03 Explain why 'capital employed' is a good way to measure the size of an airline

[Mahnoor satti]

[KN] Most airlines are capital intensive
[APP] For instance Qatar airways has invested a lot not only on his arplanes but also airport lounges and maintanance facilities. This shows the total value of assets and investments made by the Qatar airway.
[AN] Thus this leads to customer satisfaction as they are being offered luxury which result to them paying high prices for them which can help to reinvest more in to the airline improving brand image.

[Areeba Arshad]

[KN] Capital employed measures the total value of long-term funds and assets invested in a business.
[APP] In an airline, this includes highly valuable assets such as airplanes, airport facilities, and maintenance equipment.
[AN] Since airlines are capital-intensive businesses that require huge investments in aircraft and technology, capital employed accurately reflects their financial scale and asset base, making it a reliable way to measure the true size of an airline.

[Amina Rizwan]

[KN] Capital employed is a good way measure the size of a business as it helps shows how much money it has invested inorder for it to run efficiently
[APP] For instance airlines are an example for capital employed businesses as they invest in assets like aeroplane as well as equipment for there airports
[AN] Hence leading to the demand of consumers being fulfilled resulting in customer satisfaction therefore making the consumer willing to pay a high price for the airlines services.

[Tuqwa]

kn:Capital employed measures the total value of assets and long-term investments a business uses to operate.
app:This is a good way to measure the size of an airline because airlines are capital intensive businesses. They require large investments in valuable assets such as airplanes airport equipment and maintenance facilities.
an:Therefore capital employed shows the huge scale of investment needed to run an airline and gives a more accurate indication of its size than the number of employees.

[Subhan Zafar]

{KN}Capital employed measures the total value of assets and funds a business uses to operate.
{APP}For example, an airline like Emirates invests billions in aircraft, maintenance equipment, and airport facilities. The high level of capital employed shows the large scale of its operations compared to smaller regional airlines.
{AN}Because airlines rely heavily on expensive assets, capital employed is a good indicator of their size and financial capacity. A higher capital value suggests greater operational strength and ability to serve more routes and passengers.