Ryan Air
Essay by people • August 22, 2011 • Case Study • 251 Words (2 Pages) • 1,263 Views
Strategy is an important factor to all organizations since it gives direction for the organizations on
which route they should take in order to success. Strategy can be seen as effective long-term plans
that guide organization to achieve their goals or
objectives and to remain competitive advantages in
the industry. Generally, strategy has been variously
defined by different authors as being driven by
either "inside out" - Resources Based View or
"outside in" - Positioning view, or so called Market
Based View. Ryanair's strategy which gave them
competitive advantages and competitive position
can be analyzed through these two different
perspectives of strategy.
In the business world, firms compete with other
firms, in this sense one business idea competes with the business ideas of competitors, some survive
and some do not. In the market for cheap flight airline, Ryanair have succeeded but others have not.
This is mainly because the "idea" of Ryanair which Chief Executive Michael O'Leary simply adapted
from the Southwest Airlines' business model to the European environment - the low-budget
airlineworks for them. Ryanair's model of low-budget airlinewhich passes its costs directly to its
customers in order to maximize profit had leaded them to the profitable route of success. It is the
integrated business strategies which combines resources-based view and positioning view that added
value to Ryanair and help them to achieve the significant result in the cheap-flight industry by
leveraging its competitive advantages and competitive position. Ryanair's core competencies are the
variety of destinations and routes they serve within the continental Europe, the rapid amount of flight
and sufficient capacity. Ryanair serve variety of destinations and routes which increase their market
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