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Question: As with many other industries, air transport has been severely affected by the disruption caused by the covid 19 pandemic. However the modern global airline industry was already characterized by a hyper competitive market environment and low profit margins. As a result airline failures were common place even before covid 19
a) Discuss some of the typical characteristics of the airline industry that make it challenging for airlines to be successful
b) air transport can be described as an oligopoly. Explain what is meant by this term and describe the key features of an oligopoly in the context of the air transport market.
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