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How Is an Airline That Sells Tickets That Will Be

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How is an airline that sells tickets that will be used several months in the future exposed to the risk of rising jet fuel prices? How can it manage that risk?


Definitions:

Manufacturing Capacity

The maximum amount of products a factory can produce over a specific period, taking into account the physical space, machinery, and labor available.

Quality Rate

An indicator or metric that measures the quality of products, services, or processes, often expressed as a percentage.

Machinery

Refers to the machines or the mechanical devices that are used in manufacturing or other industrial operations.

Global Reporting Initiative

An international organization that helps businesses and governments understand and communicate their impact on issues such as climate change, human rights, and corruption.

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