Korean Air Cargo: To Become Stronger and Smarter
Hongik University, South Korea
K. Ravi Kumar
Nanyang Technological University, Singapore
Volume 10: 2016, pp. 37-70; ABSTRACT
During recent decades, Asian air cargo market demand has rapidly increased mainly due to the growth of China’s economy. Korean Air Cargo had successfully forecasted the increase in demand and it built and maintained targeted capacity large enough to keep up with the increases. As a result, it was ranked top among 265 members of IATA (International Air Transport Association) for 6 years in a row from 2004 onwards. In spite of this accomplishment, it has dropped from top spot as competition has become more intense and this is now becoming a major challenge for Korean Air Cargo. This case analyzes how the company successfully built up its capacity and also investigates how it overcame recent challenges.
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