Johnny Ch Lok

Behavioral Economy Johnny Ch Lok

I suggest these methods how to avoid the airline fuel reducing price factor to cause airline air fare prices to be risen to lead the risk of traveler numbers to be reduced, when global disease sudden occurrence attacks . The first method: Whether aviation fuel markets will have what benefits from biofuels supply to planes. I shall refer the scope includes trends in jet fuel price, airline response to fuel price, increases and volatility and environmental goals for aviation. The aviation fuel supply industry includes production, distribution and consumption of aviation fuel and it outlines players in the aviation fuel supply chain. For example, at each airport, fuel supply chain organization and fuel sourcing could differ with regard to the role of oil companies, airlines, airport owners and operators and airport service companies. However, major jet fuel purchasers are airlines, general aviation operators, corporate aviation and the military, with most of the jet fuel in global different countries demanders being used for domestic commercial and civilian flights carrying passengers, cargos or both. Commercial aviation fuel efficiency has improved dramatically over time, largely due to aircraft and engine upgrades and operational and air traffic control improvements. So, it seems that fuel supply factor can influence airline fare prices majorly. However, jet fuel prices generally correlate with prices of crude oil and other refined petroleum products, such as diesel. So, increasing prices and the persistent price volatility of jet fuel markets import airline industry finances in any countries. However, airlines use various strategies to manage aviation fuel price certainty, including financial hedges, increased vertical integration and adjustments in aircraft utilization and size to avoid the jet fuel raising price risk. Investments in alternative aviation fuel could be a mechanism to diversity expose to the price of petroleum. It seems the use of alternative aviation fuel would serve to diversify the fuel mix to reduce the risk of jet fuel monopoly raising price threat. If a diversified fuel mix were to avoid either fuel raising price in short term or to avoid fuel raising price in long term. Potential benefits include reduced actual fuel costs from only choice of jet fuel supply increased price certainty and lessened fuel costs. This diversify could allow airlines to become more consistently profitable and to make other investments in their businesses. So, biofuels have potential to meet aviation industry needs, possibly including managing risks of upward fuel price trends and fuel price volatility and avoid risks with greenhouse gas emissions. So, the aviation fuels market could use biofuels to reduce greenhouse gas emission and mitigate long-term upward price trends, fuel price volatility or both. What are the challenges of low priced oil for aviation, when global disease sudden occurrence attacks ?