Case Studies: Sas Airline & Ryanair

80169 WordsMay 11, 2008321 Pages
How did the deregulation of air transportation in Europe foster entrepreneurial behavior and innovation in the European airline industry over the last twenty years? Case studies: SAS Airline & Ryanair Master Thesis in Entrepreneurship and Dynamic Business Contexts Spring 2007 Supervisor: Håkan Bohman Entrepreneurship Master Program Authors:  Gilles Helterlin and Nuno Ramalho  Acknowledgements We would like to express our gratitude to all who have contributed to the realization of this Master Thesis. A warm thank to our supervisor, Håkan Bohman from USBE (Umeå School of Business), for his guidance, his precious help and his advises during the last months. To Mr. Lundvall, from LFV (Luftfartsverket), Mr. Valinger from…show more content…
Our study shows that EU deregulation altered the five competitive forces in European airline industry and in turn this fostered entrepreneurship and innovation, as a reaction of firms to adapt to the change in their context. The reaction of Ryanair and SAS through entrepreneurial and innovative behaviour was different due to the differences in their business model. We argue that the removal of barriers to new entrants and the increased rivalry between firms were the main forces that fostered entrepreneurship and innovation. We predict that if further EU deregulation comes (as it is the trend) this will generate more opportunities to entrepreneurship and innovation like it generated in the past. TABLE OF CONTENTS 1 INTRODUCTION ........................................................................................................................................................ 1 1.1 BACKGROUND OF THE STUDY.................................................................................................................................. 1 1.2 RESEARCH PROBLEM............................................................................................................................................... 3 1.3 RESEARCH OBJECTIVES ........................................................................................................................................... 4 1.4 DEMARCATIONS AND LIMITATIONS OF THE

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