Transportation Management and Tourism Review PDF

CHAPTER 1: TRANSPORTATION AND Tourism Implies Movement TOURISM  Tourism is defined by World Tourism  It is innate in human nature to travel to Organization (UNWTO) as "activities of...

CHAPTER 1: TRANSPORTATION AND Tourism Implies Movement TOURISM  Tourism is defined by World Tourism  It is innate in human nature to travel to Organization (UNWTO) as "activities of places. People travel for various purposes persons traveling to and staying in places and modes. In the early beginnings, outside their usual environment for not searching for food and hunting were more than one consecutive year for among the reasons for traveling; the leisure, business, and other purposes." mode of travel was by foot. This definition implies that there is a  Today, traveling has become an movement of people from the origin of important human activity that has been tourists to the destination region and the utilized to satisfy human needs. Escaping role of transportation in the industry. from the daily routine, getting a Transportation can easily provide tourists relaxation, acquiring new knowledge, and the fastest way to arrive at their preferred understanding people's way of life are destination. some of the reasons for visiting places. Transport Is a Product of the Travel Industry Along with this, modes of transportation also grew from foot to riding horse  Transportation services such as air and carriages, automobiles, trains, and rail tickets, car rental, motor coaches, and aircraft. ferry services are among the principal  Transportation has become a very products of the travel industry. This significant element in the development requires travel and trade practitioners to of the tourism industry. A basic be familiar with these services (products) understanding of the definition, and facilities offered by these transports. components, and importance of Also, transportation is one of the transportation to the industry is components of a tour package that are paramount to those who will embark on sold by both tour operators and travel the travel and tourism field. agents.  In certain cases, there is an evident What Is Transportation? overlap between components of the  Transportation generally pertains to the travel industry where the transportation activity of transferring goods or people sector also offers package tours or from one point to another destination. It services. For instance, Philippines Airlines clearly explains that it does not sells its domestic tour package called exclusively deliver goods but also people, "palakbayan" or an international tour which reveals the connection between package called "swing round." In transportation and tourism. addition, online reservations of airlines, Transportation has played a significant particularly in the Philippines, do have role in the travel and tourism industry as facilities for passengers to add travel- one of the major operating sectors. related services like hotel booking, transfers, and travel insurance. Different modes of transportation used in the industry: The Quality of Transport Is Important in Travel and Business  Land Transportation  Water Transportation  Transportation service quality is a  Air Transportation significant factor in the tourist experience. Poor transport service quality Importance of Transportation in Tourism can negatively affect the vacation Transportation is an integral component experience of the tourists, while high of the tourism industry that carries tourists to transport service quality could lead to a their desired tourism destination. Badan and satisfactory tourist experience. Therefore, Bhatt (2007) identified reasons transportation is it is essential to maintain and have a vital in the tourism and travel industry: quality transport service. Components of Transportation System coaches. This element is also called the "carrying unit," which is the most Transportation systems consist of the following: essential element of the transport system Surface (Dileep, 2019). Surface transportations include land and Terminal water transport.  It is a built structure that provides  Land transport grew rapidly with an passengers with smooth transfers from increase in rental cars and motorcoaches, and to major modes of transportation as well as the ownership of automobiles. such as airlines, buses, and ferries. This type of transport provides easy According to Rodrigue and Slack (n.d), a access to the visitor attractions. A point- terminal may also be considered a point to-point pick-up and drop-off are some of interchange within that same mode of of the advantages of utilizing car or transport. For example, a passenger from motor coach rentals. Manila who opts to travel to Chicago via  Water transport's smooth sailing lies in air transport may have to change planes the wind, but with the advent of steam in Narita, Japan. Also, terminals can be a power, it made water transport far better. "point of transfer" between different This transport allows tourists to see modes. For instance, a passenger arriving visitor attractions that are only accessible at the airport by car can change to air by water. transport at the airport terminal (Dileep, 2019). Air According to Badan and Bhatt (2007), the  Air transport has tremendously terminal performs two functions: contributed to the growth of domestic and international tourism because it 1. Facilitate transfer or interchange decreases the travel time of the tourists. between modes. This mode of transport revolutionized the 2. Consolidate traffic. tourism industry through its high-speed Control and Communication Systems aircraft and comfortable passenger seats and services.  These systems are ways to ensure the safety of the passengers by monitoring Elements of Transportation System the take-off and landing of the aircraft. The transportation system is comprised For land transport, railways use signals as of several elements. According to Sharpley their control systems, while road (2006), these elements contribute to the system transportations are subject to signs such of these different modes of transport. as traffic lights and signs for speed limits as a form of communication and control The Way system. Water transports, like ships or  It can be classified as open like air and sea ferries, have navigation systems to ensure travel; it is free and does not have any a safe and smooth voyage. cost. However, there are charges for the  Through control systems, arrival and artificial works for port and inland departure or even delays can be waterways. Or it can be constructed like monitored. These can be observed in the roads, rails, and canals. According to airport or railway terminals. Such systems Dileep (2019), "the way" can be artificial are very helpful because they can or natural media. Roads and railways are monitor the whereabouts of the examples of artificial media, while airways transportation. Though, in road vehicles, and sea routes are natural media. these are not common but can be possible through tracking systems or The Vehicles global positioning systems (GPS).  