Industry Analysis & Industry Trends
In the five years through 2014, revenue for the Airport industry in China has been growing at an annualized rate of 9.6%, driven by the rapid development of the Chinese economy. Cultural exchange campaigns between China and other countries also contributed to revenue growth. However, growth is expected to slow be below average in 2014, as the continued smogt in large cities like Beijing is severely affecting the operations of airlines nationwide. Competition from high-speed rail is also suppressing demand for airlines, considering its lower price and convenience.
The industry has changed significantly over the past five years.... purchase to read more
Industry Report - Industry Investment Chapter
For every dollar invested in plants and equipment, approximately $1.24 is spent on labor. Major capital requirements for this industry contribute to its relatively high entry barriers.
Capital development projects are one catalyst of economic activity generated by airports, although gaining government approval for new runways and then building them can take a long time. Fixed base assets also have a long lead-time. International airport operators incur large amounts of capital expenditure in providing automated air traffic control and meteorological services, aircraft movement services for runways, taxiways and aprons, and the provision of buildings for handling services and commercial activities... purchase to read more