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Airlines' Revenue Threatened by Sliding Fares and Higher Costs
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Airlines face challenges with sliding domestic fares and higher costs, threatening their record revenue growth. Southwest Airlines warns of higher labor costs and softer pricing, causing a drop in shares and concerns about consumer disposable income. The airline expects slower recovery in business travel compared to leisure travel.
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How might the challenges faced by airlines in the current marketplace affect the broader aviation industry and consumer travel patterns?
How might the impact of sliding domestic fares and higher costs on airlines influence their strategic decisions and investment plans?
What measures can airlines take to mitigate the effects of sliding domestic fares and higher costs on their revenue growth and profitability?
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