They serve as media or units that carry people to their destination. They can be an aircraft, trains, ships, or motor Management and Staff  Differences in the demand for tourism transport can be influenced by  With these various modes of seasonality. For instance, the demand for transportation, it is noticeable that a tourist transport is high in the Philippines number of staff are required for effective during summer, while demand decreases management. Thus, it involves all the throughout the rainy season. Another usual management jobs for an efficient factor is price elasticity. An increase in operation. transportation costs could lead to a decrease in demand. This is commonly CHAPTER 2: TOURISM TRANSPORTATION felt in air transportation (Rodrigue and Nottebom, n.d; Dileep, 2019). Lastly,  As people's interest in traveling grows, some of the transport sectors are transport supply sectors have to go expensive-highly capital-intensive. A beyond their primary service of great amount of investment is needed, transporting their passengers to their like purchasing an aircraft to be used as desired destination. Whatever the air transportation or a ship for cruise transportation may be, these various tourism. transport companies need not only to provide an efficient service, but also to Categories of Tourism Transport create a memorable experience before  According to Rodrigue (n.d.), tourism their passengers arrive at their transport can be categorized into destination. Achieving such may require independent means of travel and mass transportation suppliers to understand travel. Independent means of travel refers more fully the needs and the to tourists who individually book their characteristics of the current transport trips usually by land transport through industry clients. This chapter will present private car ar rentals. It also counts a brief understanding of the different bookings made by an individual on any types of passenger markets and of the mass transportation such as rail, passenger demand characteristics. ferries, cruises, and scheduled flights.  Transportation does not simply move While mass travel is an organized group products; it also carries individuals and tour, this particular category uses conveys them to their preferred chartered coaches and flights for a destination. This movement of people, specific purpose. otherwise known as passenger transportation (Bardi et al., 2006), Types of Tourism Transport regardless of the mode of transportation, Transportation as a vital tourism service whether by air, land, or water, is a vital life plays a primary role in realizing tourists' or force of the tourism industry (Cook et al., travelers' need to reach their preferred 2010). destination. Aside from its purpose to bring  Transportation, as a primary tourist tourists from their generating region to their service, is likewise one of the most destination region and return, this major utilized services in the travel and tourism component of tourism allows tourists to explore industry. It provides access to the tourist and see the amazing beauty of the host destination, allows tourists to visit and destination. The transport that can be utilized by get to places of attractions or explore tourists varies. Below are the several types of cities or towns, and carries tourists back tourist transport according to Dileep (2019). to their point of origin. According to Dileep (2019), the several factors that set General Passenger Transport tourist transport apart from other  This type of transport is mainly for the passenger transport sectors are the general traveler and not just specifically following: designed to meet the needs of the  Seasonality tourists. In most cases, tourists from  Price Elasticity other countries rely on this type of  Highly Capital-Intensive transport to get to their desired  destination, like taking scheduled air transport. The location of the destination transport. This type of transport is often influences the tourist choice in selecting found in tourist destinations because of a transport service. For example, a tourist its viability. would opt to take air transport for destinations that are far from their origin Dedicated Tourist Transport because it shortens travel time. It will  This type of transport is frequently allow tourists to have more time at the included in a tour package. Commonly destination rather than spending it on used are coaches that are chartered for a their journey to the destination. particular purpose. 2. Schedule Experiential Tourist Transport  This refers to the transport departure and  This transport service creates an arrival time at the destination. It is extraordinary tourist experience. For practical for tourists to choose a instance, riding a kalesa in Intramuros or transport service with a schedule that Vigan can contribute to an ideal best fits their itinerary. Intramuros Tour or Vigan Tour. 3. Frequency Luxury Tourist Transport  Tourists often look for transportation  This type of tourist transport is designed with higher frequency because this gives to offer high-quality service and a them the convenience of not waiting too comfortable travel experience. Tourists long for the next available departure. who often take this type of transport are more likely those who seek comfort while 4. Availability traveling.  Tourist transport availability provides travelers an opportunity to choose. The Recreational Transport more tourist transport available in  This transport service is generally used accessing the destination, the better. It for tourism, such as hop-on and hop-off will gives tourists a chance to choose buses, safari vehicles, and bikes. This type which best to utilize according to their of transport attracts tourists who are needs. seeking a nontraditional and fun transport experience. 5. Speed  With a tourist's limited vacation time, Multipurpose Tourist Transport speed becomes one of the most essential  This tourist type of transport includes considerations in choosing motorhomes, RV trailers, campervans, transportation. The quicker the tourists and "rotels." Rotels, or also known as arrive at the destination means that they "rolling hotels," are in vogue right now. will have more time to enjoy the place. Factors Influencing Tourism Transport 6. Safety and Security Selection  Passengers would certainly not With numerous types of tourism compromise their safety and security transport services available to choose from, while traveling. A safer and more secure tourists also consider several factors in selecting mode of transport is often the priority for the appropriate and best transport services that tourists in visiting their desired meet their travel needs. Below are the factors destination and traveling within the that are influential to tourists in deciding on destination. what transport services to avail according to Dileep (2019). 7. Convenience  A hassle-free vacation is the most 1. Distance sought-after experience for a tourist.  This is one of the major considerations in Transport services offering convenience choosing the best available mode of to passengers are frequently selected.  8. Unique Experience What Is Aviation?  Tourists are oftentimes enticed to choose One of the best ways to start a topic is to tourist transport services that create an make sure definitions are the same for all. Air exceptional travel opportunity. transportation uses a number of jargons and terms that may have a different meaning in 9. Route other fields.  This is another factor that influences tourists' decisions in selecting the best Aviation transport to use. Often, the tourist  The word aviation is a general term that choices are affected by the connecting originated from the French word "avi" flights and their layover. Some tourists meaning bird (Aviation, n.d.). The find it favorable if they have a longer researched meaning of aviation is a noun stopover that allows them to have a short that means the design, development, tour in the city. For instance, South Korea production, operation, and use of aircraft, offers free city tours for those who have especially heavier-than-air aircraft. This a long layover in their country. definition covers a system that has a Below are other considerations in selecting reference to air transportation. tourism transport. General Aviation 1. Cost  The International Civil Aviation  The fare or cost of transport services Organization (2009) defines general generally affects the decision of the aviation as "all civil aviation operations tourist in choosing which service to avail other than scheduled air services and of. Low-cost carriers are often chosen non-scheduled air transport operations because of the competitive price they for remuneration or hire." It involves offer for their service. activities such as business flights, air charter, private aviation, flight training, 2. Status and Prestige ballooning, paragliding, parachuting,  Transport services are sometimes gliding, hang