The Internet is wringing inefficencies out of nearly every Industry . While the commercial aircrafts...
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The Internet is wringing inefficencies out of nearly every Industry . While the commercial aircrafts spend roughly 4000 hours a year in the air , chartered aircraft are flown only 500 hours annually The means that they are sitting on the ground , not making any money , nearly 90 percent of the time One company called Fly first saw an opportunity in that & decided that for about the same cost as a firs class ticket they can offer rides to the executives in small private jets . The executives would get a more comfortable ride & could avoid the hassle of big airports . Fly first noted that the average charter has seats .
When all the 8 seats are full, the company would have an 80 percent profit margin . It would break even at an average of 3.3 seats per flight
How did Fly first determine that it would break even with 3 3 seats per flight?
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