Ryanair External Env. Analysis

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Contents

1.0 Introduction 1

2.0 Critical Issues Analysis 2

3.0 External Environment Analysis 2

3.1 Analysing the Macro Environment 2

3.1.1 PEST analysis 2

3.2 Industry Analysis 3

3.2.1 Five forces analysis 3

3.2.2 Porters Diamond Model 4

3.2.3 Strategic Group Analysis 4

3.2.4 Industry Life Cycle Analysis 5

3.2.5 Synthesis of External Factors (EFAS) 5

4.0 Internal Analysis 6

4.1 Value Chain Analysis 6

4.2 Internal Factors Analysis Summary (IFAS) 6

4.3 Ratio Analysis 7

5.0 External Environmental Evaluation 7

6.0 Internal Environmental Evaluation 8

6.1 Resources 9

6.2 Resources and Capabilities 9

6.3 SWOT Analysis 9

7.0 Conclusion 10

8.0
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Moreover as a task environment factors like customers, suppliers, competitors, stakeholder, new entrance, etc.

3.1 Analysing the Macro Environment

3.1.1 PEST analysis

PEST analysis is one of main strategic analysis tool which use to analysis organisational macro environmental factors. This analysis tool is use to examine the impact of main macro environmental forces. Those are

P- Political

E- Economic

S- Socio-cultural

T- Technological

Ryanair is company which operates in highly dynamic airline industry which always influenced by dramatic environmental changers. Therefore as a strategic tool, it is important to do a PEST analysis to analysis the macro environment of Ryanair. PEST analysis of Ryanair Company is mentioned under Appendix 4.

3.2 Industry Analysis

Next step of external environmental analysis is to analysis the business task environment. This task environment is also known as industry environment. Therefore to do a full external environmental analysis, Industry analysis is essential. For the purpose of analysing the industry environment we can use different types of analysing tools like five forces analysis, portor’s diamond model analysis, strategic grouping, strategic driver’s analysis, industry life cycle analysis, and external factor analysis.

3.2.1 Five forces analysis

Industry environment of an organisation is another area of

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