This Report is on based on the case study “Emirates’ Ambitions Worry European Rivals”, by Jad Mouawad, where the case is summarized and analyzed. The report highlights on the service of Emirates’ Airline and how its poses threats to its competitors and its strategy which leads to its success as the world largest airline carrier. Moreover the report also applies the concepts of services marketing to this case and explains various factors of Emirates’ with respect to those concepts.
Table of Contents
TOC \o "1-3" \h \z \u Introduction to Case: PAGEREF _Toc285501729 \h 3Case Analysis: PAGEREF _Toc285501730 \h 5History of Emirates: PAGEREF _Toc285501731 \h 5The Business Model and Strategy of Emirates’: An Overview: PAGEREF _Toc285501732 \h 6Customer Service at Emirates: PAGEREF _Toc285501733 \h 7Value Creation at Emirates: PAGEREF _Toc285501734 \h 7The Eight Ps of Service Marketing: PAGEREF _Toc285501735 \h 8Defining Services at Emirate’s: PAGEREF _Toc285501736 \h 10The Service Flower: PAGEREF _Toc285501737 \h 12Service Distribution at Emirates’: PAGEREF _Toc285501738 \h 13Costs and Prices at Emirates’: PAGEREF _Toc285501739 \h 15Evaluation of the Services Provided by Emirates: PAGEREF _Toc285501740 \h 15References: PAGEREF _Toc285501741 \h 18Appendix: PAGEREF _Toc285501742 \h 19
Emirate’s Ambitions Worry European Rivals
Introduction to Case:Emirates started in 1980s as a small corporation but with big dream. In the start they reduced their services to Dubai. Emirate’s is a government own company and started off with the capital of $10 million; they started off with two planes both of them were leased from Pakistan international Airlines. It was established after Gulf Air, a regional airline then owned by Bahrain, Qatar, Oman and the United Arab Emirates. Tim Clark, the president of emirates, says that his airline represents the future of mass air travel. In the time economic downfall when all companies were struggling to sustain themselves, even at that time Emirates was well enough to attract customer, raised fares and consistently turned a profits. Emirates earned $925 million his last six months, which was raised up from $205 million in the previous year. To attract and sustain their customer they have put glamour in their planes. On the double-decker Airbus A380s, full bars are standard in business, and in first class cabin they includes showers, and free food and drinks in all flights of Emirates. Emirates offer mix of quality services, operating efficiency and low cost. Emirates government owned company has now become world’s largest airline by passenger flown. Success of Emirates was result of its geography because around 4 billion people live with-in eight hours of flight. In last two decades air travel in Middle East has grown by 7%, out pacing other regions of world. One of the greatest steps was to building routes to developing countries and providing them an alternative to the local airlines, and instead of connecting through European hubs they started their new routes through Dubai. Emirates, Currently offers 184 flights a week from Dubai to India, to cities like Ahmadabad, the commercial hub in the state of Gujarat. It flies to 17 cities in Africa and, in China, to Beijing, Shanghai, Hong Kong and Guangzhou. It runs two daily flights to Bangkok and nine to Australia. Emirates is growing very fast as compare to his competitors, Emirates already got 15 A380s, the world’s largest passenger airline, and has ordered 75 more for delivery by 2018. On the other hand its competitors like Air France, Lufthansa, and British Airways have order total of 39 A380s and have only 8 flying. Critics say that the growth of the emirates was result of tight relation of Emirates with and airport authorities and regulators, which give airline an unfair advantage. They say that Emirates receives government subsidies, in form of low tax rates and different facilities like terminal 3.where they also give space to...
References: MOUAWAD, Jad. (2011, February 12). Emirates’ ambitions worry European Rivals. The New York Times, p. BU1.
Emirates’ growing reach, from its Dubai hub, is unnerving rivals like Lufthansa and Air France.
By JAD MOUAWADPublished: February 12, 2011
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