Wuyan soon arrived at Panshi. The person in charge of Panshi Airport, Wu Da Lao, shouted in a state of joy and peace.

The work has not been very smooth since the recent stage. Due to the problems of the State Administration of Civil Aviation, several new routes have not been approved. This disrupted Panshi Airport's efforts to solve the increasing passenger flow, and caught everyone off guard.

In the past, no one dared to say no to Fan’s Airlines and Panshi Airport this time, I didn’t know what the people from the Civil Aviation Administration took the wrong medicine and actually dared to attack Fan Wubing’s industry.

After Fan Wubing got off the plane, he immediately held a high-level meeting in the airport conference room to inquire about some recent situations.

"In fact, this situation has existed for a long time. It's just that it was not born in our Fan Airlines," an executive reported to Fan Wubing.

Fan Wubing nodded, remembering that an airline executive once said before, either you are promoted by the leader or you are an entrepreneur. The real entrepreneur is not like us. Only the market can create entrepreneurs. We are just officials and businessmen.

As for Fan Wubing, he appreciated this sentence, because this sentence reveals the major problem that is currently widely present in state-owned enterprises, that is, the essence of senior executives not being official or business.

Since 1985, the decentralization process of airlines began in China. At that time, only the Civil Aviation Administration was the only national carrier in China and transformed into introducing regional-based airlines, such as the establishment of China Southern Airlines, Southwest Airlines, Northwest Airlines, China Eastern Airlines, etc.

The central government owns some airlines, and some provincial local governments support the establishment of some airline "air companies, such as Sichuan Airlines, Shandong Airlines and Hainan Airlines.

By the early 1990s, as new airlines entered the market one after another, it not only caused fierce market competition at that time, but also prompted airlines to expand fleets and networks quickly. Due to the split of the aviation market, the State Administration of Civil Aviation stopped issuing operation licenses to new airlines in 1994, and nearly forty airlines were already operating.

Fan's Airline, a private airline, can only be said to be a special one. The situation was quite complicated at that time. In addition, Fan Wubing's investment created the largest comprehensive airport in China, which also had a certain demonstration effect. What's more, Fan Wubing introduced a large number of advanced passenger aircraft and transport aircraft through Panshi Airport to improve domestic shipping conditions, so the senior management specially approved this very special existence.

Later, due to the relaxation of fares and the impact of the Asian financial crisis, destructive competition in the air transportation market occurred. In 1998, the entire industry suffered large losses.

At this time, it was the time for Fan’s Airline to show its grand exhibition. State-owned shipping companies have inherent shortcomings. However, Fan’s Airline does not have so many problems, so it can easily become a leader in the industry and the only most dynamic private airline in China.

Now, airlines have ushered in a major integration, including the merger of China Southwest Airlines, the merger of China Southwest Airlines and Yunnan Airlines, and the merger of China North Airlines and Xinjiang Airlines, becoming the three largest airlines in China, forming a three-legged stalemate. The competition for airlines' life-and-death flight resources has also begun.

What is the golden moment? It is to wait for money.

The head of the marketing department of an airline said that the route Shixuan Resources is one of the most important core competitive resources of an airline in addition to capacity. No matter how good your marketing is, you can do your best to serve. Given that you can't sell tickets at two or three in the morning, you will not only have to make money from the gas.

Strive for more and better routes and flight time resources to become the same goal of each airline.

Even state-owned airlines that have been inseparable from relatives are so competitive, so the situation of private airlines like any airline can be imagined. No wonder some people dare to make trouble at this time. It is probably because of this opportunity to test Fan Wubing's reaction.

Fan Wubing has seriously considered this issue and felt that this time the matter was not simple. It is very likely that it was a practical battle caused by the conflict of concepts about nationalization and privatization.

Recently, news has come out that it is very likely that the door to the monopoly of domestic civil aviation industry will be opened in the near future. Private capital has poured into the civil aviation industry and is unstoppable. The various hidden levels of the private aviation industry that are stuck will come one after another, but the most critical of this is that the saturated resources in various places have become the most realistic constraint.

When not competing for high-quality moments with large airlines, private airlines can only turn to low-price strategies and launch price reduction activities intensively. However, these measures will obviously be collectively boycotted by peers with state-owned backgrounds. There may even be a bad situation where ticket sales systems are banned, but this low-price strategy has not been favored by the industry, thinking that it is not a long-term solution.

