Ryanair Analysis and Strategic Recommendation

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Ryanair Analysis and Strategic Recommendation

By | May 2012
Page 1 of 31
Ryanair

Ryanair is one of the largest and still fastest growing low-fares airline companies in Europe. Led by CEO Michael O’Leary, a diverse board of directors, and an experienced top management, Ryanair has been very successful following a cost leadership strategy, partially achieved by a “no-frills” service strategy. External influences such as the European economic crisis, aviation deregulation, and rising oil prices have created opportunities or threats to Ryanair, and internal weaknesses such as unethical behavior have created issues as well. To address this, our team has created two recommendations for strategic change: correct unethical behavior and develop customer loyalty. Little new resources need to be acquired to make these changes; the largest obstacle to achieving them is to persuade the top management and board of directors that this is the correct new direction.

Contents
Introduction3
Company History3
Founder’s Influence4
Board of Directors5
Top Management6
Environmental Analysis8
Foundations8
External Analysis10
Internal Analysis13
Strategic Choice15
Business-level strategy15
Corporate-level strategy17
Global expansion strategy20
Problem Statement and Strategy Formulation20
Financial Analysis20
Opportunities21
Strengths24
Threats25
Weaknesses26
Problem Statement28
Strategic Change Recommendations29
Strategy Implementation31
Organizational Controls Review31
Current events33
Future resources34
Current resources34
Conclusion35
Work Cited38

Introduction
Ryanair has grown exponentially since its emergence in the mid 1980s and has become a leader in the low cost airline industry in the Europe. It is currently now valued at over $10 billion. As of 2011, Ryanair currently had: * 44 European Bases

* 263 Boeing 737s
* Operated 1,500 flights a day
This company has been successful in continued growth since day one. As stated on the company’s website, their objective is to...