Passenger and Cargo Based Business Model

Running head: PASSENGER AND CARGO BASED BUSINESS MODEL 1
Passenger and cargo based business model
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PASSENGER AND CARGO BASED BUSINESS MODEL 2
Benefits for opting for a passenger and cargo based business model for better mobility
within an airport
The demand for air transport continues to develop and as International Air Transport Association
(IATA) (2015) states, there is a lot which needs to be done to get ready for the seven billion
passengers anticipated to take the skies by the year 2034. In several airport firms around the
globe, travelers are waiting in long line ups in order to fill airport official procedures before
commencing their journey. Almost 90% of them intent to be checked-in and be acquainted with
their seats in the plane at the comfort of their houses. Others, around 50% of passengers globally,
are in need of more self-service options in order to quicken their voyage through airports (Félix,
2015). Basically, in present day’s digital world airplane travelers want to take control of their
entire journey and keep away from long queues in the airport. They are looking for such controls
not just for checking-in, but as well at other airport process points. Therefore, airport firms are
encountering augmented pressure from both passengers and airlines to offer faultless journeys
through their amenities. In order to fulfill customer demands, most of the airports worldwide
have already figured out the need to take in hand this transformation by opting for passenger and
cargo based business model for better mobility within their airports.
Nowadays, airport industry is facing a competition. Some of the areas of competition within the
airport industry include competition with other modes, provision of services to airlines, global
competition and so forth (Forsyth, Gillen, Muller, & Niemeier, (Eds.). (2016). Airports are in
competition to bring on board and keep hold of as many airlines as possible. They not only offer
direct aeronautical incomes, but also their amenities attract passenger and cargo shippers which
set off the airport business. Nevertheless, it has been noted that airlines are using diverse
business models and they can utilize an airport with diverse sorts of operations. Those airports