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Requirement
The way forward for your aviation industry segment. How your aviation segment might change in 5 years from now. Use the newly learned techniques of financial and statistical analysis, as well as the academic research and writing tools, to analyze the forecasts of YOUR specific aviation sector, and develop different what-if scenarios, where you see your industry sector will be in 5 years from now. please use 2 or more books, 2 or more journals, 2 or more websites.
connect the title with the future of tourist aviation in dubai (helicopter sightseeing), the evolution of helicopter taxi if any possibility(base the conclusions on demographic data and road traffic patterns and congestion), connectivity of the two cities Dubai-Abu Dhabi by helicopter, connectivity of the cities with the three major airport Abu Dhabi international, Dubai International, Al Maktoum airport.
Solution
Introduction
The emblem of the United Arab Emirates features the Hawk of Quraish, a very sleek golden flacon that can used to represent the current position of the global aviation level of UAE in the market. The country is a federation of seven nations or emirates which was established in 1971. It has constituent emirates namely the Ajman, Abu Dhabi (the capital), Dubai, Ras al-Khaimah, Umm al-Quwain, Fujairah and Sharjah. Every single emirate has been governed by their absolute monarchy who have formed their Federal Supreme Council. The economy of the UAE has been considered to be one of the most diversified in the whole Gulf Cooperation Council and Dubai city has emerged as an international aviation hub and a global city. The government of UAE spends heavily on the development of aerospace and aviation sectors for diversifying the economy apart from depending on gas and oil. Over USD 136 billion will be spent by UAE state agencies and companies until 2020 for making it a global transport hub in order to become the world’s largest airline industries
The UAE has been spending a lot on its aviation sector and taking key early steps in the advancement of the foothold of the country in the aviation industry. The country’s ability for diversifying the economy far away from hydrocarbon sales can prove out to be the testament towards growth in the aviation sector. On the basis of 2013 figures, it can be seen that the Asia Pacific region has the largest air transport market in the world accounting for 31% share of the total traffic whereas the UAE is considered to be the world’s fastest-growing air transport market with a rate of 11.2%. It has been encountered that international traffic has grown by 10.9% in the Middle East.
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Discussion
The development of Airports
Over 94 destinations are being served in 56 countries by the United Arab Emirates (UAE) and Abu Dhabi International Airport (AUH). This airport has won the multiple numbers of awards and has been regarded as the home to the Etihad Airways having ambitious expansion projects. It has been anticipated that over twenty million passengers will use this airport as their origin, transit, destination point for domestic as well as international flight in the next five years. Therefore, the emirates of Dubai have been planning on to cater for the increasing and growing air traffic by expanding its second airport called the Al Maktoum International at Dubai World Central for handling around 120 million passengers in the next coming years. The future hub of Emirates has a reworked design that will enable the DAC or the Dubai Airports Company for handling over 240 million annual travelers annually. Once completed it will have the capacity of handling 200 million passengers along with 16 million ton of cargo in a year. Furthermore, the airport hub will also become the nerve center of around 140-square-kilometer multiphase development of six clustered zones including the Commercial City, Dubai Logistics City (DLC), Residential City,the Golf City and the Aviation City.(Dubai's strategy - to become the world's aviation hub | Airport Business, 2007).
Furthermore, the aviation sector of emirates has recently been eclipsing Hong Kong, London and related global hubs and has been successful in emerging as the key infrastructure strength which will set UAE apart from the global and the regional peers in the near future. On the basis of World Economic Forum on the Travel and Tourism Competitiveness Index, UAE has been placed on the third position for its air transport infrastructure thereby reflecting a bright future. The change in infrastructure has been able to provide credential to the notion of Dubai “if you build it, they will come.”
With so much development, the country is unlikely to stop spending on the aviation infrastructure of the emirates. All the contractors, designs and engineers are putting their best foot forward for expanding the Al Maktoum International at Dubai World Central (DWC) project.Additionally the aviation and the infrastructure development sector will be benefitted by the winning of the bid host in 2020 World Expo where the visitation numbers are likely to surpass 25 million people.The Dubai Airport has also outlines a plan stating that the construction has been done to deliver the aviation infrastructure supporting the impressive growth of this sector and will further facilitate the economic expansion of Dubai by generating 32% of the GDP of the emirates along with 22% of the total employment. In order to increase the airspace capacity and harness the capabilities of the modern fleets, the airport will also have next-generation technology like dynamic airspace and navigation. The Dubai Expo- 2020 will help in enhancing the tourism figures of Dubai from 14.26 million to around 25 million and the emirates will be able to pour funds into the aviation sector regardless of the retrenchment in other sectors of the economy because of their protracted downturn in the oil sector.(Arif, M., Gupta, A., & Williams, A., 2013).
