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Friday, December 29, 2000, updated at 14:29(GMT+8)
Business  

Civil Aviation Be Reorganized on Market Principle: Survey

Not long ago, the Civil Aviation Administration of China (CAAC) announced its decision to establish three largest group companies based on the three parent airlines, namely, Air China, the China Eastern Airline Co., Ltd. and the China Southern Airline Co., Ltd. However, such a regrouping method seems receiving no applause from the public.

According to a survey conducted by the China Business Climate Monitoring Center under the National Bureau of Statistics in Beijing, Shanghai and Guangzhou, over 60 percent of the urban citizens hope that the reorganization would be determined by the market force, avoiding the use of administrative and planning means.

Earlier, local Shandong Airlines had all along tried to amalgamate the China Northwest Airline Co. Ltd. directly under the CAAC, but upon the announcement of the CAAC's decision, this amalgamation attempt has fallen through.

Some 37.5 percent of the people surveyed held that the CAAC or the Shandong provincial government should follow the market principle and avoid being deeply involved in it, and 23.1 percent of the citizens favored the amalgamation of the "national team" by a strong "local army" in accordance with the market law. Only less than 40 percent of the residents surveyed favored the CAAC's decision and intention, deeming it necessary for the government to control and plan the reorganization.

Over 80 percent of the surveyed said that they often or sometimes choose airlines when they need to travel by air, this indicates that how things stand with air companies has become a very important factor attracting passengers. Such being the case, public praises, fame including factor regarding whether or not it is directly affiliated with the CAAC, advertisement in media and feeling of passengers on board the plane are the main factor deciding whether an airline can win the trust of the masses.



By PD Online Staff Deng Gang



In This Section
 

Not long ago, the Civil Aviation Administration of China (CAAC) announced its decision to establish three largest group companies based on the three parent airlines, namely, Air China, the China Eastern Airline Co., Ltd. and the China Southern Airline Co., Ltd. However, such a regrouping method seems receiving no applause from the public.

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