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Abstract

The Chinese airline industry has grown rapidly in the last 30 years, with China's air travel market becoming the second largest in the world since 2005. However, the fast development of China's high-speed rail (HSR) is challenging the airline industry's growth. Using quarterly route level panel data of air passenger demand from 2010 to 2013, this paper analyzes the effects of HSR on China's Big Three airlines. We find that the entry of HSR has a strong negative impact on the air transport demand, and the air demand becomes much more elastic after the introduction of parallel HSR service. Moreover, we find that while the impact of HSR on airlines is severe in thin markets, it is insignificant in thick markets. We also find that the price difference between airfare and HSR fare plays an important role when passengers choose between HSR and air transport. In terms of service levels, HSR travel time has much stronger effect on the air transport demand than HSR service frequency.

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... This result is in agreement with that from another study which found that on average HSR consumes 29% less energy than conventional railway systems [13]. In addition, increasing the number of HSR frequencies can also lead to reduced concentrations of PM2.5 [14]. In 2019, 180 of 336 surveyed cities in China possessed concentrations of PM2.5 that exceeded the required air standards. ...
... In 2019, 180 of 336 surveyed cities in China possessed concentrations of PM2.5 that exceeded the required air standards. Thus, the investigations carried forward by Zhang and his team [14] examined HSR frequencies among these cities and specifically tried to determine if there was any correlation with the elevated PM2.5 concentrations. Zhang's work not only found that air pollution improved at the origin and destination cities, but also along every station on the lines [14]. ...
... Thus, the investigations carried forward by Zhang and his team [14] examined HSR frequencies among these cities and specifically tried to determine if there was any correlation with the elevated PM2.5 concentrations. Zhang's work not only found that air pollution improved at the origin and destination cities, but also along every station on the lines [14]. ...
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This work reviews the development of High-Speed Rail (HSR) in China from multiple energy perspectives and discusses its implications with regards to reaching net-zero within the country’s transportation sector. This paper finds that HSR contributes to several research-backed environmental benefits, such as reductions in PM2.5 concentrations and other pollutants in both a local and nation-wide scale. In addition, HSR provides greater connectivity across the country, facilitates quick movement between the growing urban population centers, and diverts passengers from taking more polluting types of transportation, such as airplanes. However, the operation of HSR lines can have large environmental effects when considering the project full life cycle (such as construction and maintenance) and scopes two and three emissions (such as the production of the electricity powering these trains, mostly coal). Moreover, when compared to conventional electric rail, HSR pollutes more, due to the non-trivial association between energy and speed. Lastly, the over construction of passenger HSR has also disregarded the development of freight rail, shifting the transport of cargo to other more polluting yet less expensive modes, like trucking. This work concludes by recommending a series of points that the Chinese government, policy makers and transportation planners could implement in order to use HSR more effectively as a tool for decarbonizing the transportation industry in the country.
... For example, variations in travel time (i.e., in-vehicle time and access time) (Dobruszkes et al., 2017;Yang et al., 2018) matter more to travelers in China, whereas in Europe, travel time (Dobruszkes et al., 2017), frequency (Dobruszkes, 2011), or both (Behrens and Pels, 2012) matter. Ticket prices (Yang et al., 2018;Zhang et al., 2017) also influence travelers' choices in different regions (Table 1). In other words, a traveler in China is likely to choose a mode of transportation based on which mode will take the shortest time, whereas in Europe a traveler may choose a travel mode based on not only shortest travel time but also how frequently the transport is available. ...
... In China, airline industry deregulation has created flexible airfares and more air carrier licenses for private companies, including LCCs (Wang et al., 2016;Zhang et al., 2017). Hence, the Chinese airline industry has recently experienced a high growth period (Yang et al., 2018). ...
... That is to say, a traveler in Texas is more likely to choose a mode of transportation based on immediacy because of their car-oriented culture and the low population density of U.S. cities compared to those in Europe and Asia. The result is different than China where travel time (Dobruszkes et al., 2017;Yang et al., 2018) or ticket prices matter more (Yang et al., 2018;Zhang et al., 2017), whereas in Europe, travel time (Dobruszkes et al., 2017), frequency (Dobruszkes, 2011), or both (Behrens andPels, 2012) matter. ...
Article
High-speed rails (HSR) are common in Europe and Asia, but the U.S. still does not have an operational HSR network. Subsequently, literature on HSR in the U.S. socio-spatial context is very limited. To address this gap in the literature, we focus on the Dallas-Houston HSR project, planned to provide service in 2026, to investigate the critical attributes travelers consider when choosing between air and HSR. This study also explores the potential impacts HSR would have on airlines sharing this route. To examine these attributes and the potential effects of this HSR, we performed a stated preference survey, discrete choice analysis, and applied Monte Carlo simulation. Our results show that service frequency is an essential factor for travelers choosing a mode of transportation between Dallas and Houston. A potential competition and cooperation opportunity exist between airlines and HSR on this corridor.
... Extensive studies have attempted to evaluate the modal relationship between the HSR and aviation [9][10][11][12]15,22,[36][37][38]. For instance, under normal circumstances, a substitutional relationship might exist between HSR and aviation as the rapid development of HSR recently in China [38]. ...
... Extensive studies have attempted to evaluate the modal relationship between the HSR and aviation [9][10][11][12]15,22,[36][37][38]. For instance, under normal circumstances, a substitutional relationship might exist between HSR and aviation as the rapid development of HSR recently in China [38]. As a result, the demand increase in one mode is likely to lead to the demand decrease of the alternative mode. ...
... Previous studies have also used the elasticity/cross elasticity to quantitatively examine the relationship between HSR and aviation [38,[40][41][42][43][44][45]. For instance, through examining time elasticity and price elasticity, the level of the competition of HSR in air transportation is very low in the Madrid-Zaragoza corridor [42]. ...
Article
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Intercity transportation systems have experienced severe disruptions since the outbreak of COVID-19. However, it remains unclear how the operations of different systems were affected and whether the pandemic has influenced modal interaction. This paper provides an empirical assessment to address these questions using high-speed rail (HSR) and aviation in China as an example. The impact of COVID-19 on aviation and HSR operations was examined both temporally and spatially using a high-dimensional fixed-effect panel model. Using the big data with daily operational frequency for the period of January–June 2020, the study shows that the lockdown of Wuhan had varying effects on the operations of HSR and aviation. In addition, the correlation of operational services between HSR and aviation was found to vary both spatially and temporally during the pandemic. These research findings provide important implications for improving the adaptability of transportation systems and operational resilience.
... Incumbent airlines have also found other strategies to mitigate the serious entrance threat of HSRs, like decreasing the number of air seats (Albalate et al., 2015), or diluting efforts to enhance their ontime performance (Jiang et al., 2022). Anyway, the incumbent operators should be ready to offer competitive (lower) prices after the HSR entrance (Ma et al., 2019;Raturi et al., 2013;Zhang et al., 2017). Consequently, some non-pricing policies, like enhancing operational efficiency, give them more flexibility to offer competitive prices . ...
... The insights about non-pricing policies provide two main contributions to the first research stream reviewed in Section 2.1. Nonpricing policies are suggested in the work of Zhang et al. (2017), but as a reaction to the increase in the price elasticity of demand of passengers after the HSR entrance. However, we suggest these policies as a reaction of severe entrance threat of HSR. ...
Article
We investigate pricing competition between passenger transportation modes in a transportation market by using a game-theoretic approach. Airplane and intercity bus operators are considered as incumbent; while a High-Speed Rail (HSR) operator decides on whether or not to enter the market. If the incumbent operators evaluate the entrance threat of HSR as serious, they have two alternatives: a barrier pricing strategy (BPS) to deter its entrance, and an accommodation pricing strategy (APS). Their interaction involves two competitive and cooperative aspects, called the coopetition interaction. Moreover, we extend the analysis to a real-world situation in which a government, as a social welfare maximizer, intends to certify and support one operator out of two candidate HSR operators. Our analyses reveal that: (a) the passengers’ heterogeneity (with respect to their perceptions on the operators’ quality of services) is the main driver for pricing competition between the three operators. (b) Under certain conditions, implementing a BPS is not only precluded for the incumbent operators, but also their pricing strategies cannot even guarantee their survival in the market. To address this issue, we suggest the incumbent operators adopt non-pricing strategies. Nevertheless, an incumbent operator may freely ride on the other ones’ non-pricing strategy. (c) Under a short-term (long-term) planning horizon, the government should specifically concentrate on compensating for the HSR operating cost (procurement cost of rolling stock). (d) In contrast to the short run, government expenses and the HSR’s profit exploitation provide a strong foundation for the passengers’ full satisfaction in the long run.
