...strong competitive edge in Airline industries. BA is a leader in airline operators in UK which face a lot of competition in the last decade. This report will analysis, identify and evaluate strategic choices that BA could pursue both internal and external environment forces. Some of the strategic will includes the strategy gap of BA. Through this strategic, we have recommended that BA should focus on their communication, planning, forecasting and strategy formulation to restore their competitive advantage within the industry. Table of contents Table of contents 1.1 Report objectives 1.2 Company overview 1.3 Strategy gap 1.4 Current strategies 2.0 External Analysis 2.1 PESTEL Analysis 2.2 Porters’ five forces 3.0 Internal Analysis 3.1 Resource based view 3.2 Value Chain 4.0 Key strategic Issues 5.0 Strategy formulation 6.0 Conclusions 7.0 Recommendations 1.1 Report Objectives The main objective of this report is to recommendation a good strategy for BA. This report will consist of sections which includes the followings: To found out the current strategic position of BA, Analysing the internal and external environment forces of BA, recommend strategic options using the internal and external analysis, evaluate strategic choices that BA could pursue and discuss the implementation. 1.2 Company Overview British Airways Plc is the number Airline in UK and one of the best Airlines in the world which operates...
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...1 General Comments This analysis is directly relevant to the assessment. It demonstrates a wide range and excellent application of the strategy tools to the organisation. A very good analysis that has excellent clarity. Generally coherent and with accompanying logical arguments. Contains some excellent elements of independent thinking. A critical appraisal of up to date literature. The report is well written. Students please note that this assignment was graded in the range 70% and above. Students: Please note there is no need to place the basic strategy models in the appendices e.g. Porter’s (1985) Five Forces, SWOT analysis, etc.. It would be more beneficial to apply the models directly to the organisation and place them in the appendices and discuss the main identified issues in the main text. 2 Corporate Strategy: Emirates Airline By Student How has Emirate airline managed to remain competitive in such a saturated industry? Emirates Airline “An exceptional journey from start to finish” (Emirates, 2010). 3 Introduction: ............................................................................................................................... 4 Background to Emirates Airline: ............................................................................................... 4 Competitive Advantage: ............................................................................................................ 5 Porter’s...
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...Ryanair’s internal strategic capabilities (SWOT)……...4 Ryanair’s strategic choice (Porter’s five forces)………5 VRIO framework……………………………………………..5 Rumelt’s criteria……………………………………………..6 Ryanair’s implementation of low cost strategy………..6 Recommendations………………………………………….6 Conclusion…………………………………………………...7 Reference List……………………………………………….7 Appendix………………………………....…………………..8 12.1 Presentation’s slides…………………………………8 Word count 1,744 (excluding reference list and appendix) 2 Besmir Lika 1.0 Introduction Strategic Management Individual Report Richard Jump The notion of underlying the concept of generic strategies is that competitive advantage is at the heart of any strategy, and achieving competitive advantage requires a firm to make a choice, if a firm is to attain competitive advantage, it must make a choice about the type of competitive advantage it seeks to attain and the scope within which it will attain it (Porter, 2004). The purpose of this report is to assess the key strategies chosen by Ryanair within cost leadership and that were likely to generate competitive advantages to the organisation. Furthermore, this paper will analyse the Ryanair’s decision to become a low cost airline through Porter’s five forces. It will help to understand the industry attractiveness and competitive forces. PEST analyses will be directed in order to analyse the business environment where Ryanair operates. SWOT analyses will be piloted to diagnose the strategic capabilities of Ryanair...
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...GENERAL ENVIRONMENT……………………………………………………………….…………2.1.1. PEST Analysis…………………………………………………………………………………….2.1.2. SWOT Analysis..…………………………………………………………………………………. | 446 | 2.2. IMMEDIATE ENVIRONMENT……………………….…………………………..………………….2.2.1. Threat of Entry……..……………………………………………………………………………2.2.2. Power of Suppliers…..…………………………………………………………………………2.2.3. Power of Buyers…………...……………………………………………………………………2.2.4. Threat of Substitute……………………………………………………………………………2.2.5. Rivalry…………………..…………………………………………………………………………... | 777888 | 2.3. THE ORGANISATION…………………………………..………………………………………………2.3.1. Organisational Structure……………………………………………………………………..2.3.2. Walter’s Model…………………………………………………………………………………… | 8910 | 3. CONCLUSION……………………………………….…………………………………………………… | 12 | 4. APPENDIX…………………………………………………………………………………… | 13 | 5. BIBLIOGRAPHY…………………………………………………………………………… | 14 | 1. INTRODUCTION This report will discuss the impact of recent technological advancement in a particular industry. It will explore how the use of information systems, knowledge management and communication technology has enabled the implementation of business information and how it has impacted change on the organisation. It will explore the general environment, immediate environment and the organisation itself, each section will be broken down into smaller headings to enable easy understanding of the report. The company chosen for this report is TUI Fly. TUI Fly is an airline company under TUI AG group which is a large company in...
