An Alternative Strategy for London as a City and its Airports - Term Paper Example

The London airport industry comprises airport operators that manage diverse niches such as inbound, outbound, business, and leisure segments. The sector relies on both UK airlines and other international air travel companies as both create the airport infrastructure and support to the passenger as well as freight operators. The six airports focus their operational strategy on differentiation in terms of the primary catchment areas, types of travel (local and international flights, scheduled and charter carrier flights, and business or leisure travel), and other areas of specialization.

Furthermore, the airports attempt to diversify their income sources largely by expanding their services into related market segments, including retail concessions, car hire services, and car vehicle parking services.Business LandscapeLondon is increasingly transforming into a global force to be recognized, with a number of factors creating an enabling environment for business and investment ventures in the city. First, the fact that the UK constitutes one of the principal, comprehensive trading countries international makes London a more competitive location for business and investments.

Also, it features several incentives for both startups and large-scale enterprises. In fact, the city was named in the European Digital City Index as the leader in entire Europe for supporting startups and scale-ups and second for supporting innovation and entrepreneurship. Other than other well-developed basic infrastructure, it has a well-developed technological infrastructure to support business ventures. In 2015, technology-based firms in the city yielded about $1.6 billion in the initial nine months, and tech firms are forecasted to scale to 45,000 and generate over 12 billion pounds of economic activity in the next ten years (Tech City, 2016).

Moreover, London has a relatively educated labor market with an increasingly diverse range of digital skills and competencies, while 251,590 of the city’s digital employment found within the city. This is an important asset to the industry as an educated workforce can help the airport steer up innovation and quality improvement of the facility, thus enhancing its competitive advantage among other airports serving the general multi-airport system. Tourism is taking the center stage in London city and its environs.