... Airlines tend to increase the frequency of flights for more market share. Researchers like Wang et al. (2017) and Zhang et al. (2017) discussed the impacts of HSR from the standpoint of market demand. summarised that HSR and air transport could coexist on some routes with heavy demand. ...
... For those routes with poor demand, only the travel mode that has higher operational and cost efficiency will be adopted. Zhang et al. (2017) shared this view and implied that, for those routes with thick markets that have more competition and demand, more HSR services are required to prevent the price war among different service providers. ...
Article
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This study examines how residents in Suzhou, China choose between different travel modes for domestic intercity travel. Suzhou provides an interesting case study because of its developed high-speed rail (HSR) network and proximity to three major airports. Semi-structured qualitative interviews were administered to 158 participants to obtain information about their most recent intercity trip and important factors for choosing travel modes. The interviews were thematically analysed, and participants were coded as being in or out of themes to allow for chi-squared tests of independence (to examine associations between themes and demographic variables) and binary logistic regressions (to predict travel mode choice based upon themes). The findings show that accessibility, convenience, and price increase the likelihood of a participant having chosen HSR. However, the more important contribution is methodological, highlighting the importance of studying actual behaviours (rather than attitudes and preferences) and avoiding the issues of self-generated validity and construct creation.
... With the rapid construction of high-speed rail (HSR) across the world, HSR has rapidly become a major and strong competitor of air transportation in short-and medium-haul markets (Dobruszkes, 2011;Dobruszkes et al., 2014;Zhang et al., 2017). However, HSR and aviation are not only purely competitive. ...
... Regarding competition, Wan et al. (2016) studied the impact of HSR on air travel in Southeast Asia and found that the emergence of HSR had a substantial negative effect on medium-and short-haul flights but a relatively small effect on the long-haul market. Similarly, Zhang et al. (2017) explored the impact of HSR on three major airlines in China and concluded that HSR reduced the air travel demand for the corresponding short-haul flights of these airlines. Dobruszkes et al. (2014) analyzed the impact of HSR on flight service levels in Europe and found that HSR negatively affects the service levels of short-haul flights, but the impact decreases as the travel time of HSR increases. ...
Article
To increase the understanding of passenger choice of air-rail integrated services (ARIS), the present paper a) analyzes the profile of intermodal passengers by classifying them based on their socioeconomic and travel characteristics and (b) uncovers any heterogeneity in passenger satisfaction with ARIS among different passenger groups. Through collecting 1,345 passenger satisfaction questionnaires about ARIS, surveyed in Shijiazhuang, China, we first apply latent class clustering to classify passengers into three groups. Then, the key factors affecting passenger satisfaction and its subsequent effect on loyalty and complaints are identified using a partial least squares structural equation model. Finally, path heterogeneities in different passenger groups are explored using a multi-group analysis. The results show that the three passenger groups attach similar importance to ticket services, reliability, accessibility and comfort, while some noticeable differences in perception are identified in personalized services, information services, and connectivity.
... Among them, social-economic factors capture the urban economic and geographical characteristics such as GDP, population and distance (McCallum, 1995;Grosche et al., 2007), national per capita income (Chang, 2012), and an industrial and employment structure (Li and Loo, 2016b). Transportation service factors consist of service indicators such as average fares (Clewlow et al., 2014;Zhang et al., 2017), direct service, number of daily non-stop flights and average number of seats (Hazledine, 2014), hub status of the airport (Bhadra, 2003), and direct airport connectivity (Boonekamp et al., 2018). In addition to the aforementioned factors, market competition indicators such as low-cost carrier competition (LCC) (Fu et al., 2015;Zhang and Zhang, 2016;Zhang et al., 2017), Herfindahl-Hirschman index (HHI) (Albalate et al., 2015), and HSR competition (Wan et al., 2016) affect airline passenger demand. ...
... Transportation service factors consist of service indicators such as average fares (Clewlow et al., 2014;Zhang et al., 2017), direct service, number of daily non-stop flights and average number of seats (Hazledine, 2014), hub status of the airport (Bhadra, 2003), and direct airport connectivity (Boonekamp et al., 2018). In addition to the aforementioned factors, market competition indicators such as low-cost carrier competition (LCC) (Fu et al., 2015;Zhang and Zhang, 2016;Zhang et al., 2017), Herfindahl-Hirschman index (HHI) (Albalate et al., 2015), and HSR competition (Wan et al., 2016) affect airline passenger demand. ...
Article
While there is a rich body of literature on the impact of high-speed rail (HSR) on aviation, research on railway speedup and the consequent environmental effects remains scarce. We apply an augmented gravity model to examine the effect of railway speedup on air travel demand and CO2 emissions for 546 city pairs from 2013 to 2017. We observe that, on average, railway weighted operation speed increased from 100.9 km/h in 2013 to 141.2 km/h in 2017. As railway operation speed increased by 39.94%, the number of airline passengers declined by 29.84% for all market segments. During the research period, about 104.92 million air passengers shifted to rail transport due to improved rail services driven by speed, leading to a reduction of 13.57 million tons of CO2 emissions. Our findings highlight the importance of optimizing transportation structure to reduce CO2 emissions.
... Similarly, in China, the entry of HSR has had a strong negative impact on air transportation demand. After the introduction of parallel HSR services, air transportation demand has become more flexible [12]. Under certain conditions, HSR has competitive advantages; researchers have confirmed the conventional theory that HSR attracts more passengers than air transportation within distances of 300-500 km [13], and HSR would be competitive against air transportation in terms of network connectivity, total travel time, and cost efficiency in the short-medium-haul market [14]. ...
Article
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As China’s high-speed rail and civil aviation gradually move from a competitive relationship to a cooperative relationship, air-rail integration services (ARISs) have begun to be promoted, and an increasing number of passengers are choosing the combined travel mode of high-speed rail and aviation. As two long-distance transportation modes are involved, transfer time also affects transfer service satisfaction, and the factors affecting the transfer time of ARIS need to be further clarified. In this study, a stated preference (SP) survey on the transfer reservation time of ARIS passengers was conducted, the perception accuracy of the transfer reservation time was analyzed, and the influencing factors of the transfer reservation time in each link were analyzed by using a multivariate ordered logistic regression model. The results show that the average transfer time of air-rail combined transportation passengers is 102 to 128 min; more than half of passengers’ reservation time is reasonable; and passengers’ genders, educations, occupations, incomes, travel modes, costs, and distances have different degrees of impact on the transfer reservation time. This study holds a certain guiding significance for improving the service quality of air-rail intermodal transportation and improving transfer efficiency and provides a theoretical basis for personalized and customized services for air-rail intermodal passengers.
... assengers. Previous studies have identified several factors that can affect one mode choice. Factors related to trip characteristics include cost difference, trip frequency, travel time, trip length, and seat availability (Albalate, Bel, & Fageda, 2015;Behrens & Pels, 2012;Castillo-Manzano et al., 2015;Yang et al., 2018;A. Zhang, Wan, & Yang, 2019;Q. Zhang, Yang, & Wang, 2017). Meanwhile, demographic and economic profile factors include GDP, fuel price, hub status, population, and population density (Albalate et al., 2015;Castillo-Manzano et al., 2015). The trip purpose is one of the qualitative factors that can influence passenger mode choice (Chantruthai, Taneerananon, & Taneerananon, 2014). However, not ma ...
Article
Jakarta – Surabaya Corridor plays an important role in connecting two major metropolitan cities in Java Island on each end and other cities in between the corridors. The corridor is currently served by highway, conventional rail network, and air transport mode. However, due to high trip demand, this corridor almost reaches its capacity. Developing a high-speed train network between Jakarta – Surabaya is one of the priority programs stated in the National Railway Masterplan (RIPNAS). The Jakarta – Surabaya high-speed train will be a competitor to the existing air transportation services, as both modes have competitive travel time and pricing. Previous studies have shown that operation HSR could have an adverse effect on the demand for airplane passengers. Passenger mode choice can be influenced by several factors, including the trip’s purpose. This study aims to understand the differences between leisure and non-leisure trip maker in choosing their mode. Specifically, this study focuses on the competition between a high-speed train and existing air transport service on Jakarta – Surabaya Corridor. A stated preference survey was used to collect data on passenger mode choice. The logit binomial model was used to model the mode choice, with time and cost differences as the quantitative independent variables and trip purpose as the qualitative variable. This study used a dummy variable to represent the different trip purposes, leisure and non-leisure. The result found that the odds ratio is 0.646, which indicated that passengers on leisure trips are less likely to move to HST from the airplane. This result is useful for the planner as it can indicate the potential passenger demographic and come up with services that suit their needs.