gliding, aerial photography, influential in deciding which service to foot-launched powered hang gliders, air choose from. This is due to the increased ambulance, crop dusting, charter flights, status and prestige given to the traffic reporting, police air patrols, and passenger availing of the service. For forest fire fighting. General aviation is a instance, some tourists prefer to use full- wider term. service carriers (seated in first or business  The airports in the Philippines see a class) or other luxury transport because number of general aviation activities. of the status and prestige it can create. Aside from the number of commercial flights taking off and landing at Ninoy Aquino International Airport, general CHAPTER 3: AIR TRANSPORTATION aviation contributes to the airport's  The aviation industry has gone a long congestion. way since the first airplane took to the Commercial Aviation skies. It is the youngest among all major modes of transportation. Sea and land  Though commercial aviation is part of travel have been moving man since general aviation, commercial aviation can ancient times. Air transport is a late be differentiated as activities that involve bloomer, as it was only in the early 1900s flying for business, remuneration, or hire. that the Wright brothers made the first The best example is the scheduled flights successful flight in the history of the of commercial airlines that operate in airplane as we know it today. major airports. Military Aviation  Another lighter-than-air aircraft is the airship, dirigible, or blimp. An airship is a  Military aviation involves using military rigid cigar- shaped aircraft with aircraft and other flying machines. It is propellers. In the article of Freudenrich usually done for national security, (n.d.), Henri Giffard built the first warfare, logistics deployment to military successful airship in 1852. The more personnel, and other military purposes. It popular airship, the Zeppelin, was may include carrying civilian passengers designed by Count Ferdinand von who need to be evacuated or repatriated. Zeppelin in 1900. It had a rigid metal History of Aviation framework and used hydrogen gas.  The Zeppelins were used for both military Aviation history can be divided into two and commercial purposes. The most categories. One is lighter-than-air development famous among the Zeppelins was the aircraft, and another is heavier-than-air Hindenburg, which carried passengers development aircraft. There are several across the North Atlantic (The Editors of significant events that helped shape the aviation Encyclopedia Britannica, 2019). It was world as it is today through these two tragically destroyed by fire in 1937. That categories. event ended the career of the Zeppelin as Lighter-Than-Air Aircraft Development a commercial aircraft.  Though not very often, blimps can still be  When aviation is talked about, what seen flying today in other countries comes to mind are airplanes that are outside the Philippines. It is used more heavier- than-air aircraft. But other than for advertising and TV commercials than heavier-than-air aircraft, there are also for other purposes. lighter-than-air. Examples of lighter- than-air aircraft are hot air balloons and Heavier-Than-Air Aircraft Development airships or blimps.  There are several personalities who have  The first successful hot air balloon was contributed to the initial designs of the created by the French brothers, Joseph first successful heavier-than-air aircraft. Michel and Jacques-Etienne Montgolfier. The ideas and aerial concepts of The flight in November 1783 took to the Leonardo da Vinci, George Cayley, Otto air science teacher Jean-Francois Pilâtre Lilienthal, John Stringfellow, Lawrence de Rozier and the Marquis d'Arlandes, Hargrave, and Samuel Langley led to the Francois Laurent (The Montgolfier success of Wilbur and Orville Wright, Brothers' Balloon, n.d.). The brothers better known as the Wright brothers. experimented using paper and fabric for These men are not all engineers or the balloon that used fire to produce hot scientists but have been intrigued by the air. A basket was attached to the balloon desire for man to fly like birds. where the passengers boarded (The First  Though Leonard Da Vinci is well known Hot Air Balloon Flight, n.d.). for his artistic paintings such as the Mona  In Philippine airspace, the first flight was Lisa and the Last Supper, his other works on a hot air balloon flown by Portuguese have influenced aviation development. acrobat C. F. Marquez who performed As a young boy, he was fascinated with during a carnival exhibition in Manila on flight and studied how birds fly (Williams, April 4, 1909. His performance was 2014). He sketched flying machines such recorded in Philippine aviation history as as the ornithopters. His aviation designs the first air travel. included machines with a pilot in a prone  Today, hot air balloons are used for position, standing vertically, using arms countryside sightseeing tours in places and legs (Jakab, 2013). like Cappadocia, Turkey and Serengeti,  The gliders that were developed around Tanzania. The Philippines also hosts a 1853 are considered the first successful ballooning event once a year in heavier-than-air aircraft. Gorn (2001) Pampanga for ballooning and aviation shared that though most of his designs enthusiasts. were unmanned gliders, British engineer  George Cayley was able to fly his glider wars. Aircraft were mostly built for across a small valley, thus earning the reconnaissance. When the war ended, privilege of being the first successful airplanes were put to commercial use, airman. such as carrying mail and passengers.  According to Gorn (2001), Otto Lilienthal  Mass air travel was prominent around studied the ideas of Sir Cayley of how 1945 to 1960. After World War II, tourism birds fly as well. He built several gliders was used to promote economic aid and and flew almost 2,000 controlled flights cultural diplomacy (Van Vleck, 2013). with fixed- wing crafts. His works later Airplanes used to transport servicemen influenced the Wright brothers, as well as and women during the war were other engineers and aviation designers converted as aircraft to carry civilians for (Early Gliders, n.d.). leisure and tourism purposes. Planes  John Stringfellow is another personality were then used for economic and tourism in aviation development. He was an development rather than for mass Englishman known in the lace industry. destruction. It was around this time that Due to his fascination with the steam airline companies around the world engine, together with William Henson, started to rebuild their transportation they designed the Aerial Steam Carriage business. in 1842 (Gray, 2003). Their attempts to  Van Vleck (2013) researched that the jet build flying machines powered by age started with Pan Am flight 111 "jet- lightweight steam engines were not age pioneers" from New York to Paris successful. onboard a Boeing 707 on October 26,  Aviation development also happened on 1958. The flight took only 7 hours and 34 the other side of the world. Lawrence minutes compared to the previous 11- Hargrave was another Englishman but hour flight using a piston engine. Boeing, later lived in Australia. His contribution to a U.S.-based aerospace company, built aviation development was the engine the aircraft that started a revolution in air that was powered by compressed air and travel. fuel. In 1889, he created the compressed  The record set by the jet age was later air engine using three rotating cylinders broken with the entry of the Concorde, an (Inglis, n.d.). aircraft that brought the industry into the  Samuel Langley designed and created supersonic age in 1973. Travel between pilotless heavier-than-air crafts in Paris and New York took only 3 and 1/2 aviation developments from the New hours. The success of the Concorde did World. In 1896, two of his airplane not last long. It retired after 15 years and creations achieved flight (Langley, 2018). had not been used since. No other The first airplane reached 914 meters or aircraft has broken the Concorde's speed 3,000 feet. The second airplane flew as record (Blum, 2019). high as 1,280 meters or 4,200 feet. Both History of Philippine Aviation were unmanned.  