Examining Ryanair’s Launch Strategy Ryanair was set up in 1985 by Cathal and Declan Ryan‚ as one of the first independent airline servicing the Dublin-London (Luton) route. Ryanair launched its service focusing on delivering first-rate customer service and lowest – simple‚ single – fare @ I£ 98‚ compared to I£ 208 full fare and I£ 99 discounted fare offered by competition‚ Aer Lingus and British Airways. Ryanair Executives believe that Aer Lingus and British Airways’ flights are typically 60-70%
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Assessment of Ryanair’s launch strategy One possible reason why Ryanair chose to enter the Dublin-London route is because the route was reputed to be quite lucrative for both Aer Lingus and BA. It is easy to see why this route is lucrative because the least expensive fare for both carriers were priced at I£208 but operating expenses per passenger was only I£155.1. Ryanair’s publicized fare of only I£98 will help it to attract more passengers than both carriers given that it cost only half the
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1 The TOWS Matrix --A Tool for Situational Analysis Heinz Weihrich*‚ Professor of Management‚ University of San Francisco This article has two main purposes One is to review general considerations in strategic planning and the second to introduce the TOWS Matrix for matching the environmental threats and opportunities with the company ’s weaknesses and especially its strengths. These factors per se are not new; what is new is systematically identifying relationships between these factors and
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Internal factorsExternal factors | Strengths: 1. Quality recognition. 2. Leadership positions for flour milling and film exhibition divisions. 3. Strong free cash flow from flour milling operations. 4. Shrewd management with proven track record. 5. Strong financial position. 6. Online system. 7. Cost advantage. 8. Employer relations. 9. Brand recognition. | Weaknesses: 1. Earnings are subject to prices wheat. 2. Less margin profit of flour. 3. Process-oriented R&D.
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RYANAIR Introduction This essay is initially going to analyse the LCC (Low Cost Carrier) industry and subsequently focus on Ryanair‚ the world ’s largest low cost international carrier (figure 1). The first part of the assignment is going to apply Porter ’s five forces to the above-mentioned industry‚ then it will look at how the company competes in such environment‚ referring to Porter ’s generic competitive strategies. Finally it will analyse how the company delivers on these competitive
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What do your overall assessment of Ryanair’s strategy? Although the strategy of Ryanair seems sound‚ I don’t expect it to succeed on the Dublin-London route. By matching service and amenities but pricing well below Air Lingus and BA‚ Ryanair stands to steal customers up to capacity of it’s 44-seat turboprop 4 times a day. This loss of customers‚ though small at this point‚ could likely elicit a strong response from both AL and BA. The Dublin-London route represents one of the few lucrative routes
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Ryanair Internal analysis Resources and capabilities In 2006 Ryanair was in ownership of a total of 103 Boeing 737 aircraft‚ and also a set order to increase this number by 138 in the next six years. Currently its fleet flies out from 127 destinations. Ryanair replaced its old fleet with new more efficient and environmentally friendly aircraft and has the youngest fleet of any major airline with an age of just 2.4 years. The new aircraft were effective in increasing efficiency as there was no
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Ryanair Ryanair is the World’s favorite airline with 41 bases and 1100+ low fare routes across 26 countries‚ connecting 153 destinations. Ryanair operates a fleet of 232 new Boeing 737-800 aircraft with firm orders for a further 82 new aircraft (before taking account of planned disposals)‚ which will be delivered over the next 2.5 years. Ryanair currently has a team of more than 7‚000 people and expects to carry approximately 73 million passengers in fiscal year 2010/11. (http://www.ryanair.com/en/about)
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threat for Ryanair: Strategic changes that are required when a leadership shift takes place in the company Ryanair Ltd. Airside Business Park Dublin‚ Ireland Delivery Date: September 26‚ 2014 Executive Summary In order to understand what strategic organizational changes are required in the case of leadership shifts‚ the position and importance of Ryanair’s current leader was firstly determined. Michael O’Leary is an outstanding transformational manager‚ who leads Ryanair with an assertive
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Task A- Introduction Ryanair Europe ’s Leading Low Fares Airline is an Irish airline with headquarters in Dublin and its biggest operational base at London Stansted Airport in the UK. It is Europe ’s largest low-cost carrier. As of 31 July 2007‚ Ryanair operates 516 routes across 26 countries from 26 bases. Ryanair has been characterised by rapid expansion‚ a result of the deregulation of the air industry in Europe in 1997. Ryanair is the third largest airline in Europe in terms of passenger numbers
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