Airline Industry Competitive Structure The market structure of the Airline industry consists of a few corporations making its market structure an oligopoly. The airline industry is very volatile to changes in oil prices and can lead to fare increases and reducing overall profits. In 2011 for example jet fuel cost was at 2.84 a gallon up 243% from 1995 adjusted with inflation. In addition to what the current market is charging for a barrel of oil airlines have to deal with the “crack spread”‚ which
Premium Southwest Airlines Delta Air Lines Airline
COMPANY PROFILE Ryanair Holdings (Ryanair or ‘the company’) operates low fare scheduled passenger airline serving short haul‚ point to point routes between Ireland‚ the UK‚ and Continental Europe‚ as well as Morocco. It is headquartered in Dublin‚ Ireland and employs about 8‚560 people. The company recorded revenues of E3‚629.5 million ($4‚796.7 million) during the financial year ended March 2011 (FY2011)‚ an increase of 21.5% over FY2010.The operating profit of the company was E488.2 million ($645
Premium Tourism Airline
Airline Industry SWOT Analysis A SWOT analysis--a review of strengths‚ weaknesses‚ opportunities‚ and threats--is a core requirement of any organization‚ and essential to understand any industry. The volatile airline industry is no exception. While individual airlines each analyze and make decisions based on their own situations‚ there are overall industry similarities that all airlines face‚ with each endeavoring to maximize strengths and opportunities while minimizing weaknesses and threats
Premium Airline Low-cost carrier
Journal of Management 25(2)‚ 119-143 Slater‚ S Webster‚ F. E. Jr.‚ (1988) Rediscovering the marketing concept. Business Horizons 31 (May-June)‚ 29-39 Wrenn‚ B Ryanair‚ Available at: http://www.ryanair.com/site/EN/ Quinn‚ Eamonn.(2003) No competitors for Ryanair in Dublin‚ says Cassani Milmo‚ D.‚ 2006‚ Ryanair - the world’s least favourite airline‚ The Guardian‚ Available at: http://www.guardian.co.uk/uk_news/story/0‚‚1931403‚00.html
Premium Marketing
http://www.ryanair.com/doc/investor/Strategy.pdf STRATEGY Ryanair’s objective is to firmly establish itself as Europe’s leading low-fares scheduled passenger airline through continued improvements and expanded offerings of its low-fares service. Ryanair aims to offer low fares that generate increased passenger traffic while maintaining a continuous focus on cost-containment and operating efficiencies. The key elements of Ryanair’s strategy are: Low Fares. Ryanair’s low fares
Premium Airline Aer Lingus 2004
Executive Summary - November 2007 A Study of the European Cosmetics Industry Executive Summary Prepared for: European Commission‚ Directorate General for Enterprise and Industry Prepared by: Global Insight‚ Inc. November 2007 Executive Summary - November 2007 Contact Information Emilio Rossi Managing Director Business Planning Solutions‚ Europe Global Insight‚ (Italy) srl. Via S. Maria Segreta 6 20123 Milan +3902 8648 130 emilio.rossi@globalinsight.com Antonia Prlic Principal
Premium European Union
conflict entailed imperial‚ territorial‚ as well as economic quests of the leading European powers‚ mainly involving the German‚ British and Russian Empires. The killing of Austria’s Archduke Franz Ferdinand in 1914 proved to be the ultimate trigger of the battle. The US was reportedly unsuccessful in inventing an airplane model of it’s own during the war‚ but still the battle –presented its underdeveloped airplane industry with the basic momentum‚ alongside groundwork to stabilize from. World War I
Premium World War I World War II
this executive summary is to give recommendations on Ryanair‚ along with supporting logic for the recommendations. In the following paragraph‚ I will focus on Ryanairs’ strategic analysis‚ game theory application for the strategic analysis‚ and finally give recommendations based on reasonable analysis. Strategic Analysis The main strategy for Ryanair is its low cost structure. Ryanair undercut its Dublin-London service at I£98. The reason Ryanair was able to offer low fares was because they only
Premium Aer Lingus Logic Marketing
Dynamic Pricing in the Airline Industry R. Preston McAfee and Vera te Velde California Institute of Technology Abstract: Dynamic price discrimination adjusts prices based on the option value of future sales‚ which varies with time and units available. This paper surveys the theoretical literature on dynamic price discrimination‚ and confronts the theories with new data from airline pricing behavior. Correspondence to: R. Preston McAfee‚ 100 Baxter Hall‚ California Institute of Technology‚
Premium Economics Pricing Supply and demand
the European airline market it is visible the there are two main groups of airlines. One group consists airlines with a low cost strategy‚ and the other group are the mainstream carriers. This last group exists of a few companies who have severe problems with the structurally sickness of this industry. Only Lufthansa made a net profit. BA‚ Air France-KLM and Scandinavian Air Systems all made severe losses‚ due to declining traffic from long-haul business class passengers. Low cost airline market
Premium Ryanair Low-cost carrier Southwest Airlines