The Growth and Success of Ryanair Can Be Explained by Its Ability to Achieve Sustainable Competitive Advantage over Its Rivals. Looking Foward, How Easy or Difficult Will It Be to Maintain This Advantage? Essay Example
It will be difficult to maintain this advantage for Ryanair even though they continue to provide low fares. Ryanair is one of the most popular budget airlines available however it faces competition from other budget airlines such as EasyJet and Wizzair.
Ryanair use secondary destinations to cut down cost and maximise profits. The handling costs will be cheaper and Ryanair will be able to expand on their extra services such as transportation to the main destinations, thus increasing sales for Ryanair. The use of more frequent short haul flights will attract extra customers who may have a connecting flight. The secondary airports will offer more on time flights and fewer cancellations. However, this could also distract customers from using their services as they could find another airline which would give a direct flight aswell as no extra transport costs. This will lead Ryanair finding it difficult to compete with the competition.
The major disadvantages for Ryanair are: the prices for fuel are increasing every year and Ryanairs distinctive feature of low fares may be affected and lead to lose customers. The competition in the future is also increasing as more and more budget airline come into the market and distract customers away from them. Ryanairs bad media coverage could lead it to slowly decrease in sales as more customers become wary of their business. Many people may be discouraged when Ryanair charged a disabled man £18 for a wheelchair. The public would have thought this was a necessity. The public may be attracted by the low fares however they are faced with the hidden charges such as check in bag, hold luggage, and priority boardings.
With Ryanair only flying within Europe, this leads to a disadvantage as it will fall behind with its competitors such as KLM and Air Asia as they travel worldwide. These companies will attract more customers on a global scale, leading to a decrease in sales. It also does not offer refunds if a flight is
Ryanair use secondary destinations to cut down cost and maximise profits. The handling costs will be cheaper and Ryanair will be able to expand on their extra services such as transportation to the main destinations, thus increasing sales for Ryanair. The use of more frequent short haul flights will attract extra customers who may have a connecting flight. The secondary airports will offer more on time flights and fewer cancellations. However, this could also distract customers from using their services as they could find another airline which would give a direct flight aswell as no extra transport costs. This will lead Ryanair finding it difficult to compete with the competition.
The major disadvantages for Ryanair are: the prices for fuel are increasing every year and Ryanairs distinctive feature of low fares may be affected and lead to lose customers. The competition in the future is also increasing as more and more budget airline come into the market and distract customers away from them. Ryanairs bad media coverage could lead it to slowly decrease in sales as more customers become wary of their business. Many people may be discouraged when Ryanair charged a disabled man £18 for a wheelchair. The public would have thought this was a necessity. The public may be attracted by the low fares however they are faced with the hidden charges such as check in bag, hold luggage, and priority boardings.
With Ryanair only flying within Europe, this leads to a disadvantage as it will fall behind with its competitors such as KLM and Air Asia as they travel worldwide. These companies will attract more customers on a global scale, leading to a decrease in sales. It also does not offer refunds if a flight is