Abstract
M.Com. (Business Management)
Purpose and research objectives: the purpose of this study was to provide an accurate and comprehensive market assessment for business aircraft in South Africa, in order to ascertain whether it was growing to its full potential or not. The primary research objective was to determine the extent of demand for business aircraft in South Africa, as well as the nature and characteristics of the users and non-users of business aircraft among the top 100 companies listed on the Johannesburg Stock Exchange (JSE).
Problem investigated: the market for business aircraft in Africa, and South Africa in particular lacks comprehensive information regarding the needs, nature and characteristics of existing and potential users. Where available, the information is limited, incomplete and contained in disparate sources.
Methodology: A pragmatic research philosophy guided an exploratory sequential mixed methods research design which consisted of two phases. The first qualitative phase focused on the gathering of data through in-depth face-to-face interviews with business aviation experts. Findings from this qualitative research were then utilised to develop a structured research questionnaire which was distributed to the top 100 JSE listed companies as the second and quantitative phase of the research. To supplement questionnaire responses, telephonic and face-to-face interviews were conducted. An in-depth analysis of the responses was conducted, discussed and findings presented.
Findings: The core finding of this study was that the potential future growth of the business aircraft market was most likely to come from existing users, with marginal growth from new entrants in the market. It was also found that costs factors were among the main deterrents to the utilisation of business aircraft.
Originality/value: The research provided market intelligence necessary to guide business aviation companies to efficiently service or expand their market for business aircraft in South Africa and further contributed to the existing aviation body of knowledge.
Conclusion: The study concluded that growth for the business aircraft market was likely to come from current users and that the need was based on the operational nature of the users. It was further discovered that costs were a major factor in deterring new users but that the deterrents were not always borne on facts but rather on perceptions. It was thus...