This allows customers to book flights easier and increase Jet2s revenue. Figure 22: Balance scorecard (a) for . Segmentation, Targeting and Positioning (STP) Analysis Report. This resumption will be executed with biosecurity measures like improved aircraft cleansing, disinfection, and demanding travelers and crew to wear masks. Competition is stiffening in the airline sector. Explains that there are 5 golden rules that can be adopted for a best corporate governance practice which include ethics, align business goals, strategic management, organization & reporting. It is important to keep in mind that the situation is dynamic and that both stakeholders and their interests might change over time, in terms of level of relevance to the project and the need to actively The tools of stakeholder analysis mean that this is not a major problem for management. Opines that unions have an unfair advantage in lobbying politicians in all levels of government. Transfer of ownership from UK AOC to EU AOC due to uncertainties of Brexit, 1. Explains that the airline industry has benefited from living wage legislation because the wage increase encouraged a decreased turnover rate, and an increase in work efficiency. Use our interactive flight route map to find destinations easyJet fly to from your chosen airport. As an airline which has low fares, this company stands out as one which has got superior reputation and efficiency (Anderson 2011). Ferrell, OC, Hirt, GA & Linda, F 2006, Business:a changing world, 5th edn, McGraw Hill/Irwin, California. A business is found to be polluting a local river. Improving CSAT across the whole customer journey. This was based on the argument that if the airline prices were reduced on these short routes, then the demand for airline travel when it came to short airline routes would also increase (Cameron & Mike 2009). "EasyJet Company's Strategic Analysis and Marketing." the total discounted cost stream is 8.4 billion. they want an affordable price for the flight and in-flight products, as well as a safe, smooth journey. I am an IIBA Certified Business Analysis Professional (CBAP) with 20,000+ hours of certified BA experience accumulated during 20+ years of working as an IT Business Analyst, primarily in the airline/GDS industry, but I also have experience working for a TMC. By introducing the 'no-nonsense' theory to the European market, after its deregulation in 1992, easyJet did prove power by increasing . Then evaluate the other options which will bring to the fray better returns. 4 min. Lastly, changing market tastes affect the market trends. Furthermore, since it is considered as the leading low fare airline, the airline commands a great deal of influence in the short routes within Europe (Mayer 2007). In addition, they also offer faster turnarounds as there are fewer air movements. This report is shared in order to give you an idea of what the complete BCG Analysis Report will cover after purchase. They helped me with my custom research and delivered before time! We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals, at such affordable pricing. Moreover, the company is also involved in research projects dealing with green or electric-powered aircrafts for a better technical future of the airlines with significant reduction in fuel consumption, and thereby, leading the European aviation industry towards net-zero carbon future. professional specifically for you? Easy jets efficient ground operations enable it to achieve extra rotations on the high frequency routes, maximizing the utilization of aircraft. This is especially so since the threat among the regional airlines is higher as compared to the local routes. In essence, it gives a reflection of the confidence that the customers have in this company. Impact of Covid-19 on the economy and airline industry, 1. they have to be fair in hiring new employees based on their abilities rather than their gender. It can be understood that . Analyzes how qantas promotes tourism by broadcasting the same television and print advertisement to both international and domestic customers with iconic images of australia. In addition, the airline faces stiff competition from the flagship airlines which are more stable financially. IvyPanda. the risk free rate is typical given the current economy and market risk premium. easyJet will maintain its advantageous cost position through continued cost action. Currently, the company operates in over 27 European. There are several business strategies which this company has been employing in order to achieve its objectives. Additionally its total revenue per seat grew by 5.1&capacity measured in seat flown. 1. 