Therefore, with enhanced infrastructure and large space, the airports will be able to increase the connectivity among the various cities in the regional and global world.Therefore, when the development of Al Maktoum International, Abu Dhabi, and Dubai Airport meshes with Dubai Expo, once can easily envision the future of aviation sector in UAE. Further the Dubai-Abu Dhabi fulcrum can be considered as the focal point of tourism, global trade and transport (Aviation Investment Summit, 2016).
Connectivity between Abu Dhabi and Dubai
It is a well-known fact that airports are expensive and require a high amount of space for the terminals, luggage, runway, parking and other services for the customers. Additionally, these cannot be built everywhere owing to space and noise and for smaller distances. It has been seen that the commuters travelling between Abu Dhabi and Dubai were facing a problem with the mode of transportation. Although there are several possibilities for the travelers to choose ranging from bus, train, taxi etc. These are affordable but highly time-consuming. Therefore the aviation industry of the UAE has come up with innovative idea of helicopter taxi. Uber has introduced Uber CHOPPER helping the commuters to skip the traffic between Abu Dhabi and Dubai. This app-based taxi has been partly-owned by Qatar and by associating with Alpha Tours this door-to-door services has been started. The services have just started and is expected to bloom in the near future. The Uber Chopper has to be requested upon which a private driver will pick up the users from their mentioned place and a drive to the helipad at Atlantis will be provided till The Palm hotel. From then, they are flown directly to Yas Island. The distance between both the cities is covered in just 30 minutes, therefore providing a new dimension to the aviation sector. The key advantage of these services is avoiding the stress of the high-speed lane weaving. These chopper charters are seen to soar high above most of the other traveling commodities in the UAE. The independent operators have been coordinated by the Uber Chopper providing smooth scheduling along with billing and also provide car services, all this has been able to provide a convenient and hassle-free ride in both the cities.
According to the Uber Executive, the region of Abu Dhabi and Dubai are really strategically important markets and have shown tremendous growth for the business. This mode of transportation developed during the F1 series in Dubai with the tourist market kept in mind but it eventually helped in developing the commuting as well as business traffic. The three hours journey between the cities can be covered in just 35-45 minutes providing relief to the daily commuters. Therefore it can be said that enhanced connectivity between the two global cities has provided a new dimension to the aviation sector.
The Etihad Airways is also proposing to subcontract various companies for operating aircraft to take over the transport services between Dubai and Abu Dhabi. These aircraft will aim towards reducing the time travel and will also provide a more comfortable transport system along with ensuring the loyalty of their customers. These services between the two cities will be offered using two Airbus H155 helicopters 14 passengers and two Embraer ERJ 135 series with 37 seats. These aircrafts will have internet connectivity and Etihad E-box for communicating with family and friends along with in-seat phones and SMS. These services will be offered by Etihad airline for the passengers willing to travel to and from Dubai and Abu Dhabi and will be a short 25-30 minutes ride (Alrubaysh, A., 2015).
Helicopter Sightseeing
The city is beyond its time by introducing the helicopter tour and making it a privilege for everyone is yet another landmark achieved by the aviation sector. The sector has designed aerial tours in Dubai and other sectors for ensuring an unforgettable experience for the common people along with the tourists. These aerial tours ensure a unique and unobstructed view of the city ranging from the spectacular BurjKhalifa, The Palm Jumeirah, Burj Al Arabto the spectacular The World in their appointed helicopters. The tour range from a 12- minute or the 22- minute tour and have been used as excellent gift for anniversaries, birthday etc. by the common people whereas used as an essential of sightseeing by the tourists. Falcon Aviation Services is responsible for operating sightseeing helicopter tours and the services are operated from their certified helipad at the flagship of Dubai near Atlantis the Palm resort. These services have seen a clear rise of around 20% from the last year depicting a positive growth in the near future. The organization with its partnership with Alpha Tours is planning to aim towards providing 20 percent rise in their booking.
