H share Beijing Capital International Airport, owner and operator of China's No 1 airport, will next month stop leasing space to retailers and restaurants and operate the outlets itself in an attempt to prevent price gouging.
Chairman Li Peiyin yesterday said the company would provide better products and services at more reasonable prices.
He cited a mainland media report that one business had charged about 88 yuan (HK$82.4) for a cup of coffee.
By not leasing space to outsiders, the company can earn profits from the airport's restaurants and shops in addition to collecting rents.
However, it remains to be seen whether the company - which has limited direct retailing and catering experience - will be successful in managing the outlets, and how competitive it will be.
The company yesterday announced an interim net profit of 232.27 million yuan, an increase of 19.3 per cent on the same period last year.
