The Economics of Private Jets

Loading...
  • Published on: 16 July 2019
  • Watch over 2,400 documentaries for free for 31-days by signing up at http://CuriosityStream.com/wendover and using the code, “Wendover”

    Listen to Extremities at http://ExtremitiesPodcast.com

    Subscribe to Half as Interesting (The other channel from Wendover Productions): https://www.youtube.com/halfasinteresting

    Get the Wendover Productions t-shirt: https://standard.tv/collections/wendover-productions/products/wendover-productions-shirt

    Support Wendover Productions on Patreon: https://www.patreon.com/wendoverproductions

    Youtube: http://www.YouTube.com/WendoverProductions
    Instagram: http://Instagram.com/sam.from.wendover
    Twitter: http://www.Twitter.com/WendoverPro
    Sponsorship Enquiries: wendover@standard.tv
    Other emails: sam@wendover.productions
    Reddit: http://Reddit.com/r/WendoverProductions

    Animation by Josh Sherrington
    Sound by Graham Haerther (http://www.Haerther.net)
    Thumbnail by Simon Buckmaster

    Special thanks to Patreon supporters Adam Chelminski, Arkadiy Kulev, Charles Zilinski, Chris Allen, Connor J Smith, Daddy Donald, Etienne Dechamps, Eyal Matsliah, Hank Green, John & Becki Johnston, Kyle, MyNameIsKir, Plinio Correa, Qui Le, Remi_Scarlet, Tom Dooner, Tyler Hamm, and Vaughn Mudrick

    Music by http://epidemicsound.com
    Select footage courtesy the AP Archive

    References:
    [1] https://www.census.gov/quickfacts/fact/table/US/SEX255218; http://newflightcharters.com/private_jet_charter_flight_pricing.htm; https://www.charterhub.com/listings/aircraft/for-charter/list/?Mdltxt=G550&Manu=GULFSTREAM&mdlx=exact; https://www.privatefly.com/us/private-jets/longrange-jet-hire/Gulfstream-G550
    [2] https://hbr.org/2018/07/the-leaders-calendar#what-do-ceos-actually-do
    [3] https://www.epi.org/files/pdf/130354.pdf
    [4] https://www.bloomberg.com/opinion/articles/2017-10-31/in-defense-of-corporate-aircraft-no-really
    [5] https://www.linkedin.com/pulse/tesco-wal-mart-private-jets-fabrizio-poli/
    [6] https://uk.flightaware.com/resources/registration/N455DG
    [7] http://www.corporatejetsolutions.com/PDF/Aircraft%20Comparisons/Citation%20VII%20vs.%20Hawker%20700%20vs.%20Lear%2045.pdf; https://awin.aviationweek.com/portals/awin/pdfs/BCAOpPlanningGuide/2012_Production.pdf; https://www.aopa.org/news-and-media/all-news/2015/november/16/hourly-operating-costs-of-45-jets-compared
    [8] https://www.symmetry.com/resources/payroll-news/2017/11/13/how-many-working-days-are-in-a-year
    [9] https://corporate.walmart.com/media-library/document/2019-environmental-social-governance-report/_proxyDocument?id=0000016a-9485-d766-abfb-fd8d84300000&mod=article_inline
    [10] https://www.stratosjets.com/private-jets/bombardier-7500/; https://www.trilogyaviationgroup.com/jet/Global-7500; https://www.privatefly.com/us/private-jets/longrange-jet-hire/bombardier-global-7500
    [11] https://www.economist.com/business/2012/04/14/winging-it
    [12] https://www.eia.gov/environment/emissions/co2_vol_mass.php; https://data.worldbank.org/indicator/en.atm.co2e.pc
    [13] https://www.economist.com/business/2017/02/16/why-bosses-are-flying-more-for-play-not-work
    [14] https://papers.ssrn.com/sol3/papers.cfm?abstract_id=529822
  • Runtime : 9:49
  • private jets airplanes jets corporate jets business jets economics money breakdown price how private jets work cost expensive aviation airports business corporate firm economy luxury wendover productions explainer educational video essay

COMMENTS: 40

  • Wendover Productions
    Wendover Productions   6 months ago

    If you missed all the different announcements, I started a new podcast called Extremities about a month ago. It's all about how and why the world's most isolated human settlements exist, with the first season being on Pitcairn--the 50 person British territory in the South Pacific. You can listen to the podcast here: http://ExtremitiesPodcast.com

  • J J
    J J   6 days ago

    We fly private prop planes, which have much different economics than jets, but with all of the benefits.

