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Is this the end of cheap flights? - Video học tiếng Anh
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Is this the end of cheap flights?
Is this the end of cheap flights?
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자막 (43)
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Fuel generally accounts for about 25 to
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30% of operating costs for an airline.
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If the price of fuel is impacted, so is
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the airlines bottom line.
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>> So that we're talking literally hundreds
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of millions into the billions of dollars
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collectively as as a US industry and
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extra fuel.
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>> And you've probably noticed how airlines
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have passed many of those costs on to
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consumers.
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>> They upped bag fees, which will not come
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back down, by the way. They are
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immediately upping fairs. They are
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cutting routes that are now unprofitable
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because it's too expensive to run them
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with the higher fuel costs.
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>> CEO Scott Kirby says consumers should be
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aware that ticket prices are rising and
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he warns the increase needs to be at
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least 20% to offset rising fuel costs
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amid the war with Iran.
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>> We are absorbing probably 50% of the
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cost on our own and probably about 50%
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will go into pricing. For the big
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companies like Delta, United, and
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American, despite revised profit
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outlooks, business is still booming.
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That's because they're much more
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dependent on their premium offerings and
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customers who are still reliably buying
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expensive flights. If you look at the
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profit per seat, many airlines make much
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more money off business class and
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particularly premium economy passengers.
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>> Before the 1978 airline deregulation
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act, flying was firmly for the wealthy.
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Since then, the introduction of lowcost
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airlines has made travel cheaper and
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more accessible for many. But these
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smaller, more affordable carriers don't
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have the same resources as big companies
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for offsetting fuel costs.