... Gonzalez-Savignat (2004) suggests that if HSR upgrades its services, it will largely replace the airline, predicting that in the commercial sector, HSR is anticipated to capture 40% of the market, and in the leisure sector, approximately 60% [18]. The substitution effect of HSR on air transport is produced by luring traditional air travelers [19,20]. HSR could draw about 25% of the passenger market share once the infrastructure has been updated, according to Martin and Nombela (2007) [21] and Roman et al., (2007) [22]. ...
Article
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High-speed rail (HSR) is advancing at an unprecedented speed in China. However, its impact on the road passenger transport (RPT) is under-investigated. In this paper, a questionnaire survey of RPT and HSR passengers in Shaoguan, Wenzhou, and Shantou, China, was carried out to pursue the sustainable development of RPT and HSR from the aspect of passenger mode choice behavior. The travel mode in the three cities was further investigated using a binary logit model. The findings show that improving the safety and comfort of RPT, as well as the fares and convenience of HSR, are most likely to change passenger choice. For every one unit increase in passenger satisfaction with either the safety or comfort of RPT, the ratio of the probability of passengers choosing RPT to the probability of passengers choosing HSR will increase by 1.6 times and 4.8 times, respectively. Additionally, for every one unit increase in passenger satisfaction with either HSR fares or convenience, the ratio of probability of passengers choosing HSR to the probability of passengers choosing RPT will increase by 4.95 times and 7.011 times, respectively. This study’s results reveal the factors influencing passengers’ choice of HSR and RPT, providing crucial perspectives on sustainable developments for future HSR and RPT projects. Findings from this study may be used by transport planners to provide policy recommendations not just for China, but also for other countries that are building HSR systems.
... The paper by Zhang et al. (2017) focuses on the structural vulnerability of high-speed rail networks subjected to two different malicious attacks. It was found that the Japanese high-speed rail network has the best global connectivity; but the Chinese high-speed rail network has the best local connectivity and has the greatest transport capacity. ...
Article
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At the 2014 International Transport Forum, it was established that ports, border crossings and key industrial centers in Mexico are well connected. Under this premise, the Mexican rail network was analyzed applying the complex networks approach; through the corresponding performance measures, the relevance of the stations was determined; then the robustness against targeted attacks and against random failures was analyzed. The degree follows an exponential probability distribution; it was identified a set of nodes that controls 19% of the shortest routes; two cities are included in the set; five points are closest to the rest of nodes; the same two cities are also included in the set. Through the closeness centrality we observed that in the Mexican network the distance between the stations shows low variability. The network is sensitive attacks directed to the nodes with the highest betweenness value; the number of components increases faster compared to random failures. This work is of interest to those responsible for the management and planning of transport systems.
... Generally, GDP and population (as economic factors) are considered the main factors affecting transportation services and are widely used as explanatory variables in empirical research [41,42]. CMATN is mainly located in the central and eastern parts of China where the economy is relatively developed and the population is relatively dense. ...
Article
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The COVID-19 pandemic had an unprecedented impact on the civil aviation passenger transport industry. This study analyzes the scale change and spatial distribution of the Chinese main air transport network (CMATN) and its role in the early spread of the pandemic using a complex network analysis method and econometric model. The result shows that CMATN is mainly located in the economically developed and densely populated central and eastern regions of China. The normalized degree, closeness, and betweenness centralities of CMATN node cities show an overall increasing trend, indicating that the air transport network is constantly improving. There was a significant positive relationship between the centrality of node cities, the duration of the COVID-19 pandemic, and the number of confirmed cases, indicating that air transport networks were crucial in the pandemic’s early spread. Furthermore, social and economic variables such as GDP and population had a significant positive impact on the duration of the pandemic, indicating that higher levels of social and economic development increased the seriousness of the pandemic. Our findings are expected to supplement existing research and serve as a point of reference for pandemic prevention and control.
... Several researchers have found substantial substitution impacts between HSR and enplanements [13,36,38], the number of seats [39] and airfare [40], among other things, for shorter-haul routes. However, compared with the big three carriers (i.e., Air China, China Eastern, and China Southern) in China, Spring's reactions to the presence of HSR were much more immediate [12]. ...
Article
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This paper investigates the impact of market structure and high-speed rail on China’s low-cost carrier Spring Airlines’ entry patterns during the pre-pandemic period. Dividing the air transport system into discrete distance segments (i.e., short-, medium- and long-haul) helps better reveal critical factors that affect the route entry of Spring. Given the existence of market power in China’s airline industry and the capacity constraints at major airports, Spring strives to enter routes that can accommodate more potential entrants without a strong response from incumbents and are connected with more concentrated or lower-capacity airports. The complementary and competition effects of high-speed rail are well-distinguished in different distance ranges.
... On the one hand, some studies indicate that HSR has a negative impact on air transportation due to its substitutional effect on air, which results in reductions in air travel demand and airlines' seat capacity (Jiménez and Betancor 2012;Wan et al. 2016;Zhang, Yang, and Wang 2017). However, the substitutional effects of HSR on air travel vary due to the influence of factors such as routes, travel distance, city type, and country of destination (Chen 2017;Chai et al. 2018;Wan et al. 2016). ...
Chapter
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The chapter talks about the challenges & way forward in developing capacity among Indian construction workforce in the context of handling megaprojects such as High-Speed Rail.
... Air-HSR competition and cooperation have recently become an important topic receiving significant attention, partly due to the rapid development of HSR in Asian and European markets. On the one hand, the HSR service is a competitive alternative to air transport, particularly on the short-and medium-haul routes (Vickerman, 1997;Park and Ha, 2006;Adler et al., 2010;Dobruszkes et al., 2014;Fu et al., 2014;Zhang et al., 2014;D'Alfonso et al., 2016;Jiang and Zhang, 2016;Xia and Zhang, 2016;Wang et al., 2017;Zhang et al., 2017;Wang et al., 2018;Su et al. 2020). HSR achieves competitive advantages in network connectivity, and journey time and cost in many markets (see, e.g., González-Savignat, 2004;Park and Ha, 2006;Roman et al., 2007;Fu et al., 2012;Yang and Zhang, 2012 For example, Socorro and Viecens (2013) analyzed the effects of air-HSR cooperation on social welfare and environment. ...
Article
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This paper investigates the effects of air and high-speed rail (HSR) cooperation on multi-airport systems (MAS). Two types of airport regimes are examined, namely profit-maximizing airports vis-à-vis welfare-maximizing airports. Stakeholders’ decisions are analyzed in a vertical structure model and benchmarked across six scenarios characterizing the relationships between airports and between airline and HSR operator, under different airport ownership and objective regimes. Extensions to incorporating airline heterogeneity and air-HSR revenue sharing are also explored. The results suggest that in the case of profit-maximizing airports, (i) the effect of airport collaboration on the profit of transfer airport is ambiguous, regardless of air-HSR cooperation or not; (ii) although the air-HSR cooperation can enhance total profit of the airport system with airport collaboration, its effect is undetermined under airport non-collaboration; (iii) although the full cooperation can lead to the highest total profit of the airport system, it may not be the best scheme in terms of social welfare; (iv) In general, an airline is more likely to provide air-HSR inter-modal service in the presence of costly hub airport congestion, low degree of substitution between direct air service and air-HSR inter-modal service, or when the competition on the direct air route is not very significant. Air-HSR cooperation offers promising improvements to the MAS, and the associated welfare benefits would be more significant with inter-airport competition, especially in the case of profit-maximizing airports. Our study highlights the importance of maintaining inter-airport competition when air-HSR service is introduced into an MAS as an alternative to direct aviation services, and explains why subsidy to such service may be justified.
... Some studies indicated that HSR has a negative impact on air transportation due to its substitutional effect on air, which results in reductions in air travel demand and airlines' seat capacity (Jiménez & Betancor, 2012;Wan, Ha, Yoshida, & Zhang, 2016;Zhang, Yang, & Wang, 2017). However, the substitutional effects of HSR on air travel vary due to the influence of factors, such as routes, travel distance, city type, and countries (Chai et al., 2018;Chen, 2017;Wan et al., 2016). ...
