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I have a feeling a round-trip airline ticket booked in Mexico from Guadalajara to Los Angeles and back is cheaper than a round-trip ticket booked in the US from Los Angeles to Guadalajara and back.

I know that is true for tickets purchased in Italy. My hypothesis is: US airlines or those foreign airlines  operating out of the US essentially to anywhere and then back to the US will charge what they feel the market will bear....which is more than the corresponding tickets from most places in the world to the US and then returning the place of origin.

Anyone have a thought?

 

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Take a look at http://www.interjet.com.mx 

Excellent planes with more leg room than other airlines (34" pitch vs 31" for everybody else), my extensive experience flying with them has been as good as it gets.  They fly r/t LA-GDL.  Right now their prices are high (for them) but generally the prices are quite low.  I haven't flown any other airline for years--to and from many destinations in Mexico as well as to and from Miami, Toronto, San Diego, and New York.

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The airlines computer systems use algorithms that take into account the average occupancy, the day of the week, the hour of the day, the number of seats already sold, how long it took to sell those seats, and a few dozen more factors. You can price a flight and one hour later find that price has changed.Buy it in one country's type of currency or webpage and it is cheaper somewhere else.  The OP questioned... do they charge what the traffic will bear?      Every successful business in the word prices their product on what the traffic will bear.  

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6 hours ago, Mostlylost said:

The airlines computer systems use algorithms that take into account the average occupancy, the day of the week, the hour of the day, the number of seats already sold, how long it took to sell those seats, and a few dozen more factors. You can price a flight and one hour later find that price has changed.Buy it in one country's type of currency or webpage and it is cheaper somewhere else.  The OP questioned... do they charge what the traffic will bear?      Every successful business in the word prices their product on what the traffic will bear.  

So you are saying it doesn't matter what country one buys the ticket in? And your last sentence is very interesting. I will have to decide if that is indeed a better way to run my successful business!

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Yes I did say the country of purchase web page and currency are also factors.

As to what market will bear, a great example is Apple iphone 11.  List price with 64GB is $699   With 128GB is $749 or $50 for 64GB more of memory. Retail difference on a Sandisc  Extreme Pro memory is a difference of $6.75. I would guess Apple is probably paying $1 or $2 dollars for the larger memory and selling it for $50.  What the traffic will bear. 

Watch when one airline has a promotion how quickly the other airlines have a similar promotion, or when one airline announces a charge for example checked bag $50  how quickly the other airlines follow...has nothing to do with their cost but what the market will bear.

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