Ryanair External Env. Analysis

This paper is to examine the key potential drivers within the present internal environment. Several models would be applied to support the answer and they are Stakeholder Power/Interest Matrix, Cultural Web, Resource audit, Value Chain, and threshold and core competences. With using Ryanair as an industrial example, this essay would talk about how important strengths and weaknesses are to be used in designing strategy.

Ryanair consists of a centralised functional organisational structure. Normally, employees positioned within a centralised functional

Competitive rivalry exists between companies with the same or similar products/services and similar markets. Factors to be considered include:

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

The aim of this report is to carry out a strategic analysis of Ryanair. This will involve investigating the organisation’s external environment, to identify opportunities and threats it might face, and its strategic capability, to isolate key strengths and any weaknesses that need dealing with. Finally, a SWOT analysis will be carried out to assess the extent to which Ryanair’s strategies are suitable to what is happening in its task environment.

To understand how a firm competes with different firms, one must have a sound idea of what resource similarity and market commonality are. The way a company can compete with other markets through the intangible and tangible factors can be broken down into four quadrants as a source of identifying the factors amongst the rivals. Market commonality is basically the amalgamation of different markets that a firm and its rivals are somehow linked to. The degree of similarity of their interaction in the markets then gives the idea of how fierce the competition really is. (Hitt et al., 2013 p 138) Resource similarity is stated as how much similarity there is between the firm's and its rival's resource in relation to how much of the resource is available and the time of resource there is present. (Hitt et al., 2013 p 138) It is also noted that the business who have same resources and abilities also go on to have similar strongpoints and weak points.

Ryanair, the leader of low-fare carriers in Europe, will expand its business throughout the world. This report discusses the strategies which Ryanair entre the Chinese market. Through PESTEL analysis and SWOT analysis to have sophisticated understandings of the Chinese market situation and the civil aviation environment, then after a series of considerations, eventually, Ryanair makes the decision to cooperate with China Southern Airlines in the form of a joint venture. Based on this, Ryanair has set up

In this report we will carry out both an Industrial and an Environmental analysis of Ryanair with the help of a number of academic analysis tools and frameworks which will help us to examine both the Micro and the

1. In-depth environmental analysis of the European Airline industry and discuss the implications for the budget sector and especially for Ryanair. 2. An integrated understanding of the functioning of a company – its human and technical operations, leadership, customer relationships and financial structure. 3. Implications of the internal functioning to create viable strategic positioning and discuss any changes to Ryanair’s approach to ensure an improved sustainability 4. Evaluate the strategic leadership style of Michael O’Leary

The purpose of this report is to comment at the first part how Ryanair achieve its competitive advantage through the RBV analysis (Barney,1991), the second part will assess its approach to the diversification through the Ansoff matrix , the third part will discuss the company’s organisational culture using the cultural web modeland last part its internationalization strategy.

According to the Profit & Loss accounts of Ryanair, the operating revenues are splitted into two categories: the scheduled revenues and the ancillary revenues. The scheduled revenues are generated through direct sales of flight tickets while the ancillary revenues1 are generated from other non-ticket sales. Figure 1 depicted the growth of the scheduled and the ancillary revenues from 2004 to 2011. While the scheduled revenues increases from € 924,5 mio to € 2.827,9 mio with an increasing return factor equals to 206%, the ancillary revenues increases from € 149,6 mio to € 801,6 mio with an increasing return factor equals to 436% during the period 2004 to 2011.

An analysis of the external environment includes the factors in a business’s external environment about a business's industry, competition, and political and social environments, and affects the firm’s strategy (Aaker, 2001).

The objective of this report is to appraise and evaluate the external environment, internal capabilities of Ryanair and assess the competitive environment. This project report also evaluates the marketing focus deployed by Ryanair in the year 2009 when the airline achieved a benchmark by being Europe’s largest carrier by passenger numbers and market capitalisation.

Organizations need to be aware of what is going on in their environments that might concern them, and more so, during the planning process. Diverse but overlapping environments ought to be monitored; the macro environment, the industrial environment, the competitive environment, and the organization’s internal environment (Ginter, 2013; Pfeiffer, 1986). At Rapha AL, my chosen organization, the environmental scanning will include distinct internal and external factors that would enable Rapha gain excellent understanding of the current and emerging issues that might affect it, and inspire the setting of clear and achievable goals. In this paper, I will analyze and address the strengths, weaknesses, opportunities and threats (SWOT); discuss current and prospective customers and evaluate the impact of environmental factors on the organization’s effectiveness to achieve the established goals within the strategic plan. Furthermore, I will address evolving external issues that could influence the strategic plan, evaluate the benefits of competitive analysis and Rapha’s capacity to achieve the strategic goals and objectives in a 3-year strategic plan.

Knowing who your competitors are, and what they are offering, can help you to make your products, services and marketing stand out. It will enable you to set your prices competitively and help you to respond to rival marketing campaigns with your own initiatives. You can use this knowledge to create marketing strategies that take advantage of your competitors ' weaknesses, and improve your own business performance. You can also assess any threats posed by both new entrants to your market and current competitors. This knowledge will help you to be realistic about how successful you can be.