and core competences. With using Ryanair as an industrial example‚ this essay would talk about how important strengths and weaknesses are to be used in designing strategy. Ryanair was founded in 1985 by Tony Ryan who already died in 2007. It was originally a full service airline and turned into a low-cost carrier in 1990s. Ryanair used a series of cost-cutting policies to attain to the target as its mission statement (Ryanair Annual Report‚ 1999): “Ryanair will become Europe’s most profitable
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Ryanair Case Analysis 1. Porter’s Five Forces Analysis Substitute: In this industry‚ there are high substitution power because if one airline decides to raise prices then customers are going to switch to a cheaper airline company. The majority of passengers are price sensitive and have the option of taking other forms of transportation such as the rail or ferry. Customers are willing to travel longer if they can pay for a cheaper fare. The round fare for ferry and rail is 55
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RYANAIR LIMITED RYANAIR LIMITED SUBMISSION TO THE COMMISSION FOR AVIATION REGULATION ON THE DETERMINATION OF AIRPORT CHARGES 27 MARCH 2001 Table of Contents 1. Introduction 2 2. Background on Ryanair 5 3. Background on Aer Rianta’s Charging Policy 9 4. Key Issues 14 5. Comments on the Statutory Background 15 6. Submissions on Questions raised 20 Confidential Annex (Separate Document) - WITHHELD 1. INTRODUCTION This paper sets out Ryanair’s submissions on the determination of airport charges by the
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Conclusion | 9 | References | 10 | Word Count: 2061 Introduction Ryanair was founded in 1985 by the Ryan family‚ which was headed by Tony Ryan. It was the first budget airline in Europe‚ modeled after the successful US carrier‚ Southwest Airlines. It was founded to provide scheduled passenger airline services between Ireland and the UK‚ as an alternative to then state monopoly carrier‚ Aer Lingus. At the beginning‚ Ryanair was a full service conventional airline‚ with two classes of seating‚
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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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opportunities‚ it is also essential to analyze the internal environment of the company‚ to identified the types of activities that form the production process. An analysis tool that helps identify what are the key activities of the production process of Ryanair and which are auxiliary or complementary is the analysis of the value chain (value chain). The value chain‚ in fact‚ lets to consider the enterprise as a system of value-generating activities. This value is defined as the price that the consumer is
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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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Cost Carriers best. The global economic recession has handed Ryanair and similar carriers near-perfect operating conditions. As Ryanair explains‚ "this recession has encouraged passengers to become much more price sensitive which is why they are switching to Ryanair ’s low fares and unbeatable customer service over all other competitors". Ryanair expects a 15-20% reduction in average fares this year to around EUR32 per passenger. Ryanair is expecting that several of its smaller rivals will not be
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Ryanair and the External Environment Executive summary This report explores Ryanair’s domain in relation to the external environment and outlines the concerns for the company within these sectors. The environmental uncertainty of Ryanair is dealt with and ways in which it can adapt to this uncertainty are outlined. This report also explores possible strategies for minimizing environmental uncertainty for the organisation. 1. Ryanair’s domain in relation to the external environment and sectors of
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Business Strategy Prof. Sebastian Raisch Mr. Jonathan Schad MBA Session 2014 HEC University of Geneva RYANAIR- The Low Fares Airline: Whither Now? Student: Roi Lavi May 5th 2014 1. Evaluation of the Competitive Situation in the Industry1: 1/5 The Bargaining Power of Low-Fare flight ticket buyer is LOW-MEDIUM: The low cost airline company’s buyers are mostly individual passengers that book 99% of tickets by Internet‚ without agents or other third parties and thus there is no dominant
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