  • Canaan Xie
    Canaan Xie   6 days ago

    CEOs spend millions to fly to listen to or give those cliches speeches at a time when doctors are about to perform remote surgeries on humans.

  • Nkanyiso Maphanga
    Nkanyiso Maphanga   6 days ago

    Buying a private jet is much easier and make more financial sense than to pay the fat IRS bill that these corporations get changed. That's why Walmart is happy to buy so many of them.

  • Suuhls
    Suuhls   1 weeks ago

    And Americans be like "Why is climate change so bad???"

  • Nathan BB
    Nathan BB   1 weeks ago

    There's a lot of taxes deductions related to jets as well depending on the country its based on... would you rather buy a brand new jet or pay the exact same amount in taxes? This video is extremely superficial...

  • Music n Thingz
    Music n Thingz   1 weeks ago

    It dosent make sense that you're saying someone has to make x amount of dollars for it to be worth hiring.

  • JRBUISEXCAVATING
    JRBUISEXCAVATING   1 weeks ago

    Is the plane landing in the parking lot of these stores? What about travel time to and from the airport?

  • I.P. Knightly
    I.P. Knightly   1 weeks ago

    You somehow need to factor in the human suffering of a person in Manilla that has to meet up with a planeful of Walmart executives.

  • Voxal Gaming
    Voxal Gaming   1 weeks ago

    8:20 - View of my home country - Poland (Vistula estuary)

  • Amer Dodokh
    Amer Dodokh   1 weeks ago

    But that is a 4 sectors flight. Which means that the cockpit crew won’t be able to accomplish it as their duty time is 10:30 hours for that flight.

  • Jeff Williams
    Jeff Williams   1 weeks ago

    Jet costs for Walmart as a percentage of revenue is a rounding error....

  • John Kauffman
    John Kauffman   2 weeks ago

    06:00 - How often would 19 officers fly to Manila? 4 would be more realistic number for the denominator. And, WalMart would allow 19 officers to fly on one small jet?(same earlier with the example of 9 pax on a jet)

  • Ty Wert
    Ty Wert   2 weeks ago

    Same big corporations pushing Greta thunberg feces, especially in an age they can do their meetings through digital means

  • Datmudkipify | Gaming

    Private jets... used by the people who tell us cough Trudeau cough we need to pay more taxes to save the environment from ourselves. How dare we drive cars!!!

  • The Llama Animations
    The Llama Animations   2 weeks ago

    I wish I had these documentary services, but I’m a frikin 12 year old with no money

  • Stefan Kristersson
    Stefan Kristersson   2 weeks ago

    If you send your gulfstream to pick up a potential customer or partner, that meeting is almost garanteed to end well for you. The jet can also be the reason for them wanting to meet you in the first place - who can say no to a private jet ride?

  • A Nii
    A Nii   3 weeks ago

    Are you the guy from info graphics??? 🤔

  • richard bearden
    richard bearden   3 weeks ago

    Walmart can just do virtual tours of their store. For all the expense for being Hands-On not much change takes place...

  • Sally Hillal
    Sally Hillal   3 weeks ago

    Drastically lower CEO pay and benes . They will work for less.

  • София Сойко

    انا اعملي في محكومة دولية我工过几形事法院i work at the international court of justiceя работаб в международный суд оонyo trabajo en corte penal international

  • Tony Lam
    Tony Lam   3 weeks ago

    For your info, many esteemed scientists are telling use now , we need more co2 in the atmosphere. Plants grow better with that and that is what we eat. So maybe we should dump the jets and take steam locomotives (coal) around US everywhere and steam ships overseas.No matter how important a jet is to the bottom line, there will always be a small % of super rich who will use their jet to take their dog to the barber, and they could not care less about the critics.

