After the U.S. invasion of Iraq, the price of jet fuel used by airlines increased dramatically. As the CEO of Air Canada, you have been presented with the following options.
Evaluate these options in the context of decision making model.
a) raise airfares to offset cost increases
b)Reduce the number of flights per day in some market
c)Make long term contracts to buy jet fuel at a fixed price for the next two years and set airfares to a level that will cover these costs
I need some suggestions to these questions. Thanks in advance.