The most famous personalities in aviation  The Philippines is known for shipbuilding. history are Orville and Wilbur Wright, The Department of Trade and Industry bicycle shop owners. According to Van (2017) reported that Philippine-based der Linden et al. (2016), the brothers shipbuilders have exported ships since successfully flew the Wright glider in 1994. However, the country is not known 1902. A year later, in December 1903, the for airplane manufacturing. Airline two brothers achieved the first manned companies will have to complete their flight with their Wright flyer, giving them fleet by ordering aircraft from aircraft rights to the claim of the first successful manufacturers overseas. Aviation history manned flight in history. is viewed from a different perspective,  The success of the Wright brothers with that is, through milestones throughout their Wright Flyer proved that man could the years. fly. Most of the earlier uses of the airplane  Aviation came to the Philippines as early were for the military and eventually for as 1911, just eight years after the  successful flight in Kittyhawk. And Commerce and Communications (WCC commercial aviation followed when the Aviation Company, n.d.). first mail service was delivered by Tom Following this event, several entrepreneurs Gunn in 1914. But aviation has gone a and businessmen ventured into the airline long way now. industry. Here are some of the more significant Philippine Firsts companies that were established in 1919. The following firsts were written in the book titled 100 years of Philippine Aviation (1909-2009): A focus on Airline Management by Dr. Avelino Zapanta, a former president and chief operating officer of Philippine Airlines (Zapanta, 2005).  On February 27, 1911, James "Bud" C. Mars flew his red devil biplane 10 miles out of Manila. Though it seems a simple feat, it was recorded in history as the first cross-country flight in the Philippines.  The first Filipino passenger was Gagaban, an Igorot chieftain flown over Luneta Park (now Rizal Park) by Lee Hammond on February 12, 1912. But even with a passenger, it was not a commercial activity. The flight was during an airshow.  Cora Wong, a nurse from the Chinese General Hospital, won a popularity contest whose prize was to fly with Tom Gunn on April 11, 1914. The momentous event made her the first woman passenger in Philippine aviation history.  Tom Gunn made two other firsts aside from flying Cora Wong. On the same day, he dropped a bag of mail for the Manila Post Office. This event proves the viability of air transportation as a commercial venture. The next day, on April 12, 1914, Tom Gunn flew to Guam, bringing with him Rosario Reyes, who was recorded as the first international passenger. What lessons can be learned from this historical  It was late 1919 when the first airline was listing of airlines in the Philippines? established in the Philippines. Major Joseph E. H. Stevenot and Alfred J. Croft  Success may require government support incorporated Philippine Airways Service, in policies as well as financially. Inc. (PASI) to operate commercial airmail  Competition may lead to the failure of between Manila, Cebu, and Iloilo. Other some airlines because of over-capacity. businessmen followed suit soon after.  Airline operation and management is Below is a table to show the capital-intensive, but financial funding chronological creation of major airline needs solid plans and strategies. companies in the Philippines.  Though safety is a priority for airlines,  In 1931, the Philippine government saw aircraft accidents can cause heavy strain the need to create an office to handle on the financial standing of airlines. aviation matters. The office was then The rise and fall of new airline companies did organized under the Department of not only happen in the Philippines. It has been a common phenomenon throughout the history from Manila to Cebu takes only about 1 of the airline industry. Doganis (2006) explained hour by air. Though it is the fastest way that airlines around the world experience a slack to travel, it may also be the most in the late 1990s. Some even almost went expensive. bankrupt because of events like rising fuel prices  Tourists will need to travel to different and the oversupply of airline seats due to the destinations, be it domestic or new airlines coming in. Some of these ailing international. Given the convenience of airlines survived with financial support from speed, most tourist will prefer to travel by their government. air. Traveling by air will allow the tourists more time to spend at the destination Another common reason for the failure of an instead of moving or traveling to their airline is related to overcapacity (Lee, 2016). point of vacation. Overcapacity happens when too many airline companies operate one route or city pair. If the Categories of Aircraft number of passengers or the market for the city Aircraft or air transport vehicles can be pair or sector does not increase together with an categorized according to their size and how increase in capacity, the operating airlines will be maneuverable they are. Based on the CFR-14 competing for the same passengers. What often categorization, the 10 categories of aircraft are results a price war. And when a price war acrobatic, commuter, experimental, light sport, happens, airlines can be desperate enough to limited, normal, primary, restricted, transport, price their products below breakeven levels. and utility (Aircraft Categories and Classes Significance of Air Transportation Explained, 2018).  Rodrigue et al. (2013) wrote that the The article from Aircraft Categories and reason transportation exists is to remove Classes Explained (2018) defined the different the distance created by space. This aircraft categories as follows: distance is often determined by man and 1. Acrobatic Airplanes physical attributes that include time and  These are airplanes not restricted by topography. He further explained that flight maneuvers. They have a maximum the "goal of transportation is to... of passenger seats and do not weigh transform the geographical attributes of more than 12,500 pounds or freight, people" (Rodrigue et al., 2013). approximately 5,700 kilograms. The This clarifies how important flexibility of in-flight maneuvers allows transportation is, in general, to society. these aircraft to perform aerobatics or  Transportation supports human special stunts, such as rolls and loops. activities. It connects countries, regions, They are often used in air shows. and the rest of the world.  The importance of transportation cannot 2. Commuter Airplanes be undermined in tourism. Tourism  Airplanes of this category are limited to involves bringing tourists to destinations have 19 or fewer passengers and weigh using different modes of transportation. no more than 19,000 pounds or 8,618 With this, there is a symbiotic relationship kilograms. They are multi-engine and between tourism and transportation propeller-driven. Pomroy (2016) added (Page & Ge, 2009, pp. 371- 395). that they are typically used for short-  The fact is that the Philippines is an distance travel to and from small airports archipelago. The current transportation with short runways. system is quite extensive, if not world- class. Tourist destinations can be reached 3. Experimental Airplanes with different means of transportation,  These aircraft may not have been fully such as land, sea, and air transportation. proven in flight, hence the name Air transportation is the most convenient experimental. They may be amateur-built in terms of time. The 48-hour travel by or kit-built aircraft. They are sometimes bus from Manila to Davao is only 2 hours unmanned or used for light sport. It is by air transport. The 20-hour travel by sea further explained in Experimental Aircraft  (n.d.) that these aircraft are typically used in What Are the Regulatory Categories of for experimental aircraft for research and Aircraft Defined by the FAA (n.d.) development, crew training, exhibitions, air racing, or surveys. 