Airline Case Study Example

Airline Case Study Example Airline Case Study â€" Case Study Example > Monopoly markets45Sales and Marketing47Provision of services in relation to sales and marketing47Capacity47Increasing the frequency of the already existing Routes48Ryanair Organizational Structure4849Personnel49Pilots at Ryanair55Ryanair Strategy58Sustainability/Financials63Aer Lingus Bid64Exit strategy64SWOT Analysis66Conclusion69List of References70 IntroductionRyanair was the first budget airline in Europe that was modeled after southwest carrier of the US. It is said that O’leary, Ryanair’s CEO, made a pilgrimage together with several other airline business executives to Dallas in the 1990’s to meet southwest’s founder Herb Kelleher. The Ryanair case is one of great interest as far as strategic management is concerned and it has a lot to do with the economic, organizational and human context of strategy. It is a case that best illustrates a strategy based on best allocation of resources assets and competencies, adding value to customers and delivery of considerable str ategic gain. The Ryanair case also shades light on the difficulties and obstacles that may come in the way of attaining and upholding such gain against a backdrop of the European airline industry. It is a case that brings together important elements in modern thinking on strategy and outlines issues of managing cost, prices and the expectations of customers. Ryanair’s story has been outstanding in Europe’s entrepreneurial sector for many years now. Besides, Ryanair has also developed an opinionated way of communication that makes use of advertising and media in making public its transformation of the air industry. Ryanair has grown to become one of the world’s most successful airlines even though it’s based in Europe alone. It is ranked Number 11 in the world in terms of profits and number 2 in terms of operation. CEO Michael O’leary holds a net worth of 636 million pounds, which is a good reward. Ryanair is considered a success because unlike other airlines, it managed to bring flying within the people’s reach. Ryanair was begun by Tony Ryan, a former executive of Aer Lingus who amassed his wealth through brokerage of aircrafts in 1985. It started with a one 15 seat aircraft plying between Waterford Dublin and London and a year later acquired a license to fly from Dublin to London though not without opposition at first from Aer Lingus which held monopoly of the route and which led to bitter competitive rivalry between the two airlines for many years. The years that followed were not without challenges from fierce competition from already established airlines in the form of price cuts that leaned on the savage side to the emergence of discount airlines other than itself, not to mention oil prices increases, the gulf war, September 11 aftermath and other socio-economic issues. Despite all these, the airline grew and by 2007, its network of routes covered most of Europe making it the largest international airline in terms of passengers. This case study will analyze Ryanair in its entirety in terms of the routes on which it operates, its aircraft schedules, its products and services, aircraft selection, flight operations and regulations its competitors, sales and marketing strategy and personnel. It will also include a SWOT and financial analysis and exit strategy. The paper will analyze Ryanair’s past present and future.