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Airport Managment

Airport Managment

Of all the marketing variables that influence the potential sales of airline seats and cargo capacity, price has received the most attention since deregulation.  Pricing remains a very complex issue in almost all industries.  In the case of air transportation, it is even more complex because of the transition in recent years from a highly regulated industry to a deregulated industry.
	The midterm question is what do you think the most important factors are when discussing airline pricing and demand?  I figured I would start out talking about what demand really is.  Demand is defined as the various amounts of a product or service that consumers are willing and able to purchase at various prices over a particular time period.  .After taking two economic classes that definition is permanently engrained in my memory.  A demand schedule is a tabular portrayal of demand and reflects the relationship between the price or fare—which I believe is an important factor when discussing airline pricing and demand—and the estimated number of passengers who would be willing and able to purchase a ticket at each of these prices.  
	A common characteristic of demand is that as price falls, the

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