Proximity to China key to success
Contributors are not employed, compensated or governed by TD, opinions and statements are from the contributor directly
Performance data released by Aviation Week Intelligence Network ranks Asian carriers among the world’s top performing airlines as they directly benefit from their proximity to the burgeoning Chinese market. The ‘Top Performing Airlines” (TPA) study puts Singapore Airlines at the top of the mainline category, closely followed by Cathay Pacific, while Cebu Pacific tops the competitive ranking in the budget and niche market. Moreover, the Asian carriers perform even better in the ‘most improved” rankings which were topped by Korea’s Aseana Airlines and Chinese Southern Airlines. Asian operators are rising to prominence, along with the Latin American carriers, because these regions exhibit the fastest growing, while European carriers lag behind as demand stagnates. Among the Asian carriers, it is apparent that those most capable of tapping the Chinese growth potential are performing better. ANA and Taiwan’s China Airlines also feature among the top performers, with analysts saying both are increasingly reliant on the Chinese market. ANA particularly benefits from high demand on its China flights and these services helped buoy the airline’s international operating revenues during the disastrous second quarter.TPA adviser Craig Jenks told Aviation Week how more emphasis is being placed on the Chinese market and that Taiwanese companies were in a position to act has hub carrier to the mainland. The theory is further supported by Boeing which expects the industry to grow three times faster in Asia than in North America. China is also taking over from Japan as the primary source of intraregional traffic. Meanwhile, China’s domestic carriers lag someway behind the field because their brand value, product and service are inferior to other regional operators. But it is only a matter of time before this changes as all three major Chinese carriers are benefiting fro intensive cash injections as the Chinese government look to challenge foreign stalwarts.
Comments are closed.