10 « RYANAIR. FLY CHEAPER » BSS008S-3 Applied E-Business ASSIGNMENT 1 (10 December 2010) TOPIC N°1 ABSTRACT This report presents the e-business company RYANAIR. Throughout it we are going to find what type of competitive advantage the company pursues‚ what factors help it creating a superior customer value‚ what impacts this kind of company has on the whole industry and finally what are the controversial issues about RYANAIR. Mainly‚ RYANAIR is a low-cost airline company which
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Strategy Introduction Ryanair is an airline company‚ which is well known for its low cost airline service across Europe. Christy Ryan‚ Liam Lonergan and note Irish businessman‚ Tony Ryan‚ founded the company in 1985 in Ireland (with a share capital of only £1 and 25 employees according to Business-market.com). Ryanair was restructured in 1991 by Michael O’Leary. He reported revenues of €3‚629 Billion for the fiscal year of 2011‚ bringing profits of €374‚6 Million‚ leading Ryanair as on the oldest and
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Ryanair is considered to be the largest low fares airline in Europe. They have over 800 low fare routes across 26 different countries‚ so this gives you an indication as to the scale of this employer. Despite being a low budget airline‚ they are anything but budgeted when it comes to their staff. With real incentives and genuine opportunities for career progression‚ staff at Ryanair are valued for the hard work they do in helping to run one of the most successful budget airlines in the world. With
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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
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Ryanair’s average flight represents just 442 miles which is the equivalent of average length of passenger haul. This is a relatively small number that can be explained by the fact that Ryanair does not offer transatlantic flights‚ but focuses exclusively on routes between Ireland‚ the UK and Continental Europe. If one divides the number of employees at period end by the employees per aircraft served at period end one receives the number of airplanes‚ in this case 41‚38 airplanes. Furthermore one
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Europe. The market share leader is Ryanair. Important competitors are EasyJet‚ Air Berlin and the two smaller airlines: Norwegian Airlines and Wizz air. Also Aer Lingus can be seen as a competitor‚ despite the share of Ryanair in the carrier. Due to the economic recession opportunities for budget carriers increased. By mid-2009‚ budget airlines accounted for over 35% of scheduled intra-European traffic. Different players on the low-cost airline market Ryanair is an low-cost carrier‚ positioned
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Case 5 - A Dogfight over Europe: Ryanair Key Issue: The key issue in this case is that Ryanair’s competitive advantage is based on offering customers an easy-to-imitate low price. While it may be operationally effective‚ they have no strategic positioning. Supporting Arguments: Ryanair’s low prices were not a strategy to gain market share. They were simply out of necessity to stay afloat as their sales plummeted. However‚ as their prices dropped to increase sales‚ they did manage to generate
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International Strategic Management Coursework 2011/12 Case study analysis: Ryanair – the low fares airline: wither now? Executive Summary The purpose of this paper is to use analysis of the airline industry and of Ryanair to highlight the firms’ successes thus far. It also considers the sustainability of the current strategy by viewing the future of the firm and its competitors. Using Porter’s five forces‚ the VRIO framework and the SWOT analysis it gains intimate information on the factors
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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 are designed to stimulate demand‚ particularly from fare-conscious leisure and business travelers who might otherwise have used alternative forms of transportation or would not have traveled at all. Ryanair sells seats on a one-way
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focused on a S.W.A.T. analysis on Ryanair‚ was fully based on internet web sites. For full information‚ refer to the bibliography at the end of he report. 3. Findings 3.1 Strengths a. Leadership in the low-cost sector • “Ryanair was Europe’s original low fares airline and is still Europe’s largest low fares carrier. Currently the company carries over 35m. passengers on 325 low fare routes across 21 European countries”( Ryanair). As a matter of fact Ryanair is currently the largest low-cost company
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