8. Restricted Airplanes  Restricted aircraft are used for agriculture 4. Light Sport Aircraft and other services such as surveying,  LSA is how some know this airplane weather control, and forest services. category. It is given a special When forest fires happen in countries like airworthiness certificate for operations. the United States, firefighters use these Some classify two-seat ultralight-type airplanes to help stop the spread of the aircraft, powered parachutes, antiques, disaster. One answer shared in What Are and classics airplanes, the composite the Regulatory Categories of Aircraft aircraft as LSA. According to an article Defined by the FAA (n.d.) further from EAA Airventure, getting a sport explained that restrict airplanes are often aircraft certificate is half the time faster modified U.S. Armed Forces equipment and the regular pilot license (Light-Sport used for special purposes. Aircraft, n.d.). This convenience makes recreational flight easier for adventure 9. Transport Airplanes seekers.  Transport airplanes are yet another category of airplanes. These aircraft 5. Limited Airplanes weigh more than 12,500 pounds and  Airplanes categorized as limited are have more than 10 passenger seats. It has either modified or converted military piston-engine, greater than 19 seats and aircraft, which is currently being used for a maximum takeoff weight of more than civilian purposes. These airplanes are 19,000 pounds. usually military surplus planes. The Federal Aviation Authority (FAA) has 10. Utility Airplanes issued an order to restrict the use of  The last in the aircraft category list are the limited airplanes for commercial utility airplanes. These planes can also be purposes (Special Airworthiness used for aerobatics. These aircraft have a Certificate, n.d.). maximum of nine passengers plus pilot seats. The takeoff weight should not be 6. Normal Aircraft more than 12,500 pounds. Both Federal  Airplanes categorized as normal Aviation Regulations (n.d.) and What Are airplanes have the same size as acrobatic the Regulatory Categories of Aircraft planes, that is having a maximum weight Defined by the FAA (n.d.) stated utility of 12,500 pounds and nine or fewer aircraft maneuvers include spins, lazy passenger seats. The difference lies in the eights, chandelles, and steep turns. This is fact that they have approval for acrobat of great use for air show aerobatics. flights. An answer posted in What Is the Trivia: According to Flight Centre (2020), 70% of Difference between Normal and Utility today's airplanes are over 70% more fuel- Categories (n.d.) said that normal aircraft efficient per seat kilometer than jets in the is one of the three other aircraft that is 1960s. considered "small." The other three are aircraft categorized as utility, acrobat, Types of Aircraft and commuter. From the commercial and passenger point-of-view, airplanes are also differentiated 7. Primary Airplanes by their types. Archer and Syratt (2003) shared  Airplanes in this category are given that the publication Airline Guide has five types. special airworthiness certificates. They Here is the list including the code used in the have to be built in compliance with the airline industry: jet (J), propjet (T), propeller (P), production certificate. On the technical helicopter (H), and amphibian/seaplane (A): side, they have three or fewer seats and are typically unpressurized, as explained  For some passengers, the type of aircraft the hub. Habas (2019) wrote that airlines is important because it tells them information have capitalized on the model of the hub such as the passenger capacity and speed. and spoke. Airlines use the larger and Passengers may prefer jets over propeller busier airports as their hub. The smaller airplanes since jets are faster. Propeller aircraft or regional cities feed their passengers to are also known to be loud and raucous. the hub. Airlines use the hub and service more frequently and destinations from However, the type of airplane used may there. The spokes are also known as be dependent on the condition of airports. Not feeder flights. all airports are qualified as international airports.  Airlines have found the hub and spoke For smaller airports, only smaller planes, such as model effective. They are able to propellers or propjets, are allowed to land and consolidate more passengers for their take off from. hubs. The consolidation of the Routes and Air Services passengers gives the airlines better loads for each major flight. Airlines use network planning models to  Airlines use their bigger planes from their predict their profitability (Garrow, 2010). It was hub to more popular destinations. Feeder further explained that network planning models flights coming from the spoke use the are used by airlines to find out how many smaller capacity aircraft. Both legs will passengers can be expected to fly to which have a higher load, which will make their destinations, what city pairs they should operation more efficient and cost- operate, and other schedule-related decisions. effective. There are two main categories of a network  Though the hub and spoke model has its model. These are the point-to-point model and advantages, it is not a perfect model the hub and spoke model. (Habas, 2019). Congestion at the hub is a common concern for airlines as most  A point-to-point network is when an airlines will choose the same hub. In the airline operates simple routes. Airlines case of the Philippines, other major cities focus on operating flights between the other than Manila and Cebu have been origin city to the destination. It is typically developed. Cities like Davao, Clark, and a non-stop flight and is often a direct Puerto Princesa have upgraded their flight as well (Difference between a Hub, airports to accommodate more flights for a Spoke, a Point to Point, n.d.). Airlines airlines' hub operations. who operate the point-to-point service limit their responsibility of bringing Regulatory Bodies passengers to the arrival city of the flight. Global Industry Associations and If the passengers have a different final Organizations destination, it will be another point-to- point leg.  With the huge disparity between the  Most low-cost carriers use the point-to- superpowers and the economically point network model (Doganis, 2006). It smaller countries, the global industry is a simple network to implement. Even if associations and organizations serve as their point-to-point flights connect with the intermediaries and coordinators each other, they only focus on specific among the members airlines and city pairs. For instance, Cebu Pacific has countries (Zapanta, 2009). There is often several daily flights between Bacolod and a difference in interests for each member Manila, as well as Manila and Singapore. airline and country. Here is where IATA If a Bacolod passenger is actually bound and ICAO come in by being impartial to for Singapore and there are flights that the influence of the stronger countries will connect within the same day, each leg and bigger airlines. is a point-to-point leg. International Air Transport Association  Another network model is hub and spoke. The bicycle wheel is an example of  IATA is a very important organization in a spoke where the center of the wheel is air transportation as well as in the tourism  industry. Who is IATA? It is short for HND is the airport code of Haneda International Air Transport Association. airport. Both Narita and Haneda are IATA is a group organized by 57 considered airports in the city of Tokyo. International airlines in 1945, and by There are still cities with only one airport 2020, has 290 member airlines, 480 but have both a city code and an airport strategic partners, and 100,000 code (e.g., Jakarta). Jakarta has a city code accredited travel and cargo agencies of JKT and the assigned airport code of (IATA Members, n.d.). Though IATA is an CGK (Soekarno- Hatta International association, they have regulatory Airport). functions over their members.  