  • Tom Hamrick
    Tom Hamrick   1 months ago

    You are correct if all you putting is only one exec on a plane. but if you have your two lead salesmen on the plane along with the exec and 2 or three execs from a company you are trying to cut a deal with that could be worth 2 or 3 billion over the next 10 years it is more than worth the cost.

  • AI Totem
    AI Totem   1 months ago

    Who was surprised Wal-Mart had their own fleet of jets? They are cost saving when it comes to their employees wages and customers prices ONLY.

  • goodafy
    goodafy   1 months ago

    For me There only one reason corporate bodies buy private jets isBECAUSE THEY CAN AFFORD IT.Every thing else are excuses.If they can't afford it, but Claim they need it, they still won't get it.I work in such corporate organisations, and with technologies like Skype, zoom, gotomeeting, WhatsApp etc.Corporate travels have been cut down to more than 90% of what it used to be, yet production and oversight have increased and money saved.Wendover and others that still justify corporate private jet travel are same people that use it and benefit from it, who would turn down a paid private jet travel.If it is about time saving, the bigger question is what was achieved with the saved time?It's like the days of Concorde supersonic travel, and its true claims of time saving but other economics of Airport wait times and cost of fuel and maintenance doesn't add up.Private jet travel is pure leisure, luxury, opulence and class that is more a distraction to serious business organisation than for productivity and efficiency.

  • Doggepp
    Doggepp   1 months ago

    Whilst you touched on this, I think the biggest reason anyone flies private jet, is that you can fly whenever you want. The plane waits for you, you dont wait for the plane. Sure, the money/time factor is huge also, but time is most often more important than money/cost for these people.

  • Larry Smith
    Larry Smith   1 months ago

    Anybody who thinks private jets are opulent has never flown one. Or, he's a midget.

  • Ruby Honey
    Ruby Honey   1 months ago

    EPSTEIN HAD A PRIVATE JETAND DIDNT KILL HIMSELF

  • jec1ny
    jec1ny   1 months ago

    Warren Buffet, who owns NetJets, a private plane charter service, always decried owning these kinds of planes as crazy. He said that even with top business executives, for the number of times in a year you would have a legitimate need to fly private, you are almost always better off chartering. A couple of years ago though, he bought a Bombardier Challenger 600. With a certain amount of guilt, he named it "The Indefensible."

  • Joshua Patrick
    Joshua Patrick   1 months ago

    Nice to know Walmart doesn’t want its executives to spend time away from home for one night on their 300-500k a year salary while it doesn’t seem to be willing to provide its rank employees a living wage....

  • ThatGuyThatDoesStuff
    ThatGuyThatDoesStuff   1 months ago

    Is the private jet taking off and landing in Walmart parking lots? I guess Walmart bought the Gulf-Harrier models.

  • John Smith
    John Smith   1 months ago

    Damn $100k a year for a manager at Walmart.

  • Russ Nurse2B
    Russ Nurse2B   1 months ago

    In my opinion Wal-Mart ONLY values the time of its executives. Example: They gave the average workers a raise and then turned around and cut their hours according to what I saw on the news.

  • Satwik V
    Satwik V   1 months ago

    Whoever engineers and sells an electric private jet that has a significant decrease in environmental damage is going to be a very rich man or woman...

  • Jim Dickson
    Jim Dickson   1 months ago

    its far more efficient flying point to point in the US than catching connecting flights... you can do multiple meetings across the country in a day.

  • goodguygto
    goodguygto   1 months ago

    Yeah!!, Walmart is good with money?, !!BEING STINGY!!, ripping off customers!!! Walmart still owe me $20!!!, their self check-out!!, took the money out of my debit card!!! They should be called "Asshole-Mart"!!!!!!