The passage suggests that one of the effects of the deregulation of the airlines was

a decline in the services available to non-commercial travellers

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a decrease in the size of the corporate travel market

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a sharp increase in the number of cooperative alliances among travel agencies

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increased competition in a number of different service industries

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the merging of some companies within the travel industry

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Solution

The correct option is E the merging of some companies within the travel industry
The passage says that the deregulation of airlines induced a dramatic change in international travel in its corporate clientele. Since local travel agencies were unable to expand in a traditional manner, they went on to form international alliances and partners. This is given in option (e).

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