But with thousands of cities and airports  It was stated in the IATA's webpage that around the world, a photographic they were established with the mission to memory is needed. IATA believes in represent, lead, and serve the airline helping the industry. With the help of industry (Vision and Mission, n.d.). Today, technology, they published a page for they still take this mission to heart. They this information. have four key performance targets. These  Most people are more familiar with include the following: (1) generate cash international cities and their codes. For of up to $120 billion for airline relief by instance, everyone knows that HKG is the 2020; (2) reduce supplies cost, as well as code for Hong Kong and SIN for taxes by $50 million; (3) help the industry Singapore. However, only a few know the with the IATA industry restart plan; and city codes for the Philippine destinations. (4) secure IATA's existence through Sadly, some Filipinos know the code for sustainability strategies (Vision and Hong Kong but do not know the correct Mission, n.d.). city code for Cagayan de Oro. Below is a list of domestic commercial airports and Significance of IATA to Air Transportation their codes.  IATA was involved in the development and improvement of the global airline industry. Among the different sectors of the tourism industry, air transportation is the sector that is probably the most organized. This can be attributed to the standards set by IATA.  IATA standardization is seen not only in the IATA codes used today and air transportation, but in other tourism sectors as well. Since the members of IATA are international airlines, the need for clear communication was critical. Airline pilots, as well as other players of the air transport, need to ensure they understand each other clearly despite the differences in language, dialect, accent, and even culture. One of the manifestations of this standardization and efficiency is codes. The IATA three- letter city and airport code are still in use today.  For example, MNL is the city code and airport code and not MLA that most Filipinos use. Some cities have several Aside from city and airport codes, IATA airports. To avoid confusion, Tokyo, for also has airline codes. For airlines, there are two instance, uses TYO as their city code, NRT kinds of code. There is the numeric code that is is the airport code for Narita airport, and used for airline accountable forms, such as airline tickets and airway bills. Another code is enumerating the countries that may have the two-character code assigned to each specific fare rules, the reference is done international airline, whether they are an IATA using the IATA Traffic Conference. member or not. Economic Significance of IATA Airline Codes for PH-based International  To serve its members and the riding Airlines public, IATA also dips its hand in the economic aspect of the airline business. Airline companies are in the business to make money. Passengers want to get the best rate they have. These two objectives may run opposite each other. IATA sets Simplified Travel for All gross fares that are considered the most expensive fares for international routes.  Aside from standardization, IATA works Setting the highest fare will protect on simplifying travel procedures passengers, and it also protects the requirements. To simplify the passenger airlines since it is a fare that is profitable ticket, IATA requires accredited travel for them. There are also price floor sets agents to use the IATA Passenger and among airlines. This protects both big Baggage Check. This is the forerunner of and small airlines from price drops, which today's e-tickets or electronic tickets. are often below breakeven. If the airline IATA placed requirements on the is forced to sell below breakeven levels, information seen in the passenger's there is a chance of failing financially as ticket, be it in paper or electronic form. we have seen in the long history of There are formats to be followed for airlines around the world. writing the passenger names, dates of travel, origin city, and destination. With IATA and Travel Agents these formats, it is easy to know which is  Most people know IATA as a travel the passenger's family name or first agency. Travel agencies are accredited name. Dates are also confusing when members rather than main members. written in all-numeric format. There is no IATA-accredited travel agencies issue standard way of writing dates. At times, tickets, sell international tickets aside the first two numbers are for the month from domestic tickets, and provide other and others, for the day. With the IATA services. format, it is always clear.  In the Philippines, only some 200+ travel  To further simplify and set the standard, agents are IATA-accredited. It means that IATA also set the format for passenger these travel agents are allowed by IATA names. It starts with the family or to issue IATA airline tickets for the IATA surname, followed by a slash to separate member airlines. The majority of travel the first name. For example, Lim/Ang Ty agents are non-IATA, who either clearly shows Lim as the family name. For purchase international tickets from the the format of the date, it is always Day- airline directly or through the IATA- Month-Year (e.g., June 6, 2020, is accredited travel agencies. 06JUN2020).  IATA's standards are some of the reasons  On geography, IATA uses the IATA Traffic not all travel agencies are accredited. Conferences. Here, the world is simply Travel agencies must submit split into three parts. Countries in North requirements that are often stricter than and South America are in IATA Traffic applying for a business license from the Conference 1. Countries under IATA local government units. They are required Traffic Conference 2 are those in Europe to ensure that the agency staff are and the Middle East. And for IATA Traffic industry trained and are obliged to have Conference 3, these comprise the a huge amount of bond when applying countries of Asia. Simplification happens for accreditation. when discussing fare rules. Instead of   Cargo or freight forwarders have a similar  Global warming is mostly caused by air setup with IATA airlines. Not all freight pollution and carbon dioxide emission. forwarders are IATA-accredited, but they (Causes of Global Warming, 2018). must be CAB-accredited at least. Airplanes are powered by aviation fuel or  Travel agencies and freight forwarders aviation gas; thus, airplanes contribute get IATA accreditation for the prestige. significantly to the cause of global Only a few can have this privilege of warming. To ensure environmental being called IATA-accredited. protection, ICAO developed a  The code of ethics set by IATA applies to methodology to compute carbon dioxide the whole industry, not only to its emission from air travel. Passengers who member airlines, travel agencies, or are environmentally conscious will know freight forwarders. This code of ethics the emission they contribute to the air puts an order in the world of travel as when they travel by air. explained by Archer and Syratt (2003).  