Article
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The interest in the socioeconomic impact assessments of the high-speed rail (HSR) system is burgeoning as many countries are considering investing in such a system. While extensive studies have provided a wide range of evaluations of HSR on the socioeconomic impact, primarily from an ex-post perspective, it remains unclear how reliable the evaluation outcomes were, given the variety of data, method and research framework being adopted. This paper provides a comprehensive review of the socioeconomic impact studies of high-speed rail (HSR), based on 242 academic publications. In particular, we examined to what extent the impact outcome is influenced by various modelling factors, such as data, model, and research design, using meta-analysis based on 368 empirical estimates derived from 45 empirical studies. Our analysis confirms that the factors of research design (e.g. variables, data, and modelling method) do have various influences on the empirical estimates of HSR project appraisals. In the end, the paper discusses the implications for future infrastructure project appraisals.
... On the one hand, some studies indicate that HSR has a negative impact on air transportation due to its substitutional effect on air, which results in reductions in air travel demand and airlines' seat capacity (Jiménez and Betancor 2012;Wan et al. 2016;Zhang, Yang, and Wang 2017). However, the substitutional effects of HSR on air travel vary due to the influence of factors such as routes, travel distance, city type, and country of destination (Chen 2017;Chai et al. 2018;Wan et al. 2016). ...
Chapter
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Understanding the consequences of the bulk of investment in transport and communication remains a growing concern for policy makers and academics due to limited studies from a macro perspective. Thus, this study empirically investigates the effects of transport investment and other factors on the quality of life and its various components. [Kindly check Chapter number 17, page 434-454]
... The interaction between HSR and other transport modes, such as aviation, has received significant attention. Many studies have shown that HSR has a substitution effect on air transport by attracting typical airline travelers, thus reducing air transport demand (Jiménez and Betancor, 2012;Wan et al., 2016;Zhang et al., 2017;Kroes and Savelberg, 2019). The competition between HSR and air is dependent on major factors such as distance, price, travel time, and service frequency (Behrens and Pels, 2012;Li and Sheng, 2016;Danapour et al., 2018). ...
Article
Although many studies have evaluated the impact of high-speed rail (HSR) development on transportation connectivity and accessibility, it remains rare to what extent the introduction of HSR may influence the operational capacities of freight and conventional passenger rail services. This paper addresses this question by examining the spatial and temporal variations of transport capacities of different rail systems. In addition, the interaction effects of different rail systems were investigated using a structural equation model. The results reveal that the spatial and temporal evolution of operational capacity varies significantly among freight, conventional passenger, and high-speed passenger rail systems. Moreover, HSR was found to have a substitutional effect on conventional passenger rail, although the effects vary spatially in different corridors. Furthermore, the operational capacity of conventional passenger rail is negatively associated with that of freight rail, which confirms that a service cut in conventional passenger rail contributes to an increase in the capacity of freight rail. The analysis also demonstrates that HSR promotes the expansion of freight rail capacity through its substitutional effect on conventional passenger rail. These findings provide important implications for transportation planners to optimize operational plans, in order to improve the performance of various rail services.
... Bearings are an important part of high-speed railway trains, and thus, their quality and stability receive considerable attention [1,2]. The fatigue performance and damage evaluation of the high-speed railway bearing steel are also taken seriously [3,4]. ...
Article
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Hot rolling can improve the mechanical properties after heat treatment by improving the microstructure. The effect of hot rolling (HR) deformation on the microstructural transformation of G20CrNi2MoA bearing steel in the subsequent CQT (carburizing-quenching and tempering) and RQT (reheating-quenching and tempering) processes was studied. The results indicate that the austenite grain size decreased by 20% after 45% hot rolling reduction, and the number of large-angle grain boundaries increased due to the recovery and recrystallization induced by hot deformation. The refinement effect of hot deformation on austenite grains was retained after dual austenitizing, and the large-angle grain boundaries and massive dislocation in the grains caused by hot deformation promoted the diffusion of carbon atoms during carburization, resulting in a higher surface carbon concentration. The refined grains and higher carbon concentration affected the volume fraction and size of undissolved carbides in RQT specimens. When the initial hot rolling reduction reached 45%, the average particle size of carbides decreased by 40%, and the area volume fraction increased by 37%. The Vickers hardness increased, but the friction coefficient and wear rate were significantly reduced with the increase in the initial hot rolling reduction. The main reasons for the improved wear resistance were fine grains, superior carbide distribution and high hardness.
... Where HSR gains a significant share of the intercity passenger travel market, it exerts an important influence on population migration, business travel, and other activities. Compared with short-haul air transport, HSR offers a high punctuality rate and relatively low cost, leading to high market share in short-to-medium distance markets (Kamga, 2015;Wan et al., 2016;Chai et al., 2018; Zhang et al., 2017. The introduction of HSR has been shown to stimulate travel demand (Givoni and Dobruszkes, 2013), and thus greater use of mobility is often induced (Ren et al., 2019). ...
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Advances in transport technology have been shown to play a vital role in urban development over millennia. From the engineering and pavement innovations of the Roman road network to the aerospace breakthroughs that enabled jet aircraft, cities have been reshaped by the mobility changes resulting from new designs for moving people and goods. This article explores the urbanization impacts of High-Speed Rail's introduction in China, which has built the world's largest High-Speed Rail network in record time. Since High-Speed Rail was launched in Japan in 1964, this technology has worked to reshape intercity travel as a revolutionary transportation alternative. High-Speed Rail has developed steadily across Japan, France, Germany, Italy, Switzerland during the 1970s and 1980s. It expanded to Russia, Spain, the United Kingdom, and Sweden in the 1990s. In the 21st century, China began developing High-Speed Rail on an unprecedented scale, and now has a national network that is longer than the totality of the rest of the world's High-Speed Rail operations combined. China's High-Speed Rail operation is exerting a transformative influence on urban form and function. This article synthesizes secondary research results to analyse the impacts of HSR on urbanization. These effects include population redistribution, urban spatial expansion and industrial development. We offer a typology that considers the urban effects of High-Speed Rail at three spatial levels: the station area, the urban jurisdiction, and the regional agglomeration. When organized through our typology, research findings demonstrate that High-Speed Rail influences urban population size, urban spatial layout and industrial development by changing the accessibility of cities. We highlight the processes by which High-Speed Rail ultimately affects the urbanization process for people, land use, and industrial development. However, High-Speed Rail's impacts on urbanization are not always positive. While leveraging the development opportunity enabled by High-Speed Rail, governments around the world should also avoid potential negative impacts by drawing lessons from the experience of High-Speed Rail's rapid deployment in China.
... 自 然 资 源 学 报 座位数等反映航空客运供需水平的指标为因变量,高铁服务特征、城市社会经济属性等 为自变量的回归模型,从而测度高速铁路对民航发展造成的实际影响 [11][12][13][14][15] 。 (3) 分析高铁 与民航系统的空间分布格局,以此来推测二者在空间上可能存在竞争的城市和城市对分 布 [16][17] 。王姣娥等 [17] 重点分析了高速铁路与民航客运在可能存在竞争的城市及其在空间上 的分布,但缺乏从城市对的视角进行研究。 总体而言,已有探究中国高铁与民航运输竞合关系相关研究仍以事前分析为主,探 讨高铁开通引发影响效应方面的研究相对较少,且一般仅以少数典型线路为研究对象。 如 Wan 等 [18] 以北上广为起讫点的航线为观测样本,建立双重差分模型揭示中国高铁开通 对航空座位数的负向影响;Zhang 等 [19] 基于三大航空公司运营的北上广与省会及副省级城 市间的 92 条航线季度数据,建立回归模型证实了高铁票价、旅行时间、频次等因子对民 航客运需求具有显著影响;Chen [20] Table 2 The classification of air routes by comparing the growth rate before and after the operation of HSR Table 3 The explanatory variables of regression model ...
... Due to its rapid extension and advantages such as reliability and network connectivity (Vespermann and Wald, 2011;Clewlow et al, 2012;Zhang et al., 2017), high-speed rail (HSR) offers fierce competition to air transportation in short-and medium-haul markets (Adler et al., 2010;Behrens and Pels, 2012;Wan et al., 2016). However, the relationship between HSR and air transportation is more luggage through-handling, and in-vehicle time. ...
