Question

Changi International Airport (SIN) and Dubai International airport (DXB) are some of the busiest airports in the world in terms of cargo throughput handled.

Explain how cargo throughput processed at these airports affect the airport performance and how are air freight handled at these airports correlated with economic cycles?

Answer 1

Airports are complex sets of businesses, and different airports operate in very different physical, financial, and governance environments. To make useful comparisons among airports, it is essential to compare similar sets of businesses operating in similar environments—which is easier said than done. When comparing one airport to another, some of the typical factors that drive different results and should be considered in making comparisons include: passenger volume, capacity constraints, mix of international and domestic traffic, mix of local and transfer passengers, mix of passenger carrier service (network, low cost, charter), mix of passenger versus cargo activity, degree of outsourcing, range of services provided by the airport, airport development program status, weather conditions, geographic location, urban versus rural location, physical size of the airport, public transportation access and usage, regulatory environment, local labor conditions, and ownership and governance structure.