Advantages Of Low Cost Business Level Strategy

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In today economics condition, customers are more prefer to buy products or services at lower price but good quality. Therefore, the suitable business level strategy that can be offer by a company such Ryanair Holdings is a low cost business level strategy if it want to reduce number of competitors or no competitors. Low cost business level strategy is a strategy in which a company offers a product or services at lower price in the market to attract customers to buy its products or services. Therefore, Ryanair Holdings need to reduce it cost of operations in order to offer a lower price of services. It is one of the generic marketing strategies that can be adopted by any company. In our opinion, low cost business level strategy can make Ryanair…show more content…
Valuable is measure through the ability of the business in implementing strategies that improving the effectiveness and efficiency of the business operation. In the Ryanair Holdings case the business are valuable since they are able to improve the effectiveness and efficiency of their business by using a primary method of the cost control that used a single model of the aircraft that allows minimizing of training and maintenances cost, efficient management of spare part inventory and more flexible scheduling of flight crew. By using a single model that have been widely used, the flight crew are more readily available for hire. This will reduce the cost of training since the company does not need to provide their flight crew with any training and also ensure that they flight crew ability to handle the flight and reduce the possible number of defect. Besides that, the effectiveness of Ryanair Holding customer services that deliberately reduce the services in some area such as free checked bag, meals, flight to major airport and raising the services in other area such as on-time departure and arrival and also fewer bag lost has attract more customer since they believe that the customer will endure discomfort and indignity as long as they get to their destination cheaply and with their suitcase on time. This valuable aspect will assure the competitive advantages of Ryanair in the long run since them able to attract customer with effectiveness and
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