Aerotropolis
Encyclopedia
An aerotropolis is an urban
form whose layout, infrastructure, and economy is centered on an airport, offering its businesses speedy connectivity to suppliers, customers, and enterprise partners worldwide. Many of these businesses are much more dependent on distant suppliers or customers than to those located nearby. An aerotropolis has an airport city
at its core and is surrounded by clusters of aviation-related enterprises. It is similar in form and function to a traditional metropolis
, which contains a central city core and its commuter-linked suburbs. The aerotropolis encompasses a range of commercial facilities supporting both aviation-linked businesses and the millions of air travelers who pass through the airport annually.
As increasing numbers of businesses and commercial service providers cluster around airports, the aerotropolis is becoming a major urban destination where air travelers and locals alike can work, shop, meet, exchange knowledge, conduct business, eat, sleep, and be entertained without going more than 15 minutes from the airport.
According to Dr. John D. Kasarda
, airports have evolved as drivers of business location and urban development in the 21st century in the same way as did highways in the 20th century, railroads in the 19th century and seaports in the 18th century. As economies become increasingly globalized and dependent on electronic commerce, air commerce and the speed and agility it provides to the movement of people and goods has become its logistical backbone. Kasarda is also the academic who popularized use of the term Aerotropolis in 2000.
The aerotropolis model typically attracts industries related to time-sensitive manufacturing
, e-commerce fulfillment, telecommunications and logistics
; hotels, retail
outlets, entertainment
complexes and exhibition centers; and offices for business people who travel frequently by air or engage in global commerce
. Clusters of business parks, logistics
parks, industrial parks, distribution centers, information technology complexes and wholesale
merchandise marts locate around the airport and along the transportation corridors radiating from them.
Some aerotropoli have arisen spontaneously due to demand, but a lack of planning and infrastructure development can create bottlenecks. Principles of urban planning and sustainability are essential to the creation of a successful aerotropolis. Governance bodies composed of airport management and city and regional government officials, together with local business and economic development leaders should lead planning and development efforts for the aerotropolis. The Detroit Region Aerotropolis in the U.S. provides an example of how poor governance and corruption can cause these projects to fail.
While the aerotropolis model has been experienced success in some airports, it has also been the subject of criticism. One major criticism concerns the question as to whether oil will remain relatively inexpensive and widely available in the future and whether a downturn in oil production would adversely affect aerotropoli. Others have criticized the aerotropolis model for overstating the amount and types of goods that travel by air. While many types of high-value goods, like electronics, tend to travel by air, larger, bulkier items like cars and grain do not. Those who make such an argument suggest that the relationship between seaports, airports, and rail facilities should be studied more in depth.
Criteria include:
The list is available at the Center for Air Commerce web site and Aerotropolis.com.
In "Liveanomics: Urban Liveability and Economic Growth" from The Economist Intelligence Unit, the aerotropolis is highlighted in the section on "what businesses need from cities."
Urban
Urban means "related to cities." It may refer to:*Urban, California, former town in El Dorado County*Urban area, geographical area distinct from rural areas*Urban , given name and surname*Urban , Danish free daily newspaper...
form whose layout, infrastructure, and economy is centered on an airport, offering its businesses speedy connectivity to suppliers, customers, and enterprise partners worldwide. Many of these businesses are much more dependent on distant suppliers or customers than to those located nearby. An aerotropolis has an airport city
Airport City
Airport city is a term for an "inside the fence" airport area including the airport and on-airport businesses such as air cargo, logistics, offices, retail, and hotels...
at its core and is surrounded by clusters of aviation-related enterprises. It is similar in form and function to a traditional metropolis
Metropolis
A metropolis is a very large city or urban area which is a significant economic, political and cultural center for a country or region, and an important hub for regional or international connections and communications...
, which contains a central city core and its commuter-linked suburbs. The aerotropolis encompasses a range of commercial facilities supporting both aviation-linked businesses and the millions of air travelers who pass through the airport annually.
As increasing numbers of businesses and commercial service providers cluster around airports, the aerotropolis is becoming a major urban destination where air travelers and locals alike can work, shop, meet, exchange knowledge, conduct business, eat, sleep, and be entertained without going more than 15 minutes from the airport.
According to Dr. John D. Kasarda
John D. Kasarda
John D. Kasarda is an American academic focused on global management strategy, aviation and economic development. He is currently the Kenan Distinguished Professor of Strategy and Entrepreneurship at the Kenan-Flagler Business School at the University of North Carolina at Chapel Hill. Kasarda is...
, airports have evolved as drivers of business location and urban development in the 21st century in the same way as did highways in the 20th century, railroads in the 19th century and seaports in the 18th century. As economies become increasingly globalized and dependent on electronic commerce, air commerce and the speed and agility it provides to the movement of people and goods has become its logistical backbone. Kasarda is also the academic who popularized use of the term Aerotropolis in 2000.
