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Ryan Air an E-Commerce Organization

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Ryan Air an E-Commerce Organization
Table of Contents {text:bookmark-start} Definning e-commerce {text:bookmark-end} There are nearly as many definitions of e-commerce as there are contributions to the literature. (Damanpour, 2001) defines e-commerce as “any net business activity that transforms internal and external relationships to create value and exploit market opportunities driven by new rules of connected economy”. E-commerce is a “disruptive” innovation that is radically changing the way organizations do business (Macgregor and Vrazalic, 2007). In other words a organization who do majority of their sales via internet, electronic procurement and electronic payment. As in the given case of RYANAIR AIRLINES. {text:bookmark-start} Ryanair Airlines in brief {text:bookmark-end} In January 2000, Ryanair introduced Europe`s largest travel website-www.ryanair.com. And within three months the site was recording 50000 bookings per week. The website also facilitated car and hotel rentals, rail service and travel insurance. Comparing the bookings profiles of Ryanair with its industry competitor, Aer Lingus,77.9% of booking were done on website whereas Aer Lingus bookings on website was 58.1%. Source: (Nuts Southwest Airlines) {text:bookmark-start} Macro-Environmental Factors {text:bookmark-end} Sociocultural Issues Ryanair`s ratio of passenger per employee was 4035, which compares with Southwest passenger per employee of 2035. A primary factor contributing to Ryanair higher number of passenger per employee is subcontracting of ground handling activities to independent contractors at all airports other then Dublin. Also Ryanair is in the third year of its stock option pragramme where it offers its employees stock options and other rights to purchase ordinary shares. All staff is benefited from extensive travel concessions in Ryanair and discounted travel with other carrier. {text:bookmark-start} Technological Issues {text:bookmark-end} To keep up, the airlines are transforming itself ticketless


References: www.ryanair.com www.foxnews.com
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