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Post-Pandemic Realities: Adapting to New Constraints
The pandemic has fundamentally altered the landscape for airlines, marking the end of the hardware battle where cost advantages were previously pursued through acquiring cheaper planes. With supply chain issues limiting the availability of older, cheaper aircraft and operating costs aligning across the industry, creating financial benefits through operational cuts has become impractical. Furthermore, the traditional correlation between airline revenue and GDP has weakened, complicating revenue projections and market strategies in the aftermath of the pandemic.