Demand and Elasticity of Demand for British Airways Flights

Management
Economics

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
Describe the business and its main product or service................................................................3
TASK 2............................................................................................................................................4
Identify the demand and market equilibrium which influenced the demand of their products.. 4
TASK 3 ...........................................................................................................................................6
Indicate the elasticity or more elasticity of demand for the given factors..................................6
CONCLUSION ...............................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Economics is the study of scarcity of resource & its implication to their production of
resources, growth of operations and welfare in time(Laney, 2020).It is other complex issues of
major concern to the society. Management economics emphasis on problem solving and the
certain decisions which is taken by applying principles and theories of economics. It is the main
consideration of the firms which is having the certain affects on the overall profitability of the
company(Asian Chaves and et. al.,2020). British Airways is the flag carrier airlines in the United
Kingdom. It is the second largest UK based airlines and its headquarter is in London England.
Britishers are offering airlines services which belongs to the luxury products ans there is no
change with the change in the prices of the airlines flights due to certain aspects can be vary
irrespective of its demand. This report will evaluate the demand & elasticity of demand in the
large market in consideration to its product in the market place. Furthermore, It will access the
certain pricing policy which are helpful for the growth of the organisation.
TASK 1
Describe the business and its main product or service.
British Airways is the flag carrier airlines of the UK and their headquarter is in London.
British Airways is the airline is the second largest UK based carrier which is based on fleet size
& passengers carried behind easyJet (Dryden, Khodjamirian and Padilla, 2020). They are
operating their business world-wide with more than 183 destination. They are offering business
classes, food and beverage, family travel etc. which is ensuring the better services to their
potential customers.
Chosen Product:
The chosen good for the organisation is the flights ans these are the high value goods of
the organisation which are present only at high prices (Hawkins, 2021). It involves the demand
for such goods is based on the income aspects of the income of the consumer as they are offering
g the tickets at the higher prices which implied no change in the demand due to change in the
prices of the given goods in the field of the market place.
Explantation of choosing that product:
Fights of British Airways is known for their better services and they belong to quality and
high value services which is also elasticity of demand for their products and services which is