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Air-rail integration services (ARIS) are a promising solution for intermodal travel, but they also offer challenges such as trip complexity and uncertainty that may negatively impact passenger satisfaction. This paper addresses the quality evaluation of ARIS with a twofold purpose, specifically , (1) to explore the causal relationships between the psychological and behavioral variables of passengers and (2) to identify different passenger groups for precise service improvements. The relationships among passenger expectations, perceived quality, perceived value, satisfaction, complaints and loyalty are hypothesized and analyzed by using a passenger satisfaction index (PSI) model based on a representative sample of 1,345 intermodal passengers at Shijiazhuang Zhengding International Airport (SJW). Next, a finite mixture partial least squares (FIMIX-PLS) technique is applied to explore the heterogeneity. The results suggest that perceived quality, perceived value and passenger expectations have a positive effect on passenger satisfaction , which, in turn, influences passenger loyalty and complaints. Moreover, three passenger segments are found, namely, "perceived value and expectation-oriented passengers", "perceived quality-oriented passengers", and "satisfied loyal-conscious passengers". Interestingly, an overall similarity in the perceived quality among the three passenger segments is observed with the importance-performance map analysis (IPMA) method. Nevertheless, some noticeable differences in the psychological-behavioral relationships of the three passenger segments are identified. Finally, managerial implications are discussed.
... Furthermore, the development of HSR poses a big challenge to traditional transport markets especially the air transport sector [5,20]. Zhang et al. [21] and Zhang et al. [22] demonstrated that the negative impacts on air transport are strong with the entry of HSR, particularly for major airline routes. e development of HSR has forced airline companies to reduce their prices and improve services, particularly punctuality to retain existing and attract new passengers [23,24]. ...
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In recent years, China keeps working on restructuring the country’s multimodal transport and highly develops the high-speed rail (HSR) infrastructure to improve transport efficiency. As the economic engine of China, the Yangtze River Delta region keeps leading the HSR development and the transporting modal transformation within the whole country. The fast development of HSR on the one hand highly improves passengers’ travel efficiency and, on the other hand, releases the capacity of conventional rail infrastructures to support regional multimodal freight transport. This study applies a three-level AHP structure and constructs a comprehensive index to evaluate the development of a rail-based multimodal freight transport network including railway, rail-water, and rail-road. The comprehensive index contains 14 quantitative and 8 qualitative indexes, covering the rail-based infrastructures, multimodal transport capability, freight transport performance, and transport sustainability. The comprehensive index is then applied to analyze the rail-based multimodal freight transport for the Yangtze River Delta region. The operational data of 59 freight stations and more than 200 railway links of the Yangtze River Delta were recorded. About 172 valid questionnaires were collected to score the qualitative indexes, and all the quantitative indexes are scored based on the real-life freight data. The results reveal the impacts of HSR development on rail freight transportation and show that Zhejiang has led rail freight transportation while Shanghai mainly leads the waterway freight transportation. Meanwhile, Anhui performs very well on road-rail transportation and Jiangsu has made a great improvement on water-rail transportation.
... With the fast market growth, there are also increasing number of studies dedicated to the Chinese airline market, including those on airline efficiency (e.g., Wang et al., 2014a;Yu et al., 2019), airline competition and pricing (e.g., Zhang and Round, 2009;Yan et al., 2019;Ma et al., 2020), LCC development, intermodal competition with high-speed rail (HSR) (e.g., Fu et al., 2012;Zhang et al., 2017;Liu et al., 2019). In addition, some recent studies also examine flight OTP in the Chinese market (e.g., Fu et al., 2020). ...
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Delay propagation is the flight departure delay caused by the arrival delay of pre-segment flight. Chinese airline market has suffered very poor on-time performance (OTP) in recent years. It is, however, unclear whether delay propagation prevails as one major source for such problem. This study first aims to empirically quantify delay propagation in the Chinese airline market. Specifically, we shed light on heterogenous levels of delay propagations across different airports and airlines. Then, the distinct delay propagation patterns in China are also discussed and compared with other developed airline markets (e.g., the US and Europe). Our estimation is based on OTP data for over 12 million Chinese flights covering the 2015–2017 period. Specifically, it is found that 10 min arrival delay of pre-segment flight within 1 hr before the departure lead to an average of 7.49 mins delay propagation for subsequent departure flight. Arrival delay of earlier pre-segments (1–2 and 2–3 hr before the departure) leads to much less delay propagation, due to longer ground buffer. Chinese airlines arrange longer ground and flight buffer than that of the US airlines to prevent the delay propagation from accumulating along the subsequent flights in a day. Thus, unlike the US market, delay propagation is not the major reason for poor OTP in China. In addition, delay propagation is less prevailing at the Chinese hub airport. This is because China has relied on point-to-point network, which does not require sophisticated schedule coordination. And the local passengers at these Chinese hub airports have higher time value such that the Chinese airlines also try to improve OTP at these hub airports to better serve these lucrative but time-sensitive local passengers. Unlike the European LCCs, Spring Airlines, the largest low-cost carrier (LCC) in China, outperforms major full-service carriers (FSCs) in controlling delay propagation. This finding may also apply to other Northeast Asian LCCs sharing common operational characteristics as Spring Airlines. Last, we find that airlines purposely tolerate moderate departure delays of up to 15 min, which is the threshold that defines delays, no matter whether the pre-segment flight arrives late or on-time. The relevant policy and managerial implications are also discussed.
... In the dynamic models that simulate the learning and strategies of game players, replication selection mechanism is the most common one [31]. Based on this, the study has found out that the HSR-air competition has a significant impact on the ticket price and market share of both sides [32], which is further shown in the three major aviation data reports in China [33]; similarly, the data also show that the ticket price and the frequency are the two main factors that lead to the decrease of civil aviation market share [17]; in the process of strategy selection, when the individual travel utility has certain constraints, the system model has a unique solution. ...
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With the technological advancement, China’s high-speed rail (HSR) has achieved a higher running speed than ever before, which at the same time leads to the intensive competition between air and high-speed rail with trips within 500–1000 km, as well as to the significant changes of travelers’ air-to-HSR choice. In order to explore the dynamic adaptation of travelers’ choice of high-speed rail (HSR) and air in the case of HSR speed-up, a logit dynamics model of travelers’ choice based on evolutionary game was constructed to describe the evolution of travelers’ choice. With HSR-air travel time and the ticket price of origin-destination (OD) points of Beijing-Shanghai as the benchmark, the study set up two scenarios of HSR speed-up and compared and analyzed their payoffs in value. On the basis of mathematical simulation, the travelers’ “air-to-HSR choice” and the change of competition range under the background of HSR speed-up were both discussed. The result indicated that the HSR speed-up would attract more travelers, and its share rate would rise to 58.31% and 72.73%, respectively, with HSR running speed increasing to 400 and 600 km/h; the marginal utility of HSR speed-up is more obvious, and in the meantime, the increase of HSR running speed extends the intense HSR-air competition range to longer-distance travels. In the case of HSR speed-up, travelers’ choice changes as well. The HSR operators themselves should formulate reasonable ticket prices and improve their management. At the same time, the air operators should adjust their operation plan in time.
... They found economy-class airfares dropped more than business-class fares, while the number of business-class passengers decreased more than economy-class passengers after the HSR entry. Zhang et al. (2017) found that the HSR effects of decreasing demand for the 'Big Three' airlines in China were severe in thin markets, but were not significant in thick markets. Zhang et al. (2014) evaluated the market power of the Chinese 'Big Three' by calculating their Lerner index. ...
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In Japan, High Speed Rail (HSR) extended its network in 2011 and 2015, and Low Cost Carriers (LCC) entered into the domestic airline market in 2012. We compared the effects of the extension of the HSR network and the entry of LCCs on the airfares of the incumbent Full Service Carriers (FSC). We conducted Difference in Differences analysis with passenger level data to evaluate these market changes, and found that the effects of the HSR extension on FSC's airfares were consistently negative and larger in the short haul markets, while the effects of the entry of LCCs were inconsistent. HSR seems to be a stronger competitor than LCC to FSC and this finding could be affected by capacity, which is large for HSR while small for the LCCs.
... 3 The competition between high speed rail (HSR) and airlines can be observed in many markets including Europe and Japan (Dobruszkes, 2011;Behrens and Pels, 2012;Fu et al., 2014;Albalate et al., 2015). However, the HSR network is much more extensively developed in China, and thus the air-HSR competition can be more significant and frequent (Fu et al., 2011;Zhang et al. 2017Zhang et al. , 2019aZhang et al. , 2019bSu et al., 2020). The Civil Aviation Administration of China (CAAC) possesses substantial regulatory power and maintains close relationships with the aviation industry (Zhang, 1998). ...