2. Explains how the model was generated using per-passenger revenue information for simplicity and clarity. Also, the sustainable approach of the company in its day-to-day activities, which include offsetting carbon emissions, participating in development of green aircrafts, promoting modern fuel-efficient fleet family, helps the company to build a reputable brand image as well as acquire and retain customers. Helping the disruptive build impactful companies. EasyJet Company's Strategic Analysis and Marketing. Explains that hicks proposed that trade unions and employers try to find stability in terms of cost and benefits of a work industrial action when making concessions during bargaining. In 2001, a strategic analysis was carried out which brought forth the following findings; minimal impacts of the September 11, 2001 effects (Bartholomew 2009). Gives Your Project Basic Structure. must. These are set out below: easyJet has a strong network of leading number one and number two positions in primary airports, which has proven to be amongst the highest yielding in the market. Last month's quarterly trading update reported an 8% increase in unit revenues for the Oct-Dec quarter and forecast a significant narrowing of first half pre-tax losses from GBP112m to between GBP50m and GBP75m. Stakeholder groups will vary enormously according to the nature of the business. they would also want the company to do well profitably. Since the trading update, easyJet 's founder and largest shareholder, Sir Stelios Haji-Ioannou, has sold a small portion . 1. they aim to be considerate to their neighbour while delivering value to customers. Furthermore, a larger fleet will ensure that the airline has got an increase in seat capacity thus this will translate into increased revenue for the airline. This might sound patently obvious, but I often see too little time spent on this stage. To show where there may be areas of alignment or areas of opposition between stakeholders. Thomas Reynaert, Managing Director, Airlines for Europe (A4E) Thomas Reynaert, Managing Director, Airlines for Europe (A4E) "It's an unprecedented crisis that in many ways has shaken our industry to its core. individuals or groups with a vested interest in your product or project) and understanding their relationships with each other. Euromonitor (2018), "Transportation Sector Analysis ", Published in 2018. This is IvyPanda's free database of academic paper samples. In addition, a stakeholder analysis can help you: Gain more support and resources. Part of my role is managing . Furthermore, experts are predicting excellent growth opportunities for the low cost airline in the near future. Following Southwest Airlines model easyJet started trend "no frill" services which helped in keeping costs down.easyJet provided first come first service with equal service for all. Explains that management and labor unions have fundamentally conflicting interests. These monopolies denied other interested stakeholders from actively taking part in the industry. Explains jet2's home website, where bookings and timetables can be made, and the companys mission statement, background information and aims for the future. Explains that unions help protect employees from unjust dismissal through collective bargaining agreements (cba). 2. These should include practices and policies which are in line with the company mission. Copyright 2023. Explains that jet2 is a low-cost operator with close links to the main four travel agents, thomson holidays, thomas cook, first choice, and my travel. Increase project visibility, especially to executive stakeholders. Page 50 of 50 - About 500 Essays Good Essays. As of September 2019 EasyJet, operated over 1000 routes, has a fleet of more than 331 Airbus aircrafts, 96 million customers across 34 countries and 159 airports. As emphasized by Huang (2009, p), the application of a strategy map is beneficial to companies because it "describes the . Developing the range of ancillaries on offer such as the Inflight retail proposition. We use our cost advantage, operational efficiency and leading positions in primary airports to deliver low fares, seamlessly connecting Europe with the warmest welcome in the sky. 1515 Paper (A+ . Customized Solutions This model focuses on five forces that shape competition within an industry; these include; the risk of entry by potential competitors, the intensity off rivalry among established companies within an industry, the bargaining power of buyers, the bargaining power of the suppliers and the closeness of substitutes to an industrys products. A stakeholder map typically falls on a two-by-two grid. Introduction and History. Opines that airline of choice remains the top choice for international flights for premium customers as well as cargos, economy and shorter flights. The company was established in 1995. Other strategic innovations which have made this airline to stand out have included ticketless travel and lower fares (Jones 2005 ). But the numerator is affected by various factors such as profitability of sales, assets turnover, and financial leverages. The second aspect which is on the strategy of this company is sustainability. We will write a custom Essay on EasyJet Company's Strategic Analysis and Marketing specifically for you for only $11.00 $9.35/page. To make the connections and associations between stakeholders tangible by visualising them. It operates domestic and international scheduled services on 927 routes in more than 34 countries via its affiliate airlines EasyJet UK, EasyJet Switzerland, and EasyJet Europe. We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals, at such affordable pricing. September 26, 2020. https://ivypanda.com/essays/easyjet-companys-strategic-analysis-and-marketing/. Explains that venter et. About stakeholder mapping in Smaply and a step by step introduction. This companys airplanes fly to the less crowded airports of smaller European cities and prefer the secondary airports in the major cities. Bader, M 2015, Quantitative and qualitative analysis of Easyjet's annual report 2013, GRIN