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Joined: Thu Mar 15, 2007 12:07 am

The Marketing Of Regional Aircraft In China

Thu Mar 15, 2007 10:52 pm

HELLO Everyone,

I am a final year student in the University of Sunderland, UK and I am doing my dissertation on "The marketing of regional aircraft in China". But I find it's quite difficult to get information other than the manufacturer websites. So, anyone know more about the marketing of regional aircraft in China or related topics/ website/ contacts..... I really need HELPS on it. Here is my abstract of my dissertation:

China becomes one of the fastest growing countries in the world. Business travel and tourism become more and more popular. Therefore, the demand for aircrafts especially the regional aircraft is very strong which create a great opportunities for aircraft manufacturers. Currently, regional aircraft makes up only 12 percent of all civil aviation planes in China. This is much lower than the international average of 30 percent. Such a big opportunity attracts ATR, Embraer, Bombardier these manufacturers to enter the regional aircraft market in China. This research examines the marketing strategies inside these companies which include segmentation, develop new aircrafts, compare the commercial and private buyer buying behaviour, the trends and the development of the regional aircrafts in China.

If anyone know more about this topic, please leave your message, thx very much!!!
Posts: 3923
Joined: Mon Aug 23, 1999 5:35 am

RE: The Marketing Of Regional Aircraft In China

Thu Mar 15, 2007 11:07 pm

China currently has a tendancy to build up its own aviation industry, basically from scratch. The regional jet - and to som extend turboprop - arena has been selected for this. The ARJ21 is a [wholly] indigious project with only Chinese customers so far. The MA-60 is a domestic product as well, however pretty much based on the AN-24 series but really developed further (you can probably compare it to the jump F-27 to F-50 for Fokker). There is likely some form of political pressure to buy indigous products, if not openly then there is always the change to not-issue the necessary import permits (happened to Hainan´s second large 328JET order) and so on.

The only way to circumvent these obvious hurdles is to set up your own manufacturing unit in China, which basically means transfering some know-how to the country. Embraer has done it, but until recently had been less then blessed by the out-come, get only minimal orders. The HNA Group order for 50 ERJ-145 (to be assembled in China) and 50 Embraer 170 changed fortunes a bit.

For Bombardier and ATR it basically means that they have only limited chances to really break into the market as they seem to be less willing to transfer know-how.

The market itself is nearly unpredictable IMO. With so many large cities not yet really connected there are likely bigge fish to fry for airlines then to focus on (likely) less profitable regional flying. That system may develop in future when less trunk-routes become available, and Chinese airlines start to build up their own large-scale hub-and-spoke systems, but this is probably another 10 years away.
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