Airport Expansion Plan

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Airport Expansion Plan

Airport Expansion Plan


As airport delays continue to lengthen. The Air Transport Association reports that the amount of time per delay rose sharply over the last few years. However, the problem appears to be a mask, because a delay has become such a normal operational feature of the air traffic control system, airlines have simply built additional time into their flight schedules to accommodate it.

Given the delay and expansion problems that already exist, anticipated growth, without needed expansion of capacity in the air and on the ground, will simply reach a point at which it cannot be accommodated. Historically, the growth of aviation has outpaced overall economic growth. Every forecast of aviation activity predicts steady growth well into the next century. According to a U.S. Department of Transportation stud, U.S. domestic and international passengers have increased by 52% during 2006. For the next ten years the FAA forecasts that annual growth of revenue in passenger miles will average 4.2%. Total aircraft movements are also expected to dramatically rise.

Many people believe we are heading toward an airport expansion crisis. In reality, expansion is an opportunity for airports and airlines. In the 21st century, the use of secondary and underused airports is the key to freeing expansion at major airports. As a result of increased tourism, business, and shipping, the demand for air transport worldwide is increasing at a higher rate than the entire system can cope with. Demand for air travel is expected to double by 2010, and air cargo is expected to continue its increase through 2007 (Dutton 2007 p 52).

Start-up Summary

The airport' start-up costs will include all the equipment needed for the home-based office, legal fees, website creation, and start-up advertising.

The office equipment will be the largest chunk of the start-up expenses. This equipment includes a computer system, fax machine, office supplies. The computer should have at least a 500 megahertz Celeron/ Pentium processor, 64 megabytes of RAM (preferably 128), 6 gigabyte hard drive, and a rewritable CD- ROM for backing up the system (Brenchley 2003 pp 145-1). A DSL line will need to be set up as well. The airport will also need some Nextel phones. The advantage of the Nextel phones is it allows two way communications from the base to the cars over cellular frequencies but at a drastically reduced rate.

The office will need some furniture such as a desk, file cabinets. The legal fees are used for the formation of the business as well as for reviewing/generating standard client contracts. In the UK, domestic travel is growing at a slower rate due to the use of e-mail and teleconferences as alternatives to business trips, but demand for international travel continues to soar.

Following the Air Deregulation Act of 1978, carriers reorganized their structure in a way that offered them maximum market connection for minimum unit cost. They developed hub-and-spoke operations based in Chicago, St. Louis, Dallas-Fort Worth, Cincinnati, Atlanta, and other ...
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