Golden Time of Popular Routes

There are large airlines that firmly control the support of private aviation, and financial institutions do not have a fair policy environment for private aviation, which makes private aviation difficult.

Although airlines of various ownership systems compete fiercely at terminals, most of their businesses are still outside the market.

Too scarce resources and too concentrated approvals. Let airlines that should be freely competing in the market place marketing targets the Civil Aviation Administration, a national department that can determine the life and death of an airline.

According to an executive of Fan’s Airline, the price of Xuan’s daily price at Duwubing is over 10 million yuan at Duzhou Airport.

Some airlines give houses and cars. The cost spent is recorded in the company's account as entertainment expenses, and the collective money is used to make profits. This is legitimate within the airline. All the best costs will eventually enter the air ticket price and be paid by all consumers, resulting in the domestic air ticket price still at the world's high level.

"** Civil Aviation Administration nbsp;nbsp;" said Fan Wubing, but he has no better solution now.

The State Administration of Civil Aviation belongs to the collective. However, it is difficult to explain clearly who the beneficiaries behind this collective. Before we figure out the situation, Fan Wubing will definitely not take a big move. He will not take action rashly if he cannot find the other party's fatal point. This is also the principle that Fan Wubing has always adhered to.

In the 1980s, in order to alleviate the huge contradiction between supply and demand of goods, the country tried to divide the same commodity into two types: in-plan and unplanned goods. It was sold at a lower price within the plan, and at a market price within the plan. This is the price dual track.

This dual-track system will help to a certain extent realize the transformation of China's price model, promote the transformation of the price formation mechanism, and gradually introduce the market mechanism into the production and exchange of large and medium-sized state-owned enterprises.

But on the other hand, when the economy is overheated, the contradiction between supply and demand is sharp, and the gap between price and market price is huge, this gives some officials and illegal people a lot of room for rent-seeking. Therefore, some officials sell the planned goods to the black market and earn the difference from it. China's counter-in-law economy kicks off and gives birth to the first batch of China's powerful capital.

With the deepening of reforms, the market economy gradually improved, and began in the 1990s. The price dual-track system gradually disappeared and no longer had legitimacy. However, the modified price dual-track system has never withdrawn from the stage of history and has always appeared in various aspects of social life.

In addition to the timely approval of routes, another rent-seeking black hole for civil aviation is the charter flight business derived from the centralized approval of Shihai.

If you want to operate a certain route, the only way is to apply for approval. If the charter company has a fancy to a certain route, it needs to first submit approval to the corresponding regional administration, and then the Civil Aviation Administration will approve it. First get the flight and line management rights, then apply for flight time, and then transfer it to other airlines.

During the approval and transfer process of a series of projects, huge rent-seeking space has been created.

In the early years, when the charter business was booming, some companies directly contracted the charter flights of some popular routes and then sold them to travel agencies. Taking Beijing flying to Sanya as an example, if you book a flight, the charter fee will be 200,000 yuan to 300,000 yuan, and the profit of the middlemen will be about 20%.

The earliest group of businessmen in China engaged in civil aviation charter business started to participate in aviation charter business in the 1990s. They started by selling air tickets. Later, some people also established airlines and gradually accumulated deep connections in the civil aviation industry.

These people are not actually engaged in shipping business. They just bribed some leaders of civil aviation to obtain the flights they had at Du Airport. Then they sold some of them to China Southern Airlines and made money.

"If you apply for the time, the administration will show you the timetable and tell you that it is full." A senior executive of Fan's Airlines said to Fan Wubing helplessly, "But if you go to a more strong intermediary or charter flight dealer at this time, maybe the routes and moments that are hidden will be there again. This is the case in reality."

For example, in the 1990s, it was a golden age when Russia's foreign trade was famous. At that time, it was very troublesome for domestic hairy aircraft to fly to Russia to pass customs, but if it was a Russian charter flight, it would often be cleared in gray customs.

As long as you have goods and planes in your hands, you only need to clear the last obstacle and you can get through the road without any obstacles. This is the route operation rights and flight moments. These resources are precisely in the hands of the Transportation Department of the Civil Aviation Administration.
Chapter completed!