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... 1 2.0 Introduction. 1 3.0 The Principles of Lean. 2 3.0.1. Understanding your customers’ requirements or value. 3.0.2. Identify the value stream 3.0.3. Make the value flow through the value stream 3.0.4. Pull the value from the value stream. 3.0.5. Strive for perfection. 3.0.6. The ten rules of lean production. 4.0 The Tools of Lean. 4 4.0.1. Kaizen. 4.0.2. Jidoka. 4.0.3. JIT or Just In Time. 4.0.4. Heijunka. 5.0 Recommendations. 6 6.0 Conclusions. 6 7.0 Bibliography. 7 8.0 Web links. 7 1.0 Summary. In this exercise I have tried to convey the meaning and value of strategy and its importance while constructing a strategic analysis using SWOT, STEP and Porter’s 5 forces. I have also used Porter’s generic strategies model to establish what business we want to be in and have articulated this business model in a vision and mission statement. The target company’s I have used in my exercise is predominantly Ryanair plc. 2.0 Introduction. What is strategy? The term strategy is a military concept and comes from the ancient Greek word “strategia” meaning “office of the general “ or “generalship”. Many of the concepts of strategy have been borrowed from the military and adapted for business. In many ways a business strategy is its battle plan to provide that business with clear objectives and long term goals to ensure the business has a competitive advantage against...
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...the average competitor in the product market (Porter,1980).Companies seek to use their understanding to outline their market offers to deliver more value to the customers. They do so by applying competitive strategy; which according to Porter (1980) is the search to find a favorable competitive position in an industry. It aims is to establish profitable and sustainable position against the forces that determine industry competition. Therefore competitive strategy is about beating the competition. To achieve such goals Michael Porter and other advocates such as Mintzberg, McGee and Bowman suggested few market positioning approaches and models. The three main approaches are Porter Generic Competitive Strategies, Mintzberg market positioning and customer matrix. To add up, models such as product life cycle, Porter Five forces model, Strategic Grouping and Scenario planning also help to formulate the competitive strategy of a business. Porters Five forces model is the key influence to other models. This model determines industry profitability because it influences the price, cost and return on investment. Porter believes that the five forces is more than just competing with direct competitors but also fighting for profits. In any industry no matter what it produces whether product or service of any type, there are five bases of competition at work. For instance take an airline industry the level of rivals is high as the other airlines compete closely for global market share and growth...
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...Strategic Analysis and Choice Intake: October 2006 Student ID # 069017970 Master of Business Administration Module 2 Strategic Analysis and Choice Submitted by: Mohammed Hassan Sidahmed Student ID # 069017970 Intake: October 2006 1 Strategic Analysis and Choice Intake: October 2006 Student ID # 069017970 Strategic Analysis and Choice With reference to empirical examples, identify the circumstances in which a company should consider implementing a process of strategic renewal. What business strategies can they adopt in such circumstances and what factors are likely to influence the success of such strategies? 2 Strategic Analysis and Choice Intake: October 2006 Student ID # 069017970 A close look upon circumstances in which a company should consider implementing a process of strategic renewal and how to clearly identify these circumstances , analysts have to explore checklists and frameworks to find information necessary for conducting an internal and External Audit , to assess very clearly the internal and external Environments , so that the Company finds out where it currently stands and in order to take advantage of opportunities and its strong areas and to make plans for threats and weak areas when preparing business strategies. For the assessment External environment, it is best conducted by the PESTLE Analysis the factors are : ( P – Political , E – Economical , S – Social , T – Technological , L - Legal...