With high success rate, the Dubai is targeting towards increasing its tourist intake of 20 million along with aiming towards having conservative goals in 2030 plan of around 7.3 million visitors. The prime advantage of this facility is the stress-free and hassle-free ride without any traffic jam and at the same time it suits the needs of time-constraint tourists. Furthermore the low flying altitude of hovering capability of helicopter makes it an impeccable mode for airborne sightseeing flight along with providing leisure to the clients and tourists. This facility is currently available in the city of Dubai only where the visitors can enjoy the thrill of helicopter sightseeing and see the city from the eye view of a bird by registering all the iconic landmarks of the city. With the huge success rate, it would be possible to extend the services to the cities of Abu Dhabi etc. and help the tourists to visit the city for the same experience.
Evolution of Helicopter Taxi
The UAE market has a potential of becoming a huge market for their ride-sharing apps which are aimed at the private jets and helicopters. However there is a need for developing various necessary logistics for supporting the market as per the chairman of the Middle East and North Africa Business Aviation Association (MEBAA).
The helicopter taxi services started in 2015 and were named as UberChopperin the UAE offering temporary services to those flying from Dubai to Abu Dhabi for the Formula 1 fans witnessing the Grand Prix race. The app was seen to be highly popular among the common people and the visitors therefore making the services go permanent. The founding chairman of MEBAA, Ali Ahmed Alnaqbiwitnessed a great appetite for these ride-sharing apps among people who were willing to pay extra amount in order to avoid the traffic and long commuting distance on the roads (Uber extends helicopter service in UAE after F1 success, 2016). He further added that with the cities becoming congested these services have a high potential. The organizations and associations were planning of launching the helicopter taxi service in 2007 but failed due to the financial downturns in the country. The prime obstacles according to the Dubai-based newspaper The Khaleej Times in June 2008 was the lack of authorized landing spaces. As per the report, over thousand sites are present in UAE but do not have an approval under the international standards.
This service is directly associated with the infrastructure which is currently underdeveloped. Due to the premature market in this sector, the high rise buildings are being used as the helipads for the services. In the near future, there has to be an increase in the authorized landing space in order to make these services permanent. With high demand among the clients and customers, organization has been considering on fulfilling this consideration.
Although the similar services have been introduced in the France and Brazil by the UberChopper, but according to the organization in the UAE, the country has to take its own initiative for leading its way out for development of permanent services. The association is thinking of having helipads in the significant high rise building. TheMEBAA along with GCAA (Gulf Civil Aviation Authority) are planning of helipad authorization and to make the services permanent in prominent markets (UAE could be, 2016).
Another potential market for helicopter taxis and ride-sharing apps is the same services beyond this area. The country is planning on introducing UberJet similar to the one present in California providing services to the wealthy fans to travel to the Cannes festival to book their own private jet trip using the Uber app along with various permanent services. The MEBAA members are thinking of implementing a system which will have some utilization of the empty leg. The empty leg refers to the situation when a one-way ride is booked and the jet has to arrive empty on its way to return back. A 10 percent rise has been seen in the services this year and is expected to rise in the near future. Therefore, the association will is trying to implement the mentioned changes in order to make these services permanent.
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Dubai's strategy - to become the world's aviation hub | Airport Business. (2007). Airport Business. Retrieved 1 November 2016, from http://www.airport-business.com/2007/10/dubais-strategy-to-become-the-worlds-aviation-hub/
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Aviation Investment Summit. (2016). Eiseverywhere.com. Retrieved 1 November 2016, from https://www.eiseverywhere.com/ehome/aviationsummit15/uae-aviation-sector/
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Uber extends helicopter service in UAE after F1 success. (2016). 7DAYS UAE. Retrieved 1 November 2016, from http://7days.ae/uber-extends-helicopter-service-uae-f1-success
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UAE could be. (2016). Zawya.com. Retrieved 1 November 2016, from http://www.zawya.com/uae/en/story/INTERVIEW_UAE_needs_more_helipads_to_cater_to_Uberstyle_aviation_demand-ZAWYA20161031025732/
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Alrubaysh, A. (2015). Overall Condition of the United Arab Emirates. International Journal Of Scientific & Engineering Research, Volume 6(Issue 11), 809. Retrieved from http://www.ijser.org/researchpaper/Overall-Condition-of-the-United-Arab-Emirates.pdf
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Arif, M., Gupta, A., & Williams, A. (2013). Customer service in the aviation industry – An exploratory analysis of UAE airports. Journal Of Air Transport Management, 32, 1-7. http://dx.doi.org/10.1016/j.jairtraman.2013.05.001
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