Verlag, Munich. It will be viewed as a viable enterprise that addresses acute environmental issues and reflects on its values. Although this company undertook her first flight in 1995 and operated on two routes, ten years later the company has been able to operate on 212 routes across Europe. One of the responsible actions that EasyJet has undertaken includes signing an agreement with the European airframer Airbus, to cooperate in a joint research project on the feasibility of the hybrid and electric-powered aircrafts. The power of suppliers is another aspect which is brought to the fore by the porters five forces. Owing to all these factors, in 2019, the company has seen a 2% increase in the number of returning customers as compared to 2018. Thus, it is the responsibility of this company to work on establishing the right strategies which will work to ensure that EasyJet remains to be considered as an airline of choice in Europe when it comes to short routes (Eichenberger 1996; Ferrell, Hirt & Linda 2006). 26 September. Unions were once seen as an organizer of labor rights but they play a key role in management as well. Opines that owners would want a successful charity that receives donations to help them be successful. All rights reserved. easyJet is building a network of key cities, broadening their presence across Europe. Use these steps along with the stakeholder maps and templates to manage your stakeholders effectively and turn them into project champions! Run projects smoothly with stakeholder mapping. easyJet is delivering its strategy through four strategic priorities, which define the areas of focus to achieve their ambition. You can export it in multiple formats like JPEG, PNG and SVG and easily add it to Word documents, Powerpoint (PPT) presentations, Excel or any other documents. Explains jet2's emphasis on low costs, safety and reliability to ensure a satisfied customer base and increase its potential revenue. The mission statement of the company is supported by a strong focus on these three objectives and encourages stakeholders to have future-oriented visions (Bessant & Tidd 2011). Changing priorities for consumers to drive ancillary revenues, 1. Furthermore, I am a Certified Scrum Product Owner (CSPO). Despite an increase in operating costs in 2010 Easyjet has achieved a remarkable performance compare to 2009. 1. Through the Stakeholder Analysis will be identified those groups and individuals that will ultimately affect or will be affected by the process and outputs of the project Inter Ventures. they understand the importance of workers doing their duties in conducive conditions, but they champion for the rights of employees against management unjust exploitation. An almost-universal characteristic of air travel is that customers do not fly for the sake of flying; the destination is the important element and the travel is a by-product, a means-to-an-end that involves the necessity of an aircraft that gets the customer from point A to point B. Appreciate and Manage Uncertainties and Reservations 2008 2007 Change. Stakeholders are individuals, teams, agencies, and partner organisations. von | Jun 17, 2022 | tornadoes of 1965 | | Jun 17, 2022 | tornadoes of 1965 | Competition: Regulation permitted the entrance of start-up carriers, which, when combined with the excess capacity and the potential for high returns, has led to increased competition. This has in turn led to an increase in the customer base and subsequently many passengers have resorted to this airline. Analyse the relevant stakeholders with the power/interest matrix. Research on Hybrid and Electric Green aircraft propulsion technologies: In the pursuit of diminishing the impact of environmental footprints, reducing carbon emissions and energy consumption, the corporations are shifting towards abiding with the green scenario. EasyJet is a public limited company which is located in the United Kingdom. It is believed that over 97% of Jet2s customers book online, which further highlights Jet2s emphasis on online bookings. the increased passenger traffic is a result of lower fares and fair macroeconomic conditions. In this case, there is no cut throat competition among the supplier of these airplanes. Burrow, J, Kenneth, E & Brad, K 2007 , Business Principles and Management, 12th edn, Cengage Learning, California. Aggressive competition at Berlin airport and Tegel ramp-up, 1. 1. Additionally its total revenue per seat grew by 5.1&capacity measured in seat flown. These include new competitors who are looming within the market. Celebrating 15 Years in Business Flexibility can comprise four aspects. Modern aircraft fleet with unparalleled network: EasyJet has established itself as one of the most prominent players in the industry with its exceptional services. Strong operational efficiency leading to a low-cost model: To remain unmatched as a low-cost service provider, EasyJet has continuously invested in its networks core strengths, building a higher operational resilience along with providing the best customer experience. For example: 2 Value Stream Mapping Purpose Provide optimum value to the customer through a complete value creation process with minimum waste in: - Design (concept to customer) - Build (order to delivery) - Sustain (in-use through life cycle to service) 3 Why easyJet is confident that through its strategy it will deliver sustainable growth and returns for shareholders. Based on the performance indicators outlined in Easy Jet's yearly report, the Kaplan and Norton method is chosen to classify airline's strategies. to determine the economic value of ryanair, these issues must be assessed with an appropriate time frame. 