/AW_12_31_2012_p96-530265.xml

1 comment:

  1. Jay, I really like your post because it is very similar to mine in nature. I think that international development of the aviation industry is a great thing and that every country involved can benefit from one another in the long run. Like you said though, it could prove to be a good or bad thing. It will be interesting to see how it plays out since it will affect our future, as aviation professionals, and there is no signs of the foreign industries slowing down. I also find your point of bringing world peace to be very interesting. I have never thought of this before with countries coming closer together due to international air travel. I believe you pose an interesting viewpoint with that, and I believe international travel does have the possibility to do this by opening doors and leading to further exposure and education through actually being able to visit other countries more easily.

    ReplyDelete