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...1.0 Introduction Air New Zealand is the dominant flagship airline in New Zealand. At present the airline more or less controls the majority of the New Zealand domestic market. The airline also operates on several global international routes. Since Ralph Norris was appointed as Managing Director and CEO of Air New Zealand in February 2002, Air New Zealand has been working on its new strategic direction. After the business transformation program, the structural changes in the marketplace made a new direction indispensable and Air New Zealand is turning to align its route and service standards to customer needs from inflexible service offerings. Meanwhile, Air New Zealand is developing from a full service airline into the direction of a value-based airline which involves lower fares and more customers. Reduced revenues (per customer) should be off- set by lower operating costs mainly achieved by simplification of product bundles and services. (Airline to put profit on menu.UBS Warburg Conference, 2003, p.11 ) The following table gives an overview of the key aspects of Air New Zealand is facing after the new strategic direction launched, as we can seen as SWOT analysis. Figure 1 SWOT analysis Strengths-Well established system and strong operational network Marketing programs.-One of the earliest members of the Star Alliance, it flying 25 domestic and 23 international destinations and covering 16 countries approached at different cities in Asia, Pacific, North America and Europe...
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...perspectives: strategic position, trade-offs and fit. Main part Understanding of the article Some concepts of this article are based on theoretical foundations. Firstly, operational effectiveness is based on the Five Forces Frame Work (Porter, 2008), as its definition ‘performing similar activities better than rivals perform them’ (Porter, 1996) links with external environment, especially for the competitors. Another concept ‘strategic position’, performing different activities from rivals’ or performing similar activities in different ways (Porter, 1996), is related to RBV (Barney, 1991), because both them emphasize on the distinctiveness and uniqueness. The other two concepts ‘trade-offs’ and ‘fit’ are based on VRIO criteria (Barney, 2007), which is the basis of the company to generate sustained competitive advantage. The V of VOIR, value, is consistent with ‘trade-offs’, as they indicate that company should decide what to do and not to do. The ‘fit’ is line with the ‘I-inimitability’, since both of them stress that interlinkages among corporate activities makes difficult for organization to imitate. Wider context of strategy theory Besides, this article could also be placed into a wider context. Based on Whittington Model (Whittington, 2002), the analysis and interpretations of the author are in line with the classical perspective, which promotes rational strategic-planning with very deliberate, profit-based outcomes. The assumption of analysis and theoretical...
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...Business Strategy Module Code – ST3S03 Tutor – Rachel Leek Assignment A Report on the Strategic Evaluation of Easyjet Student Number - 09134190 CONTENTS Terms of Reference Page 3 Executive Summary Page 3 Introduction Pages 4 Identify Strategic Position Pages 4 & 5 External Drivers Of Change Page 8,9,10 & 11 Adding value To Strategic Position Pages 12, 13 & 14 Conclusion Page 14 & 15 References Page 16 Bibliography Page 17 Terms of Reference This report is based on a case study of Easyjet and its strategic position. The report is addressed to Rachel Leek from Shaun Sweeney, submitted on the 28/2/2013 Executive Summary The purpose of this report is to look at Easyjet and how they align their Strategic Business Strategies to compete with other similar businesses within the aviation industry. It will also look at how they may implement these strategies into their business. The report will look at how they deal with political, economic, social and technological obligations and threats. This will be analysed by...
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...not’ Shayne Connell Student Number: 9809317 Case Study GSBS6010 – Foundations of Marketing Theory Due: 11 March 2010 th Lecturers: Penny Crittall and Joel Goodsir Page 113 Table of Contents 1. Executive Summary………………………………………………………3 2. Situation Analysis a. Identification of case issues………………………………....…. 4 b. Analysis of case issues using marketing theory…...........……5 3. Evaluation of alternative courses of action……………………………. 7 4. Recommendations………………………………………………………..7 5. References………………………………………………………………...9 Page 114 1. Executive Summary This analysis examines Virgin Blue’s strategy to increase share of the business and government travel market. This is the third change of strategic direction for the low cost carrier since 2000. The key issues are the challenge of repositioning the company while maintaining the brand strength of the airline, and continuing to meet the needs of the leisure market while offering value to business travellers. Virgin Blue has targeted the full service market leader, Qantas, by positioning itself as an airline for executives who can avail themselves of ‘Premium Economy’ services. The situation is analysed drawing on International case examples, strategic planning principles and growth strategies to evaluate alternative courses of action. Virgin Blue needs to target the business market in the unique Virgin way to differentiate and avoid blurring the brand image. Specific recommendations are described including an immediate...
