Factors Affecting Virgin Atlantic

A PESTEL analysis is a tool used to analyse and monitor the external marketing and environmental factors that have an impact on a company. Results can be

PESTEL analysis is widely used to better understand the external environment of the company. The acronym PESTEL stands for political, economic, sociocultural, technological, environmental, and legal factors. PESTEL analysis helps managers better understand the threats and opportunities a company faces.

Macro environment is crucial to the development of a company. All the external factors can have huge positive or negative influences on Travis Perkins plc, therefore a better understanding of the environment of the company is of supreme significance (Peng & Nunes, 2007). Among all the analysis tools, PEST analysis is one of the most effective tools to analyze the external environment of a company (Riley, 2012). This part will demonstrate PESTLE analysis of Travis Perkins plc below. The result of PESTLE analysis can be demonstrated in the following table 1.

The PESTLE analysis is a tool which ‘allows a manager to identify the key macroeconomic factors that influence the future development of the business’ 50MINUTES. (2015, pp. 5).

The purpose of this report is to examine Virgin Blue’s external environment followed by its impacts to the organization as well as how management functions could help overcome the external environment for the organization to compete properly in the domestic airline market.

The airline business is an industry that is competitive and unique, focussing on consumer choice and the responsiveness of airlines to changes in the external business environment. For any airline, this environment can be very complex as it is ‘hard for them to fully understand and impossible for them to fully control’ (The Times, n.d. p1). Virgin Atlantic is an international airline that is based in the UK. It was started by the entrepreneur Richard Branson in 1982 and now flies to 30 destinations around the world (Virgin Atlantic Airways Ltd, 2011). By looking at

This paper discusses the external economic factors affecting the strategic decision of airline industry and how this decision in turn, affect the market forecast of the aircraft manufacturing industry. Various business issues affect airlines operation either directly and indirectly, and

Since the airline industry is a direct product of market conditions, it is greatly affected by all externalities. Many people noticed a decline in travel after the September 11th tragedy occurred due to safety concerns. When there is a huge increase in fares that definitely interferes with the demand for travel; it causes the price of tickets to continue to rise since a clear correlation between supply and demand exists. When the economy is doing well in terms of the employment rate, and when the dollar is strong people have the tendency to travel more (Jerram,1998).

S. There are several social and cultural factors influencing the airline industry: the globalization, mergers between airlines, weather, September 11, 2001, wars with other nations.

Macro environment comprises external forces that organisation cannot directly control, instead organisation need to manage their macro environment in a way that benefits them ("The Macro Environment & Pest Analysis", 2016). The PESTLE analysis is the most widely recognized approach for considering the external business environment (Gupta, 2013). PESTLE analysis stands for Political, Economic, Social, and Technological, Legal and environmental analysis and describe a framework of macro environmental factors utilized as a part of the environmental scanning component of strategic management. Generally, all the PESTLE factors might not important for all types of industry its depends up industry nature or size. This PESTLE analysis is based on Accor Hotels in Australia which is a famous and globally recognise hospitality brand.

Pratap (2017) The attractiveness of Virgin Atlantic is affected by a number of factors. Within the 21st century, the airline industry has been growing frequently and in demand. In spite of the speedy growing world economy, there are a number of forces that can affect the growth of Virgin Atlantic. Also, a number of forces determines the level of competition and competitiveness in the market that Virgin has to face.

PESTEL analysis is to identify and analyze the strategy and business environment, it is stand for Political, Economic, Social, Technological, Legal, and Environmental factors. This model is to assessing the current environment and potential changes. If

The political factor is the main role in the development of any company. Emirates play an active role in public international aviation policy analysis which has a key impact on the aviation industry. In addition emirates airline play a major role as well in in helping Dubai government achieving its objective of raise the city as a promote tourists destination. The political environment returns on how the government policies are made their regulation like, Current taxation policy, Future taxation policy the current and future political support, donation, exchequer, and

The PESTLE analysis can be used to assess the strategic relevance of the six principal components of the macro-environmental: political, economic, social, technological, environmental, and legal forces. It can be used as a tool by companies to better understand of the macro- environment they are operating in.

With this in mind, the PESTEL model was developed to give researchers and practitioners a framework in which to consider the broader business environment. PESTEL stands for Political, Economic, Social, Technological, Environmental and Legal. Furthermore, a PESTEL analysis is a technique that evaluates the potential impact of political, economic, social, technological, environmental, legal factors on an organization. This set of factors represents a broad set of industry and environmental considerations that any organization should make when designing strategic goals