Strategy Easyjet

887 Words4 Pages
2.1 Strategy EasyJet has adopted its business model from Southwest Airlines from the United states. It is adapted to the European market trough further cost-cutting measures. Important points in this business model are high aircraft utilization, short times on airport, charging for not needed extras and put much efforts in keeping the operating costs low. The key words in the strategy of Easy jet are “low price and no frill” based on Porter’s generic strategies (2.1.1) (appendix XX). This states for: • Simple price, simple service • Unified aircraft and cheaper airports • Maximize utilization and internet • Strong branding and charm of entrepreneurship • Economy of scale and dense networks Low price and no frill business…show more content…
“No frills strategy” combines a low price with a lower perceived product and/or service and focus on the price-sensitive market segment. For EasyJet this means that in order to reduce the price, the consumer receives less services like a drink and meal on the aircraft during flight. Long term strategy The most recent long term strategy of EasyJet is given in the annual report and accounts of 2011. Five points are mentioned in this report: • Safety • Focus on costumer • Operational excellence • Commitment of employees • Financial discipline Ad 1 Safety and sustainability EasyJet claims to never compromise their commitment to safety. Safety is the company’s first priority and they will continually strive to improve their sustainability. Internal procedures and processes help to maintain no significant incidents occur. At the same time the airliner increases his on-time performance. The relative young fleet of EasyJet with mostly the Airbus 319 is a way they take for confidential safety issue. Safety and in a way efficiency helps to reduce the cost. This is seen as an important part of the strategy of EasyJet. Ad2 Focus on costumer This long-term strategy is based on the strive to satisfy the consumer so they will recommend EasyJet to other possible consumers. This is also achieved by focusing on the network development by improving their routes, slots and bases to build their presence across Europe (Figur xx). Figur XX Graphs showing the
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