Coronavirus and Travel

U.S. airlines hoped they had stopped the boom-and-bust cycle. And they may have been OK in facing a traditional recession. But coronavirus is something else altogether. With few people traveling, airlines may need to reduce their staffs.

In some ways, this has felt inevitable. The cruise line at the center of the coronavirus crisis is temporarily ceasing operations. The question is whether this decision will be the first domino to fall.

Airline and online travel agencies have been under fire from legislators in recent years for their travel insurance marketing tactics. In these trying times, these companies now more than ever must provide greater transparency into what their policies do — and don't — provide before consumers click the button to purchase.

Where do we go next? That’s probably the question the tourism sector will be asking as a battered industry tries to comprehend and navigate such unprecedented travel restrictions on a global scale.

Global trade show cancellations have eclipsed the 500 mark, causing a major economic impact on the events industry. All eyes are now turning to event tech to connect audiences and help companies track the status of their own meetings.

United Airlines can do anything it wants to save its business. But we caution the airline against changing the rules after people buy tickets. Do that enough, and travelers will stop trusting you.

One of Warren Buffett's best known bits of investment advice is: "Be fearful when others are greedy and greedy when others are fearful.” The fundamentals for TUI still look good, so Hamed El Chiaty might have just struck a bargain deal for himself.

By itself, the coronavirus scare needn't be like kryptonite to Samsonite, which has high gross margins. But the long-term double whammy of supply shocks (due to factory closings) and demand shocks (due to travelers pulling back on spending) may reduce the company's ability to pay interest on its heavy debts.

It's looking increasingly like the battered U.S. travel sector will be bailed out by the U.S. government. A recession's impact on small businesses in the travel sector, though, is extremely worrisome.

Coronavirus is a disaster for U.S. airlines. Some executives compare its impact to the fallout after 9/11. The big question is how long will it last? Airlines hope the revenue dip will be short-term.