How the classical European airplane companies could still be competitive in today austere environment?
This report has underlined the main obstacles that prevent European companies growing. We have looked how companies can still be competitive.
Before analysing these obstacles, we have first gone back to the evolution of the common transportation policy which has excluded airline transportation field during years.
We highlighted the importance of the airline transportation sector liberation in US. It has created the liberation of airplane transportation sector in Europe. Nowadays European Union is the only one which can deal agreements between European airline companies and foreign companies. European Union and EUROCONTROL have undertaken the construction of the “single European sky” in 2004. It is a package of measures to meet future capacity and air safety needs. This sky shows a huge change in the management of airplane transportation in Europe. Some countries want to continue to keep power on their sky, more precisely on their airport, but they will be lead to change their position because of competition.
Classical European airplane companies face a lot of obstacles. They have to compete with the low cost companies which are numerous in Europe. But these cheap companies don’t mean to be the higher obstacles. The growth of petrol price could generate the disappearance of these companies. High prices represent a huge issue for classical companies too. But they can improve their price or invest in research in order to success to this growth.
In the future, the main issue will be the airport infrastructures lack. More and more people are travelling. Company growth should be follow by airport structures growth in order to be safe.
Other transportation way can be used in ad equation with airplane. Trains can be use for short distances whereas plane could be used for higher distances.
What are the European companies’ actions to face this competitive...