3. However, with the gradual privatization and deregulation of the airline industry, there was a marked increase in the stakeholders in this industry (Barnes 2008). Explains the impact of monetary, fiscal, and federal aviation policies on the airline industry. Clearly understanding your project stakeholders can help you gain buy-in and execute your project more effectively. Within an enterprise, stakeholders may also include managers and staff. Creating a stakeholder map: step 1. It is worth mentioning that due to this increase in demand of air travel, major airlines opted to reinvent the wheel. We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals, at such affordable pricing. Bessant, J & Tidd, J 2011, Innovation and entrepreneurship, 2nd edn, Wiley, Hoboken. Operating in net-zero carbon flights across network, EasyJet Plc Porter's Five Forces Analysis, EasyJet Plc Segmentation, Targeting and Positioning (STP) Analysis. All rights reserved. Conclusion 17 7 . Your privacy is extremely important to us. Revenue is increased through not having to deliver or post tickets out to its customers, in comparison with other non-internet based airlines. . Ted's Bio; Fact Sheet; Hoja Informativa Del Ted Fund; Ted Fund Board 2021-22; 2021 Ted Fund Donors; Ted Fund Donors Over the Years. union members also benefit from collective power to go on strike. SWOT & PESTLE.com (2023). This report is shared in order to give you an idea of what the complete Key Performance Indicators (KPI's) Report will cover after purchase. employers or management may lose a large sum of profit because of the inoperative production. The other theme of future airline scheduling is planning for the robustness and the operational flexibility of the airline (Ballesteros 2007; Eichenberger 1996). Due to the increased use of the internet, it is becoming more and more easier to book online. As the holidays business grows in scale, easyJet plans to make targeted investments to strengthen the business. Draw the stakeholder map with two axes: The X axis represents the spectrum of dispositions toward your change project; from Against at one extreme - to For at the other. Zoom out. 2020/21 Voluntary National Review (VNR) countries and another for all stakeholders.1 The report offers analysis, reflection, and recommendations across a range of themes, clustered around these key findings: (1) Partnerships with stakeholders are vital to SDG implementation in the context of the COVID-19 pandemic; stakeholders are making important and diverse . Opines that labor unions have advantages and disadvantages that should be taken into consideration by the government and voters alike. These aspects include the ability to change the volume of production, the ability to change the time taken to produce, the ability to change the mix of different products or services produced and lastly the ability to innovate and introduce new products and services. Opines that governments want easyjet to keep within their legal rights as a business and for them to pay taxes. The company has undertaken several carbon-offset programs for lowering the presence of carbon and its equivalents in the atmosphere. Ahlstrom, D & Garry, DB 2009, International Management:Strategy and Culture in the Emerging World, Cengage Learning, California. Explains that nonunion employees are typically hired "at will," meaning they can be fired for no reason. That is in the event that the political and legal environment does not sustain the plans. Secondly, the airline has a good market share in Europe. They have the interests in the activities of an organization and can be divided into internal and external stakeholders.In addition there are different levels of stakeholders: primary and secondary.The level of stakeholders depends on the political economic and social environment. The way in which the organization secures, deploys and utilizes its resources will determine the extent to which it can successfully pursue specific performance objectives. This airline focuses on low cost, financial strengths and on high efficiency. Furthermore, it is important to note the fact that the management team should work out a plan to ensure that the cost estimates are within the range of the company operations. Which two stakeholders will this cause conflict between? These preferences have lowered the landing charges (Jones 2005 ). Development and justification of an Easy Jet strategy map. A train company or media company may list its industry regulator as a primary stakeholder. Learn More. This report is shared in order to give you an idea of what the complete Porter's Five Forces Analysis Report will cover after purchase. Barnes, D 2008, Operations Management: An International Perspective, illustrated edn, Cengage Learning EMEA, California. Annual European Flight Growth Drops To Lowest Rate Since 2013 - https://simpleflying.com/annual-european-flight-growth-drops-to-lowest-rate-since-2013/ 4. Explains that ryanair's future costs are determined by multiplying the total projected passenger traffic by the cost per passenger. Opines