Security is a serious matter for the airline With different languages, cultures, business. With the sad experience of business styles, business models, and so 9/11, ICAO now requires commercial on, it would be difficult to transact aircraft to have a door peephole for the globally unless standards are put in place. pilots to see who wants to come into the flight deck. They also set international International Civil Aviation Organization standards for airport security, more  International Civil Aviation Organization intense than regular community security. is a United Nations specialized agency, Passengers can now feel safe traveling by established by UN member states in 1944 air. (About ICAO, n.d.). In 2020, there are 193  What is the difference between IATA and member states (or countries) that include ICAO? ICAO is concerned with the safe the Philippines. It was created to and orderly flow of international aviation, administer and govern the Convention while IATA is focused on the rates and on International Civil Aviation, also charges of airlines passengers, the tariff known as the Chicago Convention (The for cargo, and the rates and commission History of ICAO and the Chicago levels given to accredited travel agents Convention, n.d.). They were tasked to and freight forwarders (Wensveen & formulate policies for the safe, efficient, Wells, 2011). In general, IATA is more secure, economically sustainable, and involved in the economics of the airline environmentally responsible civil business, and ICAO is more connected aviation. with ensuring the safety of the airline industry. Company objectives adapt to the needs of the stakeholders. In ICAO's webpage on Philippine Regulatory Bodies Strategic Objectives (n.d.), the 2020 objectives Civil Aeronautics Board (CAB) indicated include the following:  The Civil Aeronautics Board or CAB is a  Safety Philippine government agency with a  Air navigation capacity and efficiency mandate to ensure the economic well-  Security and facilitation being of air transportation in the country  Economic development of air transport (Civil Aeronautics Board, n.d.). With this  Environmental protection mandate, it is similar to IATA, which is Importance of ICAO to Aviation also concerned with the economics of air transport. The CAB's economic role is to  ICAO is involved in aircraft accident ensure that domestic airlines offer fairly investigations, particularly concerning priced airfare. It also sees to it that international airlines. They look into the competition among the carriers is fair. causes of the disasters. They try to learn Airlines need to get the CAB's approval if who or what was the reason for the they have airfare increase or decrease. mishaps. They investigate to prevent similar accidents in the future.   To further protect the airline-riding Manila International Airport Authority public, CAB, together with DTI, created (MIAA). In Cebu, the management and the Air Passenger Bill of Rights. This development of Mactan-Cebu document, signed in December 2012, International Airport is GMCAC, a stipulates the obligation of airlines to consortium of Philippine construction their passengers, such as amenities to be companies. For Clark International provided in case of delays, compensation Airport, Luzon International Premier for bumping passengers in case of Airport Development Corp (LIPAD) sees overbooking, and others passenger to its maintenance. rights.  CAAP is also tasked to ensure the safety  The CAB also has regulatory powers. It of air travel in the Philippines. Included in exercises these powers through the the task of operating and maintaining issuance of CPCNO or Certificates of national airports is ensuring that air Public Convenience and Necessity to navigation equipment and facilities Operate for domestic airlines, as well as comply with ICAO requirements, FACP or Foreign Air Carrier's Permit, for especially the international airports. international airlines (Portcalls Asia Web  When there are accidents involving air Editors, 2016). transportation, CAAP gets involved in the  CAB issues Letter of Authority to cargo investigation. They search for the cause forwarders, cargo general sales agents, of the accident to prevent similar and cargo sales agents stating that they incidents in the future. They function as are fit and willing to perform services the local ICAO as both are involved in required in cargo public convenience and aircraft accident investigations. necessity.  CAAP is the counterpart of the Land  One important role of CAB involves air Transportation Office (LTO) for air negotiation. It is part of the air transportation as a licensing office. They negotiation panel for the Philippine are tasked with issuing licenses to pilots, delegation. This air negotiation is where air traffic controllers, and other licensed countries come to an agreement personnel in air travel. They also issue regarding the traffic or the maximum airworthiness for aircraft and airplanes number of passengers they can carry registered in the Philippines. between them for a given period. Air Transport Structure Civil Aviation Authority of the Philippines  When looking at the air transportation  The Civil Aviation Authority of the structure, it is best to look at the industry Philippines or CAAP is another Philippine rather than specific airline companies. An government agency for air industry is a group of companies that transportation. If CAB has a mandate on produce or provide the same product or the economic aspect, CAAP is tasked to service and often compete with each secure the technical and operational other (Wensveen & Wells, 2011). aspects of the airline industry.  In the case of the air transportation  Republic Act 9497 stated six mandates industry in the Philippines, there are for CAAP. One of the mandates given to several players who have the same or CAAP is the responsibility for the similar product, that is, carriage of maintenance of airports. However, passengers or cargo by air. A closer look CAAP's management mandate on at one example will show that for the Philippine airports does not include the Manila-Cebu vice versa route, a number three major airports. The three major of airlines operate the route. These airports are the Ninoy Aquino airlines are Air Asia, Cebu Pacific, and PAL International Airport, also known as Express. The schedule each airline offer is Manila International Airport, Mactan- similar. Meaning, if one airline has 8-10 Cebu International Airport, and Clark daily flights, the others also have as many International Airport. Ninoy Aquino flights a day. Their base fares need to be International Airport is managed by CAB-approved and are approved very  close to each other. What makes it  Executive Order 219 signed in January appear different on the websites is the 1995 established the domestic and fact that airlines display their available international civil aviation liberalization flights based on availability. This means policy. This executive order was in line that prices increase when the seats get with the directive to push for the sold out. Philippines 2000 strategy of Global Competitiveness (Executive Order 219, s. Airline Deregulation 1995, 1995). This allowed for Open Skies  When the airline industry started in the to be implemented. Open Skies as a Philippines, it was heavily regulated policy is when there is a promise to relax similar to other countries. In 1934, Act restrictions on the market access, 4033 required a franchise from a ownership, and control. An Open Skies company to operate an air service agreement exists when a treaty is made (CAAP.gov.ph, 2020). At that time, the between countries to liberalize their air government controlled who the players transportation policies bilaterally (Lee, would be. At one point, the Philippine 2016). government joined the commercial  In the Philippines, an Open Skies policy airline game when they became part exists for some routes. One such route is owners of Philippine Airlines in an the route between Hong Kong and the attempt to save the troubled airline. Philippines. The franchise and other Through GSIS, the Philippine government requirements have been relaxed from owned 92% of the shares of stocks of airlines who would like to operate the Philippine Airlines in October 1977 sector. This is done in the hope of (Philippine Airlines, n.d.). bringing in more tourists from Hong  In the 1980s, the trend in the airline Kong. Hong Kong is a popular gateway industry changed. Governments around city to Asia for those coming from the the world started divesting from the west. In the early 2000s, Egypt Air was transportation industry. Air flying direct flights between Hong Kong transportation was not an exception. and Manila. This right given to Egypt Air