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2007-02-27 07:43:24 · 1 answers · asked by beyyyyyyyyyyyy05 2 in Social Science Economics

1 answers

The reason for this is that both are trying to make a profit. Since travel companies have more overhead costs, such as having to have an actual office buiding accessible to the public, they have to charge more to still make money. Thus, because of the lower costs of business, internet travel companies can charge less for flights.

Also, since these internet companies have more clients, they can use the volume to negotiate better rates with the airlines.

2007-03-01 05:42:06 · answer #1 · answered by theeconomicsguy 5 · 0 0

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