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China was the first aviation market in the world hit hard by COVID-19 and has been recovering gradually as the pandemic became largely under control within mainland China. This study reviews the recovery pattern influenced by the Chinese government's aviation policy choices, in the hope that our discussions and findings will help improve aviation policy responses elsewhere. While the domestic market in mainland China has enjoyed a quick recovery to about 80% of the pre-crisis level by July 2020, the recovery of international services has been much slower, due to the bilateral route and flight frequency/capacity control and strict requirements for health check and quarantine. China's domestic aviation market was recovered by about 80% in two months after the pandemic became under good control. Most other countries with a “curve flattening” strategy, instead of full pandemic control, may not expect the fast recovery path China has achieved. A British “travel corridor” approach may be more practical for Western countries to follow, albeit more likely to be subject to serious setbacks and disruptions. The aviation fee reductions and cost support China and many other countries have been using are helpful by reducing airlines' marginal costs, but not sufficient for carriers to return to profitability or sustainable operations. Capital injection and/or credit guarantee may be needed for many airlines to survive. With various, often uncoordinated, regulations imposed in international markets, airlines based in open economies that have small domestic markets will face particularly serious challenges during the recovery process.
... Several studies, such as Chen (2017) and Zhang et al. (2017), confirmed that the aviation demand is affected substantially by HSR, especially in short/medium-haul routes (less than 800-1000 km). Liu et al. (2019) and Zhang et al. (2019) further revealed that there is a strong modal substitution between these two modes due to the increased connectivity and accessibility of HSR. ...
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High-speed rail (HSR) has become a competitive mode with aviation for medium-distance intercity travel, given the massive deployment of the HSR infrastructure network in China. While the travel experience with both HSR and air has become more convenient, the systems' operational reliability in terms of punctuality remains a key concern, especially during disruptive events, such as under severe weather conditions. Although previous studies have attempted to investigate the impact of severe weather events on the operational performance of transportation systems, there is still a lack of ability to forecast to what extent the performance of different transportation systems may vary under various conditions. This study develops an integrated modeling framework that allows us to predict the performance of weather-induced delays of different transportation systems, including HSR and aviation. By applying machine-learning methods to real-world transportation performance data, the study examines the robustness of the method, variations of data characteristics and the different applications of the predictive modeling system. Overall, the concept and modeling framework provide important implications for the improvement of transportation system resilience to various severe weather-related disruptions through the understanding of the impact and its predictability of the system performance.
... Zhang et al. [27] found that the impact of HSR on airlines was severe in thin markets and insignificant in thick markets. Additionally, other research has focused on specific HSR lines, such as Beijing-Shanghai PDL and Wuhan-Guangzhou PDL [15,28] due to their tremendous impacts on socio-economic development, the changing roles of major cities, and the advances in development of integrated transport [13]. ...
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With the rapid expansion of China’s domestic air transport network (CATN), it is fundamental to model which factors and mechanisms impact this development. This paper investigates how the combined endogenous and exogenous factors influencing the evolution of CATN based on longitudinal data by utilizing a more all-encompassing methodology of stochastic actor based-modeling (SABM). Endogenous variables include a density effect, a betweenness effect, a transitivity closure effect, and a ‘number of distances-two’ effect. Exogenous variables incorporate airport hierarchy, a distance effect, presence or absence of low-cost carriers (LCCs) and high-speed rail (HSR). The systematic classification of Chinese airports into more than the typical two or three tiers allows the impacts of the four endogenous covariates to be revealed. Overall, the CATN has tended to evolve into a more compacted and non-concentrated network structure through the creation of non-stop routes and closed triads. The integrated inclusion of low-cost carrier and high-speed rail effects highlights the importance of market presence to the initiation of new routes at initial stages, cultivating potential demand and increasing accessibility. In addition, the construction of HSR to one primary airport within a multi-airport system can raise “shadow effects” for other airports. Our findings provide policy suggestions for airport operators in terms of developing accurate positions in the hierarchy and strengthening transfer ability.
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While the existing literature has focused on the impact of High Speed Rails (HSR) on the airline industry, we believe that this research is the first to examine the substitutability of HSR with Hyperloop services from an operational point of view. A simulation model is developed to compare the performance of both these alternate transportation modes for a network of three major cities in Europe (Amsterdam, Paris, and Frankfurt). Our results indicate that with a significantly lower pod capacity, the Hyperloop system will still be able to serve more customers compared to the HSR services, while the vehicle utilization is observed to be higher in the latter alternative for a given period of time. In addition, sensitivity analysis is conducted to assess the impact of variation in capsule capacity, number of pods in the system, and commuter variability. We further compare the two transportation modes with respect to their estimated infrastructure and operational costs as well as CO2 emission. Finally, a cost–benefit analysis is conducted to evaluate the passenger ticket price for Hyperloop services.
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Most high-speed rail (HSR) stations in China were built in the urban periphery. This study investigates whether peripheral HSR stations increase the demand for air transportation, a mode of transportation that competes with HSR. We establish a series of novel city-pair level indicators of accessibility of HSR stations using geographical information system (GIS) technology, and adopt an extended difference-in-differences analysis to comprehensively elucidate the effect of HSR station accessibility on parallel air transportation. Based on the data of 581 Chinese air routes from 2003 to 2019, we find that less accessible HSR stations increase passenger traffic and flights on parallel air routes, but do not affect cargo traffic on parallel air routes. Specifically, travel time to/from HSR stations, rather than the physical location of HSR stations, affects the intermodal substitution between HSR and air. Our study indicates that for 1 % decline in the public transport travel time-based station accessibility for a given HSR route, the annual number of passengers on the parallel air route will increase by 809. This effect, which would increase the demand for airline services in the long run, is larger for routes shorter than 1,500 km, routes with airports that serve as bases for low-cost air carriers, and routes connecting hub cities, tourism cities, or cities with advanced economic conditions. Our findings offer new insights into HSR station accessibility and provide policy implications regarding the integration of intra-city public transportation systems with HSR stations.
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China's high-speed rail (HSR) network has had a marked effect on civil aviation transport and CO2 emissions. We conduct a quantitative analysis of the substitution effect during the period 2008–2017 using the difference-in-difference method. We find that (1) the introduction and operation of the HSR network of four vertical and four horizontal lines has had a significantly negative effect on the civil aviation service. Overall, the numbers of passenger flights and air passengers fell by 28.7% and 31.8%, respectively, following the introduction of HSR. (2) HSR is most competitive when trip or operating times are less than 4 h (3) For operating times within 6 h, or trips of about 1400 km, HSR enjoys an obvious competitive advantage over civil aviation. (4) Planning is underway for an expanded HSR network comprising eight vertical and eight horizontal lines. On completion, an additional 833 flight routes compared with the current HSR network and the rate of substitution of HSR for civil aviation flights will increase by 8.8%. Taking into account an increase in rail speed for passages along rivers and coastal areas, the substitution rate of HSR will increase by a further 0.7%. (5) HSR development will have obvious CO2 emissions reduction effect on aviation transport.
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This study estimates the price elasticity of demand per airline route using a demand function and airfare function with Japanese data including the access and egress cost to clarify the relationship between airlines and railways by focusing on the travel time. The study also estimates the access and egress cost elasticity of demand per airline route to explore the effect of the access and egress cost on the demand. From the results of estimation, We conclude that reducing the total travel time would increase the airline demand and change the relationship between airlines and railways. Additionally, we consider that passengers would be more sensitive to the cost in the case that the average access and egress cost ratio exceeds 30% than in the case that the average ratio is under 30%.
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Airfare reduction is proposed by a theoretical paper to be a possible source of observed air traffic increase in some markets where high-speed rail (HSR) enters and competes with airlines. This paper aims to empirically test whether and to what extent the air traffic impact is channeled by the adjustment in airfares. To understand the varying empirical results found in the literature, we examine heterogeneous airline responses in traffic and airfare in relation to HSR qualities measured by HSR-air travel time difference and pre-entry market structure of airline as well as decompose HSR impacts into competition, feeding and long-term effects. Using a panel dataset of Chinese air routes, we find that airfare adjustment plays crucial roles in channeling HSR’s air traffic impact. Our estimation suggests that HSR introduced over 16.5 million additional passengers to the sampled air routes in our study period, generating 2.17 million tons of extra CO2 emissions from air flights. However, these numbers would increase to 32.2 million additional passengers and 3.4 million tons of extra CO2 emissions after removing the price adjustment.