Governments began economic is beyond the first to fifth air freedom liberalization, where they allowed more (About ICAO, n.d.). participation from private entities (Lee,  This is a concern for some airlines since 2016). Liberalization is measured by the the agreement was one-sided. With the amount of market access given to others additional flights provided by Egypt Air, and by the ownership plus control Philippine-based carriers were not restrictions. With the government selling necessarily given the corresponding their shares of Philippine Airlines stocks capacity and frequency increase to back to the private sector, they have match. Bilateral agreements are just for taken a step toward economic the airline industry since capacity is liberalization. typically shared among the countries  Next is market access. Typically, involved. governments, through offices like the Airline Industry CAB, have bilateral agreements among themselves by stating mutual restrictions  Airlines are the main movers in the on market access. They agree on limiting aviation industry. Traveling by air may be routes their respective airlines can the most expensive mode of transport, operate or fly into. Lee (2016) explained but it is also the fastest and most that negotiations between countries set a convenient, which compensates for the cap on the frequency of service or the higher fares paid for by passengers. On number of flights for a given period. They one hand, to be part of an airline is fun also indicate the maximum capacity or since one can travel the world for free. number of passengers and cargo each air Being a cabin crew is glamourous and carrier can carry. fulfilling. On the other hand, prestige often goes with being an airline pilot. Definition of Airline serve routes within the 50 states of the United States (Holt & Poynor, 2016). The  An airline, as defined by Dictionary.com, idea is that the operations are only within is a company or an organization that the same country where the airlines are provides air transportation (Airline, n.d.). registered. Typically, it is a part of a system that  Domestic carriers offer less expensive operates at airports using airplanes as its fares because of the shorter distance vehicles. Airlines provide a means to between domestic points. Passengers on move people or goods from one point to domestic flights are commuters who another. usually need to travel from their home Airline Industry city to their place of work.  To be called an industry, the Regional Airlines organizations must be having similar  Regional airlines can be used for those air activities, products, or services. It has carriers that operate within a been defined as a collection of geographical region. For example, enterprises in a particular area or field airlines that operate outside their country (Industry, n.d.). but within the Asian region. These airlines  With the number of airlines around the are usually limited in their destination world or even within the Philippines, because of the type of airplane they use. there is definitely an airline industry. The Some airplanes only have a maximum airline industry is well-organized. Though flying time of 3-6 hours. With such a airline companies are competitors, they limitation, they can fly only to have an atmosphere of friendly destinations within the airline's competition. Through IATA, airlines are geographic region. able to share the best practices to help the industry flourish. International Airlines Types of Air Carriers or Airlines  International airlines are different from regional airlines in the distance they  Air carriers or airlines can be classified travel. Typically, international airlines according to their area of operation. travel to destinations with more than 7 Airlines can either be domestic, regional, hours of flying time. Airlines that fly long- or international. haul routes fall in this type.  CAAP records show 70 airports within the Philippines. This includes international, Classification of Commercial Airlines domestic, military, and private. But not all One classification of commercial airlines 70 have night landing facilities. This limits is based on the type of work they do: the operation of domestic flights during the daytime for most domestic airports. 1. Legacy or heritage or full-service airlines To connect the many islands of the 2. Low-cost airlines country, air transportation is the fastest 3. Air taxi means to travel. Most of the major cities 4. Boutique airlines and provinces have airports where Legacy or Heritage or Full-Service Airlines airlines can operate. The bigger cities often serve as a hub where smaller cities  Legacy or heritage airlines are often used connect. for airlines that started the commercial airline industries. These are airlines with Domestic Airlines international scheduled service. They  Domestic airlines operate within the often operate with the more traditional same country. Domestic airlines limit or old-school strategies. The name legacy their operations to flights between the is indicative of the fact that they are the different cities or provinces in the country oldest airline companies operating. They like the Philippines. Another example are also known as full- service carriers would be the U.S. domestic airlines that (FSC). Low-cost Airlines Below are the following examples of commercial airlines:  Low-cost airlines are more often known as low-cost carriers (LCCs). Some call them budget airlines. The emergence of the LCC has had the strongest impact on the success of the legacy carrier. LCCs are Another classification is on the network they airlines that often offer low fares. The service term "low cost" applies to both the consumers or the passengers and from  Point-to-point carriers are airlines that the airline management. What is essential only service passengers from the origin to the success of LCCs is their low cost of city to the registered destination. For operations. Airline operation and passengers traveling on different airlines management is capital-intensive, which is that are point- to-point airlines, their why air tickets are expensive. Only the checked-in bags are only carried until the LCCs that operate with lower costs are destination of the carrier. Passengers will able to profit even if they offer low fares. have to retrieve their bags and check in again for the next flight even if it is within Air Taxis or Air Charters two to three hours apart.  Air taxis or air charters are air  Network carriers are airlines that operate transportation companies that do not on a network structure. They offer provide scheduled services. The name scheduled service through a hub-and- taxi gives the notion of hiring an aircraft spoke system (Sin & Chellappa, 2013, p. for a private function. Usually, air taxis are 1–6). smaller airplanes or private jets. These Flag Carriers can also be helicopters. On the other hand, air charters use larger airplanes,  Flag carriers traditionally are such as Airbus and Boeing, pending the government-owned airlines. When the need of the group who will charter. airline industry started, it was common  Air taxis are often hired on one-off for the government to start, operate, and transactions. Air charters can also be used manage their own airlines. With the for routes that are not yet operated as privatization of airlines in the 1980s, the scheduled flights but may have a large meaning of flag carriers has changed. number of to visit the island that  Today, flag carriers are transportation entrepreneurs saw the opportunity to companies whose equipment (like ships have regular charter flights. passenger or airlines) carry the flag of the country traffic. At the height of Boracay's where they are registered (Singh, 2019). popularity, there were so many Chinese In the Philippines, Philippine Airlines and wanting The charter flights run three to Cebu Pacific aircraft are registered with five times weekly for at least six months CAAP, making both airlines the flag continuously. carriers. Boutique Airlines The Secret o