ravi wrote:The cost of gas seems to be inversely proportional to how much is being sold.
That is exactly the case. Assuming your airports operate the same as those around here it works like this.
***Hypothetical #s for ease of comparison***
Airport A pumps out 10,000 gal / month and charges based on cost of fuel
Airport B pumps out 2,500 gal / month and charges based on cost of fuel
Both airports have 2,500 gallon storage tanks
Day 1 - The bulk price of fuel for airports is $1.50 / gal. and they sell it for .50 profit making the pump price $2.00 / gal.
Day 8 - Airport A orders a new load of fuel and the cost has increased to $2.00 / gal. making the new pump price $2.50. Airport B is still operating off the fuel purchased at $1.50 / gal and continues to make a .50 profit charging $2.00 / gallon
Day 15 - Airport A orders a new load of fuel and the cost has increased to $2.50 / gal. making the new pump price $3.00. Airport B is still operating off the fuel purchased at $1.50 / gal and continues to make a .50 profit charging $2.00 / gallon.
Day 23 - Airport A orders a new load of fuel and the cost has increased to $3.00 / gal. making the new pump price $3.50. Airport B is still operating off the fuel purchased at $1.50 / gal and continues to make a .50 profit charging $2.00 / gallon.
Day 30 - Airport A orders a new load of fuel and the cost has decreased back to $2.50 / gal. making the new pump price $3.00. Airport B has to order a new load of fuel and must increase their price at the pump to $3.00 / gal to continue making a .50 / gallon profit.
In this example you can see how the smaller airport can often charge less for the fuel and continue to make a profit. Many airports change their prices based on the current competition which allows for more profit to be made if you are the little man, but still allows you to offer the lowest prices around.