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If the economy of the country the airline is flying to is failing or thriving it will affect the prices of flights and packages. Also when there is economic downturn it will cause business travel to drop significantly, which is a very important sector. For example when Greece was in a very bad economic debt the price of flights to Greece fell drastically. In 2014 return flights to Greece fell from an average of £335 to £181 which is a decrease of 56%. The price of oil will determine how much the airlines will have to pay for their fuel and further determine how much the customers will have to pay to make up for the cost. As British Airways got a lot of debt from pre-9/11 plane purchase they made a net loss of $73 million in 3 months in 2003 because of this BA had to layoff 10% of its staff. This led to massive strikes and brought heathrow airport to a stand still and canceled hundreds of flights. This caused another massive loss in profits for BA throughout the summer of 2003. This also led to distrust between BA and customers which saw a boom of passanger flying with Ryanair and Easyjet.

Consumer demand for airflight is changed influenced massively by consumer behavior, if more people fly it will be cheaper flights. Customers are looking for assurance that their flights will go smoothly. The fall of the economy is also pushing the consumers to be more price-sensitive, e.g. fly cheaper like ryanair and easyjet, so not flying with a slightly more expensive airline.

If a terrorist attack of large scale were to happen then British Airways would take a large hit in trade as the public would be sceptical about flying because another one could occur. E.g. After the 9/11 attacks global airline took a massive hit as people did not want to fly