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This study tried to evaluate the effects of Frequent Flyer Programs (FFPs) in competition with High Speed Rail (HSR) by conducting conjoint analysis, using data from our questionnaire surveys at Komatsu airport in Japan. The effects of FFPs, which were evaluated as passengers’ Marginal Willingness to Pay (MWTP) for flight mileage points, were compared with passengers that flew on the competing route with HSR, and those that flew on the non-competing route with HSR. We found that FFPs seem to be more effective at attracting not only FFP members on business, but also FFP members not on business, on the competitive route with HSR. However, the power of FFPs to increase customer loyalty would become weaker after the COVID-19 pandemic if we consider the negative impacts of COVID-19 on business travel demand. On the other hand, when we focus on the non-business passenger, after the pandemic, FFPs would still be effective at cultivating customer loyalty on the competitive route with HSR.
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Background Air and rail passenger transport was initially considered to be competitive. However, as both modes have been developed, several other forms of relationships have been introduced and become more complicated, leading to the investigation of research trends in the air-rail passenger transport relationship. Gap There are few studies on the relationships between air and rail passenger transport, lacking research synthesis application. Aims This paper classifies and analyzes the relationships between air and rail passenger transport based on research publications between January 2006 and December 2020. Objectives The objective of this study is 1) to investigate the possible forms of relationships the air-rail passenger transport based on existing studies, 2) to reveal research themes and trends, and 3) to propose research potentials in the air-rail passenger transport. Methods The study uses a content-based analysis by deriving research articles from transportation and databases. A total of 472 articles were initially identified and screened. One hundred and forty-five articles were included in the final synthesis. Results Air-rail relationships were categorized as a modal comparison, competition, cooperation, integration and influence. Research has been found to rely heavily on the mixture of modal competition, integration and influence. Furthermore, it has been pointed out that the influence between air and rail passenger transport has a one-way effect; air carriers are affected by the entrance of high-speed trains but not in a reverse direction. China has been an emerging context of this topic over the past five years and is likely to dominate the air-rail research due to its extensive high-speed rail networks and vast developments in large airports. Conclusion In terms of the air-rail infrastructure development, it was suggested that modal cooperation was outdated due to lacking seamless connectivity features. Future research might explore the deficient research disciplines, including transport sustainability, business practices and tourism, as well as the impact of the coronavirus disease pandemic in reshaping the air-rail passenger transport industry.
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Based on high-speed rail (HSR) network data from 2008 to 2020, this study explores the structural characteristics and evolution of China’s HSR network from the perspective of the overall network and urban node network centrality. We show that the overall connectivity of the HSR network has improved significantly, whereas the accessibility of the HSR network has improved slightly. Furthermore, both the density and accessibility of the HSR network in different regions gradually show a decreasing trend from the east coast zone to the southwest. We also find that from the perspective of urban node network centrality, cities with high degree centrality and high be-tweenness centrality are densely distributed along the northern coast, eastern coast, as well as middle reaches of both the Yellow and Yangtze Rivers. Finally, the node cities have shown a significant increase in both degree centrality and betweenness centrality; thus, both the hub role and radiation capacity have improved. Our study suggests that the government should closely monitor the development of HSR networks in the western region.
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The high-speed railway (HSR) has been an essential medium for intercity connections in China. However, despite the great achievements in HSR development, conventional railway (CR) still plays an important role in China's railway passenger market. In this study, we construct urban networks based on China's high-speed train (HST) and conventional train (CT) services, and compare the characteristics of HST and CT services in spatial distribution. Moreover, policy implications are proposed for coordinating the HSR and CR systems based on the actual operating performance of the two modes. The results show that China's HST and CT services are complementary in terms of spatial distribution. Both HSR and CR achieve high passenger volumes in prosperous regions, but CR performs better in areas with lower socioeconomic performance. We suggest that there is a significant potential for the cooperation between China's HSR and CR systems, but some operating and technological challenges must be overcome.
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Countries considering high-speed rail (HSR) developments face enormous challenges because of their high deployment cost, environmental obstacles, political opposition, and their potentially adverse effects on society. Nevertheless, HSR services are importantly sustainable that can have positive and transformative effects on the economic growth of a nation. This paper systematically reviews and classifies impact areas of HSR deployments around the world as well as the analytical methods used to evaluate those impacts. We have utilized the scholarly scientific database to find articles in HSR systems. By defining some rules, we select 116 articles between 1997 and March 2020. The approach revealed interesting patterns and trends in space, time, and sentiment of the analyzed impacts on society, the economy, and the environment. The findings can inform decision-making about HSR developments and deployments, and the gaps identified in the literature can propose new research opportunities for future studies.
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Flight delays have become a widespread phenomenon in many parts of the world, especially in China. Few studies have investigated the effect of high flight delays on the competition between high-speed rail (HSR) and air transport (AT). A model based on the applied game theory is developed to obtain the optimal strategies of the two players in equilibrium. Results reveal that the revenue created by HSR and AT have gradually decreased as the flight delay rate increases. Moreover, if the flight delay rate exceeds 30%, the HSR operator will receive more revenue by implementing fare discounts strategies.
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All over the world, governments, policy makers, and practitioners are searching for proper routes and corridors to invest transportation infrastructures such as new railways, highways, and multimodal ways. Although it is one of the important steps of development, finding a suitable route for new transport infrastructure is a complicated and conflicting task for of various reasons. Possible social and environmental impacts on society and increasing cost and technical pressures on decision makers are some of these reasons. Taking into consideration aspects of different evaluation criteria, a geographic information system (GIS)-based multicriteria solution approach is proposed in this study. Potential high-speed rail (HSR) routes in Turkey are considered as a case study. After gathering and processing the related GIS data, weights are assigned to each criterion by using the fuzzy analytic hierarchy process in order to indicate their relative importance. Then, the additive ratio assessment method is applied to carry out the multicriteria (13 technical, social, and demographic criteria) evaluation and selection of the suitable alternatives (among 20 HSR routes) under given circumstances. It was found that the corridor from the west part of Turkey (from İzmir and Manisa) to the Marmara region (Kocaeli and İstanbul) had the highest priority, followed by the corridor from Ankara to Kayseri. HSR trains could potentially reduce the journey times to Kocaeli and İstanbul from İzmir and Manisa, as compared with driving, by 46% and 45%, respectively. The results of this study can be used to evaluate potential HSR corridors/routes or similar transport infrastructures in other countries.
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This paper examines the motives and effects behind the horizontal merger between China Eastern and Shanghai Airlines in 2009. We develop testable hypotheses, incorporating into a unified framework the two merging airlines, their domestic and international competitors, and relevant airports along the supply chain. We employ an event study methodology and show that domestic competitors gain whereas international competitors lose. Our results suggest that the sources of gain for the merging firms are market power in domestic markets and efficiency improvement in international markets. Further, as a hub for the merged airline, Shanghai Airport experienced positive abnormal returns. Our results do not support the hypothesis that the merged airline gains countervailing power towards airports. Our event study findings are robust to alternative estimation periods and samples, and are consistent with analyst forecasts and long-run operating performances.
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This paper analyzes the effect of access and egress time to transport terminals over the spatial competiveness of the high-speed train (HST) in the Madrid–Barcelona (Spain) corridor, one of the densest airline domestic markets in the world. Applying spatial data from 2010 provided by a geographical information system (GIS) to a mode choice model estimated with sample travelers in this corridor, the present study examines whether and how the level-of-service of transport terminals spatially affects the competitiveness or modal distribution of HST and air transport in the provinces of Madrid and Barcelona; and, in particular, the degree of competitiveness that can be accrued by the access time provided by private car and transit in different market segments, especially mandatory and leisure trips. In a number of urban zones near train stations and airports, terminal accessibility clearly favors one transport mode in comparison to the other. Improving terminal accessibility via private car or public transit not only affects the relative access to terminals, but also represents a key strategy for readjusting the market shares of the competing modes in the corridor.
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This paper studies inter- and intramodal competition in the London–Paris passenger market during the period 2003–2009. We identify the degree to and conditions under which High-Speed Rail is a viable substitute for airline travel. Using pooled cross-sectional data we estimate multinomial and mixed logit models to examine actual travel behaviour. Our model allows us to analyse the reaction of passenger behaviour on the withdrawal of aviation alternatives and the completion of the High-Speed Rail link between the two cities in November 2007. The results show that travel time and frequency are the main determinants of travel behaviour. The valuation of total travel times changes over the years following the opening of the High-Speed Rail link. Furthermore, we show that the direct elasticity of market share with respect to frequency for a number of aviation alternatives is above 1, indicating that these alternatives are not able to maximise profits. These alternatives subsequently left the market in our sample period. For the remaining aviation alternatives, except for easyJet, we find elasticities of market share with respect to frequency close to 1. Therefore, we conjecture that competition in this market will decline in the long run.
