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cent years and are expected to continue this trend, particularly with the vastly improved
infrastructure at Guatemala City's La Aurora International Airport and the Mundo Maya
Airport in Flores/Tikal.
In addition to increased tourism, more and more Guatemalans have family living in the
United States, which means this is easily one of the fastest-growing markets on U.S. car-
riers' radar screens. As for cost, the market is very elastic. The arrival of a new carri-
er into Guatemala often signals an all-out pricing war, as seen with service start-ups by
Delta in 1998 and US Airways in 2005, when flights from the United States to Guatem-
alahoveredaround$300round-trip.Demandquicklycatchesupwithsupply,however,and
prices double as carriers see little reason to discount flights in a market where planes are
already flying full.
The future looks uncertain, however, as airlines attempt to do business amid record-high
oil prices. Rising fuel costs have forced airlines to charge for services such as baggage
handling, meals, and even seat selection. Airline routes worldwide have been cut in an at-
tempt to streamline operations and reduce operating costs. In 2008, new flights from Mex-
ico City via Interjet and Aeromexico were cut almost as quickly as they were added. U.S.
carrier ATA went defunct just days before it was set to begin service to Guatemala City
fromMiami.TheyearalsosawthedepartureofU.S.AirwaysfromtheGuatemalanmarket.
In2010,ContinentalandUnitedAirlinesannouncedamerger,restoringservicetoGuatem-
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