Ryanair SWOT
TASK 2 - SWOT ANALYSIS
A SWOT analysis is a study which can be undertaken in order to identify an organisation’s, product’s, or service’s internal Strengths and Weaknesses, and also its external Opportunities and Threats. A SWOT analysis focuses on the micro environment of one of the above entities, i.e. “factors which the organisation has some control over”. – Business Management Course Text, AIT Ireland (2013-20134).
SWOT ANALYSIS OF RYANAIR
Strengths
Weaknesses
Lowest Cost Base of any European Airline
Strong financial performance despite current economic climate
Innovation
Negative Public Perception
Over-reliance on Seasonal trends to increase profit margins
Poor customer service Opportunities Threats
New airline routes throughout Europe
Opportunity to increase Market Share
Current economic climate
Increase in fuel charges
Natural events and disasters
Strengths
According to safaribooksonline.com/book/sales-and-marketing, operating as a low-cost enterprise can be a strength for companies, as it may incentivise an increase in demand for a particular product or service, in relation to its competitors. Low cost providers are a popular choice for financially conscious consumers who do not have any/little loyalty towards the product/service in question, or for consumers who wish to obtain a product/service at the lowest available price. For Ryanair, being a low cost company has been hugely beneficial, as they have almost entirely built their current reputation on being a low-cost airline. At present, Ryanair is the lowest costing airline in Europe, one third lower than its nearest rival, easyJet.
Maintaining a strong financial performance is a major factor to the success of any business. According to http://www.investorwords.com, organisations base their important decisions/strategies the basis of their financial performance. Maintaining a healthy financial performance allows companies to generate revenue.
A SWOT analysis is a study which can be undertaken in order to identify an organisation’s, product’s, or service’s internal Strengths and Weaknesses, and also its external Opportunities and Threats. A SWOT analysis focuses on the micro environment of one of the above entities, i.e. “factors which the organisation has some control over”. – Business Management Course Text, AIT Ireland (2013-20134).
SWOT ANALYSIS OF RYANAIR
Strengths
Weaknesses
Lowest Cost Base of any European Airline
Strong financial performance despite current economic climate
Innovation
Negative Public Perception
Over-reliance on Seasonal trends to increase profit margins
Poor customer service Opportunities Threats
New airline routes throughout Europe
Opportunity to increase Market Share
Current economic climate
Increase in fuel charges
Natural events and disasters
Strengths
According to safaribooksonline.com/book/sales-and-marketing, operating as a low-cost enterprise can be a strength for companies, as it may incentivise an increase in demand for a particular product or service, in relation to its competitors. Low cost providers are a popular choice for financially conscious consumers who do not have any/little loyalty towards the product/service in question, or for consumers who wish to obtain a product/service at the lowest available price. For Ryanair, being a low cost company has been hugely beneficial, as they have almost entirely built their current reputation on being a low-cost airline. At present, Ryanair is the lowest costing airline in Europe, one third lower than its nearest rival, easyJet.
Maintaining a strong financial performance is a major factor to the success of any business. According to http://www.investorwords.com, organisations base their important decisions/strategies the basis of their financial performance. Maintaining a healthy financial performance allows companies to generate revenue.