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| Countries covered: India While the airports and airline industry are linked and are dependent on each other, the business model for both is quite different. The airline industry can respond to dynamic market conditions by moving quickly to increase or decrease capacities through leasing or sale or retirement of aircraft. The development of airport infrastructure requires long-term planning as capacities cannot be increased quickly since there is a minimum set-up time required to expand the infrastructure. Very often airport planning exercise is done from a 30- to 50-year view with modular expansion capabilities. In the last 20 years, airports globally have evolved from being government-controlled infrastructure providers to global business-oriented profitable service providers. The airports have developed into hubs of economic activity (aerotropolis). Non-aeronautical revenues form a large portion of the overall revenues for most successful airports across the world. |
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