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...What affect has and what is the future of airline industry To begin with the purpose of the particular essay will intend to give an explanation about the Porter's five forces. However the discourse will focus on the sixth force and what affect has. The first part of the discussion will be analysed and supported by arguments about the meaning of Porter's five forces. Nevertheless examples for the five forces will mentioned in order to support and take thesis in the particular analysis. However examples about the sixth force will be mentioned in order to give the reader a satisfactory explanation and to make clear the effect that have in airline industry. Afterwards the essay will analyse the future of the airline industry. Finally a conclusion gives the reader a summarizing about the aspects discussed on the analysis. The Airline Industry has changed the people’s life. In addition it has drop the travel time and decrease the distances making possible to visit lands that cannot be imagined in the past. Michael Porter had created a model showing the influence on industry by five forces. This model help the managers to understand better the strategic forces that appear on industry and how they affect profitability. Five forces analyzing five key areas namely competitive rivalry, the threat of substitutes, the threat of entry, the power of buyers and the power of suppliers. Furthermore Porter referred to these forces as the micro-environment, to contrast it with the more general...
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...Budget airline industry has been profitable during last decade, and particularly Ryanair, as the largest European budget airline company has been vital in this area. Its success in past, issuses nowadays and importantly the sustainablility has drawn significant attention and offered a great oppourtunity for research. This case study will analysis the budget airline through its business model, evironment and industry and finally focus on Ryanair’s strategy position in order to explore its sustainability in future. The framework is briefly illustrated by following figure. Figure 1: Brief Framework of this Case Study The budget airline business model The first company in history to suggest the budget airline business model to the world was Southwest Airlines (SWA) in Texas, USA. At the beginning of 1970s, this company have launched first flights between three major cities in Texas i.e. Houston, Dallas and San Antonio at a price of 20 dollars, which was initiative at that time. It marked itself as budget airline and initiates a business model allowing it to offer scheduled flights service at a very low fare. It would focus on short-distance flights of typically 600 km or one hour with high traffic efficiency. Many strategic approaches of budget airline business model’s operations differ from the more traditional of full service airlines model. 6 main factors can be identified, which are illustrated in the table below: Budget airline | Full service airlines | ...
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...factors control to the strategy that Ryanair Plc is following. This report undertakes a detailed study of Ryanair which include a brief outlining of the company’s products and services. Mission, vision and values of the airline will be also explained. It evaluate company’s current strategy and the management of that strategy. It also gives a brief evaluation of Ryanair’s financial structure as well as an environmental analysis of the European airline industry and how this affects Ryanair. Each section of the following report represent the key findings. Introduction to company section includes Ryanair’s background, mission and vision statements, Corporate Social Responsibility policy, company’s stakeholders. External environment section include SWOT analysis. This analysis explain Internal (Strengthens and Weaknesses) and External (Opportunities and Threats) factors. Furthermore, PEST analyse is described. In order to understand company’s profitability in relevance to the competitors, the Porter’s Five Forces framework is used. In Financial sector the turnover , profit margins, operating profit, current ratio, solvency ratio, gearing ratio and the comparability of these during 2006-2008 period is explained. Using the Ansoft’s growth matrix the main strategic direction that Ryanair follow was indentified. The methods of development such as low cost, no- frills model, finding new markets for existing products, opening new routes are outlined and analysed. Conclusions and recommendations...
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...STRATEGY Compulsory formative assignment RYANAIR – THE LOW FARES AIRLINE CASE STUDY SummaryThe study case invites us to assess the success of Ryanair’s strategy in a highly competitive environment. For this purpose, we will successively evaluate its competitive positioning, its internal competencies, and its sustainability. We will conclude that Ryanair had followed until 2009 a low cost strategy, that its key resources and competences did satisfy such strategy in 2009 and that its principal competitive advantage, namely its position of leader of the low cost airline market, can be regarded as sustainable. | 1484 words (excluding tables) Introduction Ryanair was created in 1985 by Tony Ryan as a conventional airline company aiming at operating flights between Ireland and London. In 1991, financial difficulties led to its transformation into a low cost carrier, with Southwest Airlines as a model. Michael O’Leary was appointed as the Chief Executive Officer of the company soon after. Since then, the company has experienced rapid expansion. It was floated on the Dublin Stock exchange in 1997 and quoted on the NASDASQ in 2002. In 2009, traffic reached 66,5m passengers with a fleet of 232 Boeing 737-800, 41 bases and profit was over €318 m. The study case invites us to evaluate the success of Ryanair’s strategy in a highly competitive environment. For this purpose, we will successively assess its competitive positioning, its internal competencies, and its...
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