Easyjet and Ryan Air

Topics: Low-cost carrier, Southwest Airlines, Airline Pages: 7 (2159 words) Published: June 15, 2012
Amicably, in today’s airline business industry leadership and culture is imperative and crucial in achieving strong business management and operation. There can be looking at the two airlines specifically, Easyjet and Ryan Air as the focus for explanation and discussion points. Ideally, the product services being offered by RyanAir are cheap fare flights that are most likely the same with Easyjet, offering economic flights to frequent passengers. The core discussion can center on these two airlines leadership and culture adhering points as to how each airlines adopt to their leadership styles and what specific culture norm does they utilize in such business. Knowing also if there are issues and challenges from within the process of leadership and culture among Easyjet and RyanAir. Thus, there must be ample awareness of particular theory such as if, one airline imposes motivational leadership or charismatic type and if the culture involves to power distance and others. Then, recommendation should be given duly integrating how Easyjet and RyanAir surges to stay in standards upon their culture and leadership posit respectively.

The strategy for this organization is the closest to the original Southwest model overall. Like most European flights it offers a point to-point rather than a hub service, it has absolutely no frills and aims to turn flights around within 25 minutes and routes are consistently the shortest of all the Low Cost Carrier’s. Interestingly, RyanAir is one of the most profitable low cost airlines in the market. (1997; 1998) RyanAir has transformed itself from an industry minnow into one of Europe's biggest airlines over two decades. However, its obsessive focus on the bottom line has dented its public image. In one infamous incident, it charged a man with cerebral palsy £18 to use a wheelchair, while in another example of cost-cutting zeal, pilots and cabin crew pay for their own training and uniforms ( 2005; 2006). RyanAir's outburst against the aviation establishment came when the airline lashed out at the owner of Stansted airport, its UK base. The company urged thousands of passengers who suffered delays in the half-term rush to send all complaints to the chief executive of BAA, Stansted's parent. Easy jet

During September of 2004, RyanAir's biggest competitor, Easyjet, announced routes to Ireland for the first time, beginning with the Cork to London Gatwick route until then Easyjet had never competed directly with RyanAir on its home ground. Easyjet adheres strongly to the original low-cost model like Ryan air it does not offer any frills and is also one of the most profitable airlines in Europe. It bypasses the travel agent mode of distribution altogether and offers a point-to-point service. However, unlike RyanAir, Easyjet does travel to selected primary airports ( 1997; 1998) and the customer proposition of Easyjet involves low cost with care and convenience.

It is widely known in the airline industry that before RyanAir boss took over the leadership of sideline business and set about squeezing out costs and driving up performance, he spent time in the USA studying how the original low-cost airline, Southwest, achieved its stellar performance (2003). himself concedes that many aspects of the model that has made RyanAir such success story in European aviation able to challenge such established carriers such Easyjet in their backyards (2003).

For instance, both RyanAir and Easyjet:
- sell tickets directly to the customer
- price their seats dynamically
- abandon the “frills” of flying
- forgo revenue opportunities that would disproportionately raise costs - operate only one aircraft type, so that crew and maintenance staff training is simplified, operational flexibility achieved and economies of scale created for both aircraft and parts purchasing - offers a single class cabin, with all passengers receiving the...
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