British Airways Profitability

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Pages: 1

Volatility in the exchange rate, which are hard to predict can have a lasting effect on British Airways (BA) profitability and expansion. This being that exchange rates are measures at the price of a foreign country against a domestic currency (sterling). Fluctuating exchange rates will directly effect revenues at BA as (BA) operates in 116 countries worldwide (BA.com). Furthermore, forcing revenues to be received in a multitude of currency. This instability is a component that BA must respond to in order to protect itself from expending unneeded losses. BA may incur losses or surplus depending on which direction exchange travel. In view of the circumstances, when exchange rates are high, tourists tend to travel more and receive more benefits,

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