that customers want cheap flights that are comfortable and safe. The project will be based on the various packages essential for making the next-generation, sustainable aircrafts suitable for usage in commercial sector by identifying and solving the technical glitches or challenges and requirements of the green aircrafts. The Annual General Meeting will be held on Wednesday, 23 December 2020. Opines that local and national communities would prefer businesses that were noisy or caused a lot of pollution. Opines that trade unions would want the charity to treat their volunteers with the same amount of respect as theyd treat them as permanent employees. Strategy Development and Communication Using organization vision and strategy, senior management must substantiate communication for transformation and the need for change. Currently, the firm is making intensive investments in a fuel-efficient and environment friendly new-gen aircraft that would lower its operating costs as well as carbon emissions. The focused network strategy can be summarised as follows: easyJet recognises that the continued evolution of our product portfolio represents a significant opportunity to build on spend per customer, delivering enhanced sustainable returns. In order to manage stakeholders effectively it is important to understand the needs and interests of each, including: * Their goals * Past reactions * Expected behavior * The likely impact the project . The first challenge, when seeking to manage your stakeholders better, is to identify them. This is done before a project is started. There are unions in almost every conventional business. (732)548-0013/0015. Explains that the valuation model assumes an increase in passengers, which increases the load factor to almost 90%, creating a higher future revenue stream, resulting in higher margins when compared with the other valuations. Stelios Haji-Ioannou (Greek) founded the company in 1995. Figure 9: EasyJet positioning on strategy map Source: Own creation & Appendix 1-4 We can see that perception of consumers matches the way Easyjet perceives a business and leisure offering average quality at a low price, as compared to its various competitors who provide high quality at a high price. Retrieved 22 February 2015. Investing in new generation fleet to replace older types drives economic value, lowering fuel and maintenance costs. I have a background as a Developer and Technical Architect. Powerful Essays. Explains that the airline industry is influenced by the elasticity of demand, externalities, wage inequality, monetary policies, and fiscal policies. You can use them for inspiration, an insight into a particular topic, a handy source of reference, or even just as a template of a certain type of paper. (2011) uses the bar calculation to determine the cost of agreeing to the offer of the other side over the costs of disagreeing with offer. Key stakeholders of British Airways include customers, employees, those who have invested in BA by buying shares of the business as well as corporate organizations. Stakeholder mapping is a way of organizing all of the people who have an interest in your product, project, or idea in a single visual space. Easyjet PLC is a United Kingdom-based holding company engaged in providing flights and package holidays, principally in Europe. easyjet stakeholder mappingchicago religious demographics. A stakeholder is anyone who has a claim in some way to a company's products operations markets industry and outcomes (Ferrell Fraedrich Ferrell 31). Strong operational efficiency leading to a low-cost model. We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals, at such affordable pricing. Stakeholder mapping is part of the stakeholder analysis process. In this case, the fares are one way and a price is quoted for all the seats on the same flight. False. Note: the Y axis intercepts at the mid-point of the X axis. The database is updated daily, so anyone can easily find a relevant essay example. for only $11.00 $9.35/page. It . 1. Better Essays. the european union's open skies agreement allowed competitors to serve routes that were considered property of certain airlines. How to create a stakeholder map in 3 steps. For example, you might mark up each stakeholder as being low impact, medium impact, or high impact. Sort By: Satisfactory Essays. dues help the union pay for officials' salaries and conducting union business, but members complain about the amount they pay, how the money is spent, and how it is allocated between the national and local union. In addition, this company operates on 100 airports all over Europe and carried 51.9 million passengers in 2008. Explains that the valuation assumes a 20% increase in passenger traffic annually and 5% decrease in cost per passenger. These options should include various aspects such as the introduction of other services and products as well as seeking partnerships which would buoy the airline in times of crisis. For instance there may be similarities between business class travellers on a particular flight, but they will not all be travelling for the same reason. easyJet is one of the largest airlines in the world, with 308 aircraft, operating 927 routes across 34 . Deliver strong on-time performance, which is consistent with the focus on slot constrained, congested airports.

Jamie Hinchliffe Daughter, Articles E