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Which of the following factors will not be significant for the continual growth of air cargo? Globalization of the world economy. Expansion of international services by FedEx and UPS. Reduction in cargo capacity combined with a general upward trend in rates should boost revenues. Formation of an integrated European common market.
Expert Answer
Answer is (c). Reduction in the cargo capacity combined with general upward trend in rates should boost revenue.
Reason- Reduction in capacity may be the factor which can slows down the down the growth of the air cargo. Upward trends in rate cannot compensate the reduction in capacity, because the upward trend is general and not a new thing for the industry.
