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Airlines all over the world is bracing themselves for turbulence. The recent events of the volcanic eruptions in Europe and the snow related flight cancellations added more damages. IATA announced that the 6 days closure of the airports due the ash from the volcano had cost the airlines more than US$1.7 millions loss in revenue. A [...] Last week we had seen the unexpected. Airports in Europe was shut down due to the eruption of volcano Eyjafjallajokul in Iceland. About 29% of global aviation was affected and about 1.2 millions passengers a day had their travels interrupted. IATA estimated that the crisis cost the industry around 1.7 billions in lost revenue. The [...] There multi-facets of the challenges the industry has to face. Commercially, the airlines are facing the issues of profitability. The aggregate profits had been continuously negative. Security and safety are in the mind of the travellers. The issue of environment effect cannot be ignored. 1. Profitability If you are thinking to start an [...] |
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