The Study On The Effect Of High Speed Train Toward The Korean Civil Aviation Industry

In selecting means of transportation, the time value and the price will be the mostsignificant factor for the consumers to choose a vehicle. According to the development oftransportation, car, train, shipping and aviation have largely devided the transportationmarket through respective pros and cons. The each transportation now, however, breaksdown the board of other vehicles through improving the safety, cost reduction, upgradingthe service, etc. and the boundary is getting more and more ambiguous. Also, the nationalincome increment broadens the consumers’ choice for the vehicles. Though each countryhas its own diffences, the expansion of local road networks influences extensively thedemand of railroad and aviation.The analysis on the ripple effect of Korean transportation development was startedin the year of2000when the high speed railway was materialized. The countries whichearly instituted the high speed railway have expericed the encroaching of the demand ofshort or middle distance vehicles. Also the appearance of low cost carrier challenges themarket to the new changes of the transportation. The Korean domestic air route, on the onehand, should compete with the high speed railway through overall reorganization and onthe other hand should seek a way to cooperate with. This thesis, on the basis of the changesof Korean transportation industries which have just experienced various changes due to thehigh speed railway and low cost carriers, tries to present the basic data and informationtoward other countries that has also begins new changes of transportation.In chapter2, the development situation of Korean civil aviation and high speedrailway will be surveyed. Regarding the existing representative full service airlines–Korean Air and Asiana Airlines–the study on the the situation of their passenger business,the size of the fleet and the employment will be made. The Korean low cost carrier thatstarted in the2005will be also studied. The development and current state of the railwayand high speed railway is another field to survey as well. In chapter3, I will survey thechanges of avation industry according to the introduction of high speed railway, focusingon the exmples of other countries. Japan and France that have long experience of highspeed railway, and China that has just started the high speed railway can be good exmples for the subject changes. Through these changes, we can check the transition andcountermeasures of the airline industry. In chapter4, the competitiveness of civil aviationand the high speed rail will be compared. The models for each demanding forecasting willbe introduced and analyze respective competitiveness. And the mutual cooperation andcoordination for the future should be studied as well. In chapter5is the survey on thepolicy of the Korean government toward transportation industry and the proposal for thecountermeasures. The downsizing of the domestic air route in Korea due to the high speedrailway led various changes on the country’s air transportation policy. The utilization ofidle aircraft, the facilities of airport is the main task of the government. Korean governmenthad maintained the protective policy to protect the local airlines companies, but from2000tried to carry open sky policy through active air negotiation with other countries. Also,Korean government encourages market participation of small or low cost carriers in orderto protect the right of consumers. The government tries to build a national intermodalismin order to unify all the transportation policy. The transportation policy, in the future,should put more importance on the establishing eco-friendly logistics, too.The conclusion of this dissertation is to propose ways to co-exist between airlineand railway including high speed railway indutries. To build social overhead capital is anessential investment for the competitiveness of a county, but needs long time and budget.Thus, the investment should be prepared under long-term and consistent plans of thegovernment. The government should put the most importance on the improving theeffectiveness of a country and the productivity. A country should build ‘IntermodalTransport System’ by building connecting transit system among means of transportation,through which people can enjoy the seamless transportation service.