Case Analysis Ryanair

Danville Airlines has created an ethical and legal dilemma by not being accurate, precise and clear on how they are doing medical testing, causing undue stress and potentially career-ending circumstances for David Reiger, one of their best pilots. What Danville did was illegal and unethical due to negligence. David Reiger has every right to sue them to continue flying, and the medical evidence suggests that the Huntington's disease gene can be dormant for decades before being active and changing a person's nervous system (Darden, 2004). The company has violated the 1974 Privacy Act, the Heath Insurance Portability and Accountability Act of 1996, and the 1990 Americans With Disabilities Act. As is best practice with the nascent, emerging field of genetic testing, Danville did not warn Reiger of the testing taking place, did not get his permission, and didn't even have a process in place for dealing with pilots, whom the traveling public relies on for safe transport, when they are tested positive for these types of diseases (Murry, Wimbush, Dalton, 2001). Clearly Reiger would win any lawsuit, the collateral damage to Danville being the lack of oversight and gross negligence in managing health screening.

Ryanair sometimes get in trouble with bodies such as the Advertising Standard Authority (ASA) in the UK over differences between advertised and actual price - in fairness to Ryanair these are rare mistakes.

As can be understood from the analysis given below, if British Airways can cut it’s staffing by 25%* and increase it’s utilization to 90% from 60%, it shall be able to reduce the prices significantly to I£104, still I£6 more than Ryanair. As British Airways is a renowned market leader, people would be inclined to travel by British Airways by paying the I£6 extra than by a relatively unknown carrier Ryanair. Also, such a reduction in tariff on all of BA’s routes might not be necessary. It can very well position separate flights/routes for this rate so as to offset any reduction in utilization through profits in other routes.

The strategic plan of Ryanair has been to establish itself as Europe’s leading low-fares airline.” Ryanair aims to offer low fares that generate increased passenger traffic while maintaining a continuous focus on cost-containment and operating efficiencies.” (www.ryanair.com)

Since Ryanair is looming their highest return-on-capital route, it was expected that, not to lose the passengers volumes, both airlines will start to offer lower fares and greater frequency of flights. It is not likely that BA and AL will try to match the exact prices of Ryanair because they have other factors that would influence their customer base to remain loyal. Also, the majority of their costs are fixed, making it difficult for them to quickly reduce their operating expenses without significant financial losses. Not only will BA and AL have to figure out ways to lower their costs, they will also need to reassess the limitations they have on their tickets. Ryanair is offering tickets without any restrictions, so even if BA and AL came close to their price, the customer may still choose Ryanair if the others do not make policy changes. They offer a variety of classes of service, from first to economy, while Ryanair has less complicated offer - one class on one type of plane. BA and AL were assuming that the deregulation of the airline industry, particularly in the United Kingdom, will allow them to expand their routes and cover more of their significant overhead. Some expected

The economic segment includes factors such as interest rates, inflation, trade factors, personal, and business savings. These factors affect the income received by individuals, business, and the company in question in this discussion.

Ryanair, originally an Irish low-cost airline and established by the Ryan family in the year of 1984 starting off with only 25 members of staff. Replicating the American Southwest airline business model and then officially relaunched in the year 1990. It has vastly grown from being a single-aircraft family operation into one of the world’s top leading airlines. Now Ryanair has reached 11,458 employees. The airline carries over 131 million passengers per annum on over 2,000 flights daily, from 86 different routes, flying to more than 205 destinations in 33 countries.

In this individual assignment, reading material including the different ways companies innovate, re-energize a mature organization, and change corporate culture provide the basis for analyzing British Airways’ (BA) transformation and the difficulties encountered in making an organizational change. Identification of critical factors leading to British Airways successful transformation as well as steps, sequence, and risks taken to transform the organization and personal assessment is provided for this case study.

Prior to 1991, Ryanair had suffered from continuous losses from 1985 to 1989. The first reason that put it into this situation was that it tried to position itself as a low fare airline with the first rate services. It tried to keep low and unrestricted fare, while keep focusing on the best customer service and relationship. This mixed model was proven inefficiency. The low price could lure number of

Ryanair, Europe's first and largest low fares' airline started in 1985 and was set up the Ryan family with a share capital of just £1, and a staff of 25. Over the past few years the company has shown tremendous growth and now operates more than 1400 flights every day from 44 bases and around 1100 low fare routes across 27 countries which connect 160 destinations. The company now has approximately 73.5 million passengers in the current fiscal year.

British Airways is the one of the largest airline companies, and the passengers carry overall in the fifth largest in the world. Most of plans are stay in Heathrow Airport which is the highest of main international airport. The British Airways has a long history and airlines cover 133 countries; include 373 airplanes. The BA Company includes 50,086 workers to be in the service, which is one of the largest employers and employees in the United Kingdom.

The recent event that has occurred such as September 11 2001 on united state of American attack and July 7 2005 terrorist attack in London. As an European airline and following an effective promotional strategy Ryanair sales grew irrespective of this danger. Nevertheless the unstable political global situation is a major factor of insecurity in the airline business. Ryanair, still being a main carrier between UK and Ireland and heavily using London stansted is especially affected by the fact that more terror attacks are predicted for Great Britain (Der Spiegel, 2004) another problem facing the airline industry and that matter has politically influence on Ryanair is the uncertain nature of oil price. Since the political atmosphere of the major oil producing countries are political unstable the future of oil pricing will a major problem for the airline industry which Ryanair is also part. Also because Ryanair operate within the European Union government regulations are important in the airline industry for matter Ryanair is not an exceptional to these regulations. The deregulation not helped Ryanair but also increased competition and traffic. This has lead to increased regulation by the European Union government in terms of safety and environment( Hoffmann 2004).Ryanair is facing an inquiry by the European consumer protection authorises. Eva Lichtenberger, an Austrian MEP, has

Ryanair is Europe’s largest low-fares, no-frills short-haul carrier. The organisation was founded in 1985 as a conventional airline but re-launched itself in 1990/1991 as a low-cost carrier, replicating American Southwest Airlines’ business model. Since then Ryanair has grown

Air France was founded in seventh of October of 1933 and first airline carrier in France. Its major hubs are in Charles de Gaulle and Orly airports. They have about 69,553 employees and they travel to about 204 destinations. This company has well-known for its recognition and having a loyal base of passengers. However, the French management mentality is distinct from the Dutch. The French corporate culture is more relaxed but still remains hierarchal. According to the article, Harvard Business Review: The Making of a French Manager, it states that the French has a long tradition of centralization, of hierarchical rigidity, and individual respect for authority. Top executives strongly believe that they have the highest position to their intelligence and craftsmanship. According to the article, Doing Business in France: 8 Cultural Cues That Make (or Break) a Deal, states that France puts a premium on individuality, which allows for both freedom of opinion and very separate social and personal lives. This concept of the French is very accurate when it comes to their culture. With this statement made by this article describes the French being accurately described as a “peach” culture. According to the article, Peach vs. Coconut

We will see how Ryanair was successful as world’s one of the most favoured low-fare airline and how did it apply each of this mix by putting in the