Strategic Analysis for Ryanair to Enter China
Strategic Analysis for Ryanair to Enter China
Submitted in part fulfilment of the Master September 2010
STRATEGIC BUSINESS ANALYSIS (ULMS 719)
University of Liverpool Management School
17 September 2010
Abstract
Ryanair, the leader of low-fare carriers in Europe, will expand its business throughout the world. This report discusses the strategies which Ryanair entre the Chinese market. Through PESTEL analysis and SWOT analysis to have sophisticated understandings of the Chinese market situation and the civil aviation environment, then after a series of considerations, eventually, Ryanair makes the decision to cooperate with China Southern Airlines in the form of a joint venture. Based on this, Ryanair has set up plenty of adequate business strategies that are composed of market targeting strategy, price strategy and marketing strategy in order to successfully enter the Chinese market.
Keywords: Ryanair; China; Strategic analysis
Table of Contents
Abstract ----------------------------------------------------------------------------------------------i
List of Tables and Figures------------------------------------------------------------------------iv 1. Introduction-------------------------------------------------------------------------------------1
2. Overview of Ryanair -------------------------------------------------------------------------2
2.1 General introduction of Ryanair-------------------------------------------------------------2
2.2 Ryanair’s competitive advantages ----------------------------------------------------------4
3. Strategic analysis --------------------------------------------------------------------------------6 3.1 External environment-PESTEL Analysis ----------------------------------------------7 3.1.1 Political ------------------------------------------------------------------------------------7
3.1.2
Submitted in part fulfilment of the Master September 2010
STRATEGIC BUSINESS ANALYSIS (ULMS 719)
University of Liverpool Management School
17 September 2010
Abstract
Ryanair, the leader of low-fare carriers in Europe, will expand its business throughout the world. This report discusses the strategies which Ryanair entre the Chinese market. Through PESTEL analysis and SWOT analysis to have sophisticated understandings of the Chinese market situation and the civil aviation environment, then after a series of considerations, eventually, Ryanair makes the decision to cooperate with China Southern Airlines in the form of a joint venture. Based on this, Ryanair has set up plenty of adequate business strategies that are composed of market targeting strategy, price strategy and marketing strategy in order to successfully enter the Chinese market.
Keywords: Ryanair; China; Strategic analysis
Table of Contents
Abstract ----------------------------------------------------------------------------------------------i
List of Tables and Figures------------------------------------------------------------------------iv 1. Introduction-------------------------------------------------------------------------------------1
2. Overview of Ryanair -------------------------------------------------------------------------2
2.1 General introduction of Ryanair-------------------------------------------------------------2
2.2 Ryanair’s competitive advantages ----------------------------------------------------------4
3. Strategic analysis --------------------------------------------------------------------------------6 3.1 External environment-PESTEL Analysis ----------------------------------------------7 3.1.1 Political ------------------------------------------------------------------------------------7
3.1.2
References: Annual Report of Ryan air (2008,2009,2010) Aaker, P Barney, J., & Hesterly, W. (2007). Strategic Management and Competitive Advantage: Concepts (2nd Edition). Alexandria, VA: Prentice Hall China Statistics Yearbook, 2009, China Statistics Press Fang, M. 2009, The PEST analysis of Chinese Aviation, Market Forum, 65 Gibert, Child and Bennett, A Qualitative Study of the Current Practices of “No- frills” Airlines operating in Europe, Vacation Marketing,2001(4),p 302-p314 Johnson, G. (2004). Exploring Corporate Strategy: Text and Cases,7th Edition,Upper Saddle River: Financial Times/Prentice Hall p351-p358 Johnson, G., Scholes, K., & Whittington, R Morrison, Adjacent and Potential Competition: Estimating the Full Effect of Southwest Airlines, Transport Economics and Policy, 2001(35), p239, 256 Olson., & Peter, J Peng, M. W. (2009). Global Business 2009, Update (1 ed.). Mason, OH: South-Western College Pub. Chapter 1 Report of Chinese aviation, 2008 Report of the Work of the Government 2010 Tang, G.H, The history of foreign Low cost airlines, World Aviation Magazine, May, 2004 Websites: Civil Aviation Transportation price reform, 2004 :