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Korean Train Express (KTX) started its high speed rail commercial service on April 1, 2004. It is the first stage opening of the scheduled two-stage commissioning scheme to be completed in 2010. It has two lines on the physical link of 661.1 kilometers with commercial speed of 300 kilometer per hour. This paper documents operators' service changes and customer's reaction to the introduction of KTX during the first year. KTX reduced rail travel time between major cities reduced almost by half with 128 daily services. . It achieved one million and 10 million passengers by the 14 and 142 days of operation, respectively. Rail demand for Seoul-Busan corridor increased 30% and 10% for Seoul-Mokpo corridor compared to the same period 2003 with KTX service. Long-distance travel customers, especially from air travel and existing rail passengers from Saemaeul service are major sources of KTX demand. Passengers' expected service level and initial marketing strategies are found very important with KTX introduction. KTX strengthened the viability of rail travel as a whole and is expected to contribute to building more balanced national transportation system.
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This paper empirically analyzes dynamic change in inter-firm rivalry between Japanese low-cost carriers (LCC) and full-service carriers, and deduces the dynamic change in consumer surplus after an LCC enters a market. Our findings are that: (i) the conduct parameters of LCC and reacting full-service carriers were extraordinarily low when competition started; (ii) the conduct parameters were restored to, or even exceeded, the pre-entry level in the third year of LCC entry; and (iii) gains in total welfare were recognized for five of the nine markets, whereas in three markets only the airline industry benefited, and in one market, total welfare decreased.
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Increasingly air transport growth raises the question of its impact on the environment. Public authorities and researchers are relying more and more on high-speed trains (HSTs), whose efficiency is supposed to lead to a modal shift from airplanes. However, most transport studies focus on the evolution of demand rather than supply, although it is basically the latter that determines environmental damage. In light of this fact, this paper aims to compare the overall dynamics in the supply of air transport in Europe compared to the HST supply and to examine empirically five city-pairs. The development of high-speed rail remains limited compared to the increase of air services. For a given city-pair, the decline in the number of flights depends on various conditions, including length of the HST journey and the strategies adopted by the airlines. Some carriers reduce their supply in terms of the number of seats but increase the number of flights in order to compete more effectively with the HSTs. Moreover, the competition between low-cost airlines and HSTs should be kept in mind and re-examined in a few years.
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This paper analyzes both theoretically and empirically the relationship between distance and frequency of scheduled transportation services. We study the interaction between a monopoly firm providing high-speed scheduled service and personal trans- portation (i.e., car). Most interestingly, the carrier chooses to increase frequency of service on longer routes when competing with personal transportation because provid- ing a higher frequency (at extra cost) it can also charge higher fares that can boost its profits. However, when driving is not a relevant option, frequency of service de- creases for longer flights consistently with prior studies. An empirical application of our analysis to the European airline industry con?rms the predictions of our theoretical model. --------------------------------------------------------------------------------
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On average, 17% of airline operating cost are attributed to distribution costs which are associated with commissions to travel agents, ticketing, credit card fees, CRS fees and promotion. In recent years, airlines in North America and in Europe have been questioning the role of travel agents in the distribution chain and renegotiating commission fee structures. As a result, some large agents have introduced a management fee philosophy where the clients, especially corporations, pay a fee to the travel agent in return for predetermined services. Such services include providing up-to-the minute reports on travel patterns of employees, effectiveness of travel policies, advice on complicated itineraries, etc. Such changes in airline and travel agent relationships initially started in the US and were followed by the European carriers. However, Asian carriers have been slow in following their US and European counterparts. This raises a number of questions: What are the barriers, if any for Asian carriers, to follow their counter parts in Europe and US? Would airlines in the three regions be able to bypass travel agents and sell directly to their customers? Would the customers prefer to go direct to airlines? Would there be a variation in the airlines, and agents, relationship in each region? This paper addresses these questions by analysing the distribution strategies of major carriers in the US, Europe and Asia. It also discusses the changing relationship between airlines and travel agents, and the trend towards direct selling by airlines in each region.
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We analyze the influence of increases in airport capacity and the entry of low-cost carriers on airline competition. We use parametric and non-parametric techniques to analyze a sample of Spanish routes. We find that capacity increases in large airports produce more competitive airline conduct only in routes departing from non-hub airports. Also, we find that the natural monopoly threshold decreases with time. Finally, low-cost carriers have a moderate but still significant effect on prices and increase alternatives even in low-density routes.
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The development of High-Speed Rail has been one of the central features of recent European Union transport infrastructure policy. This paper reviews the developments which have taken place in a number of countries and assesses the outcome. It identifies the lack of genuine network development which has taken place, criticises the failure to provide a more integrated framework between modes and questions the assumptions of improved regional development and cohesion which are claimed for the policy. Instead there is evidence of increasing concentration into the main metropolitan centres served by the emerging network.
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After reviewing some recent developments in the airline industry, this article tests two hypotheses that were central to the argument for deregulation: (1) that CAB regulation caused airlines to employ excess capacity relative to the capacity that would be provided under unregulated competition; and (2) that potential competition would keep fares at cost even in highly concentrated markets. An econometric analysis of these hypotheses based on postderegulation data suggests that the excess capacity hypothesis is essentially confirmed. In contrast, the pattern of fares in late 1980 and early 1981 does not support the potential competition hypothesis that fares are independent of market concentration.
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We show that under the alternative hypothesis the Hausman chi-square test statistic can be negative not only in small samples but even asymptotically. Therefore in large samples such a result is only compatible with the alternative and should be interpreted accordingly. Applying a known insight from finite samples, this can only occur if the different estimation precisions (often the residual variance estimates) under the null and the alternative both enter the test statistic. In finite samples, using the absolute value of the test statistic is a remedy that does not alter the null distribution and is thus admissible. Even for positive test statistics the relevant covariance matric difference should be routinely checked for positive semi-definite-ness, because we also show that otherwise test results may be misleading. Of course the preferable solution still is to impose the same nuisance parameter (i.e., residual variance) estimate under the null and alternative hypotheses, if the model context permits that with relative ease. We complement the likelihood-based exposition by a formal proof in an omitted-variable context, we present simulation evidence for the test of panel random effects, and we illustrate the problems with a panel homogeneity test.
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Most of the transport literature only looks at mode alternatives in competition with each other, rather than exploring the potential for cooperation. This paper examines this possibility by making the case for aircraft and high speed train (HST) substitution under conditions of intermodal integration. In the model suggested, airlines use railway services as additional spokes in their network of services from a hub airport to complement and substitute for existing aircraft services. Airlines benefit from the slots that are freed and they can support mode substitution. Society gains from the social and economic benefits of better integrated transport services at a lower environmental cost. This paper examines this model of integration at Heathrow airport against the background of UK air transport policy and assesses the benefits and limitations of it. The conclusion reached is that some railway infrastructure should also be seen as part of the air transport infrastructure.
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This paper examines airline competition through an empirical specification of a demand and pricing equation system. The system is estimated for the Spanish airline market using a simultaneous procedure. The suitability of the Cournot assumption is tested in a competitive scenario characterized by an asymmetric oligopoly with capacity constraints. In addition, the degree of density economies is analyzed. Results show that Spanish airlines behave in a less competitive way than is implied by the Cournot solution. Finally, some evidence on the fact that thin routes can be considered as natural monopolies is found. Copyright Springer 2006
Article
We employ the Rosse-Panzar test to assess market performance in selected airport-pairs originating from Atlanta. The Rosse-Panzar test stands in the tradition of the New Empirical Industrial Organization. It is based on the comparative statics of a reduced form revenue equation. Therefore, it is less powerful than structural models, but it offers the advantage of less stringent data requirements and reduces the risk of model misspecifications. The test statistic allows us in most airport-pairs to reject both conducts consistent with the Bertrand outcome, which is equivalent to perfect competition, and the collusive outcome, which is equivalent to joint profit-maximization. Rather, the test statistic suggests that behavior is consistent with a range of intermediate outcomes between the two extremes, including, but not limited to the Cournot oligopoly. In the second part of the paper, a cross-section pricing regression complements the Rosse-Panzar test. It shows that the presence of low-cost competition in an airport-pair reduces the average fare significantly.
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