The aerotropolis model typically attracts industries related to time-sensitive manufacturing
Manufacturing
Manufacturing is the use of machines, tools and labor to produce goods for use or sale. The term may refer to a range of human activity, from handicraft to high tech, but is most commonly applied to industrial production, in which raw materials are transformed into finished goods on a large scale...
, e-commerce fulfillment, telecommunications and logistics
Logistics
Logistics is the management of the flow of goods between the point of origin and the point of destination in order to meet the requirements of customers or corporations. Logistics involves the integration of information, transportation, inventory, warehousing, material handling, and packaging, and...
; hotels, retail
Retail
Retail consists of the sale of physical goods or merchandise from a fixed location, such as a department store, boutique or kiosk, or by mail, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be...
outlets, entertainment
Entertainment
Entertainment consists of any activity which provides a diversion or permits people to amuse themselves in their leisure time. Entertainment is generally passive, such as watching opera or a movie. Active forms of amusement, such as sports, are more often considered to be recreation...
complexes and exhibition centers; and offices for business people who travel frequently by air or engage in global commerce
Commerce
While business refers to the value-creating activities of an organization for profit, commerce means the whole system of an economy that constitutes an environment for business. The system includes legal, economic, political, social, cultural, and technological systems that are in operation in any...
. Clusters of business parks, logistics
Logistics
Logistics is the management of the flow of goods between the point of origin and the point of destination in order to meet the requirements of customers or corporations. Logistics involves the integration of information, transportation, inventory, warehousing, material handling, and packaging, and...
parks, industrial parks, distribution centers, information technology complexes and wholesale
Wholesale
Wholesaling, jobbing, or distributing is defined as the sale of goods or merchandise to retailers, to industrial, commercial, institutional, or other professional business users, or to other wholesalers and related subordinated services...
merchandise marts locate around the airport and along the transportation corridors radiating from them.
Some aerotropoli have arisen spontaneously due to demand, but a lack of planning and infrastructure development can create bottlenecks. Principles of urban planning and sustainability are essential to the creation of a successful aerotropolis. Governance bodies composed of airport management and city and regional government officials, together with local business and economic development leaders should lead planning and development efforts for the aerotropolis. The Detroit Region Aerotropolis in the U.S. provides an example of how poor governance and corruption can cause these projects to fail.
While the aerotropolis model has been experienced success in some airports, it has also been the subject of criticism. One major criticism concerns the question as to whether oil will remain relatively inexpensive and widely available in the future and whether a downturn in oil production would adversely affect aerotropoli. Others have criticized the aerotropolis model for overstating the amount and types of goods that travel by air. While many types of high-value goods, like electronics, tend to travel by air, larger, bulkier items like cars and grain do not. Those who make such an argument suggest that the relationship between seaports, airports, and rail facilities should be studied more in depth.
List of aerotropoli
While there is not yet a quantitative model for determining if an airport and its surrounding real estate are an aerotropolis, a qualitative list has been developed by researchers at the Center for Air Commerce at the Frank Hawkins Kenan Institute of Private Enterprise at the University of North Carolina at Chapel Hill. This list is updated frequently as new projects are announced and economic development related to airports accelerates. Sites are noted as being “operational” or “under development.”Criteria include:
- Expert assessment by leading Aerotropolis researchers Dr. John D. KasardaJohn D. KasardaJohn D. Kasarda is an American academic focused on global management strategy, aviation and economic development. He is currently the Kenan Distinguished Professor of Strategy and Entrepreneurship at the Kenan-Flagler Business School at the University of North Carolina at Chapel Hill. Kasarda is...
and Dr. Stephen Appold based on their qualitative knowledge and quantitative research of the airport and surrounding aviation-linked business and industry clusters that correspond to the airport city and aerotropolis models. - Demonstrated commitment to the aerotropolis or airport city model as seen in the establishment of aerotropolis steering committees, strategic planning, and development initiatives.
- Government/regulatory support of the aerotropolis or airport city through aerotropolis legislation, tax incentives or other mechanisms.
- Media announcements by proponents with substantiated evidence that an aerotropolis or airport city initiative is moving forward.
The list is available at the Center for Air Commerce web site and Aerotropolis.com.
Media mentions of the aerotropolis concept
The Economist's “The World in 2011” report notes that the aerotropolis is infrastructure to watch (page 123), citing developments in New Songdo International City, South Korea, and the U.S.'s Memphis and Atlanta airports.In "Liveanomics: Urban Liveability and Economic Growth" from The Economist Intelligence Unit, the aerotropolis is highlighted in the section on "what businesses need from cities."