Nobody downloaded yet

The Ryan Air - Case Study Example

Comments (0) Cite this document
The airline operates basically in the European market but also serves the Middle East. The airline provides the lowest fares on all routes and matches…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER95.1% of users find it useful
The Ryan Air Case Study
Read TextPreview

Extract of sample "The Ryan Air"

Download file to see previous pages This was an organic growth model.
The airline makes money by reducing its costs at every point. This is the reason that despite a drop in yields of 14 percent, it still achieved margins of over 20 percent as they carried 47% more passengers. The airline has strong sales promotions and heavy discounting. The airline owns rather than leases aircrafts but has been considering leasing at least one-third of its fleet due to changes in the market conditions. It also makes money by oil hedging but since the oil prices were expected to decline in the year under study, Ryanair decided not to hedge in 2004. To cope with the falling ticket prices, the airline hope to generate revenue by providing ancillary services such as satellite television and internet services, arcade games on rented laptops and screening favorite movies on television. They also earn through advertising on their website.
However, despite the low fares, the airline’s load factor stared declining and its share price had declined substantially. This requires that Ryanair reconsider its strategy and take decisions based on facts and figures.
Ryanair has registered revenue growth in 2004 over 2003 but the net profit has declined by 14% during the same period (Appendix A). The airline has been consistently registering profits for 26 quarters but the profits have declined in 2004 which has been primarily due to escalating fuel costs. The number of aircrafts operated commensurate with traffic growth as is evident from Appendix B. The net profits have declined as also the earnings per share (Appendix C) which has given the airline an adverse reputation with investors. The balance sheet shows that the equity base has declined while its total liabilities have increased.
Economical – low impact because again being within Europe, which has a stable economy and stable consumers. Denomination is Euro is another positive factor contributing to economic stability. Outside of ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
(“The Ryan Air Case Study Example | Topics and Well Written Essays - 2500 words”, n.d.)
The Ryan Air Case Study Example | Topics and Well Written Essays - 2500 words. Retrieved from
(The Ryan Air Case Study Example | Topics and Well Written Essays - 2500 Words)
The Ryan Air Case Study Example | Topics and Well Written Essays - 2500 Words.
“The Ryan Air Case Study Example | Topics and Well Written Essays - 2500 Words”, n.d.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document



...? Case study: Ryanair- The low-fares airlines 23 March Table of contents Introduction 3 2. Evaluation of Ryanair’s strategy compared to competitors 4 2.1 Stakeholder approach 4 2.2 Low-cost business model 5 2.3 Key internal issues 6 2.4 Key external issues 9 3. Evaluation of O’Leary’s leadership 12 3.1 Transformational leadership 12 3.2 O’Leary and transformational leadership 12 4. Sustainability of Ryanair’s future strategy 13 5. Conclusion 14 6. Reference list 16 1. Introduction Ryanair faces a multitude of opportunities and dilemmas. On the one hand, in August 2006, an Air Transport World magazine reported that Ryanair was the most profitable airline in the world, based on its operation and net profit margins, and on a...
12 Pages(3000 words)Case Study

Business Strategy of Ryan Air

...CASE STUDY BUSINESS STRATEGY OF RYAN AIR INTRODUCTION: The objective of this study is to look at the current business strategy adopted by Ryan Air-- Europe's largest low-cost carrier and how it should further move towards its growth in future. In the following sections, we will take a brief look at the history and background of the airlines before moving on to its current and future business strategy. HISTORY AND BACKGROUND RyanAir is one of the most controversial airlines in the history of aviation industry. Founded in 1985 by Christy Ryan , it is now the Europe's largest and one of the most successful low-cost carrier. Ryanair flights operate on 460...
6 Pages(1500 words)Case Study

Air Solutions

...Quality and Logistics Case Study Objective: To consider the operations of a spares supply and service support department at Air Solutions. Introduction Air Solutions is proud to have today reached the league of the top three manufacturers of air conditioning units and compressors globally. From our modest beginnings, in 1994, we have today grown into a full fledged company manufacturing total air conditioning solutions. Air Solutions has the resources to offer each and every customer the very best technological advances in compressors and ancillary equipment technology backed with a service operation and after sales department designed to ensure total...
5 Pages(1250 words)Case Study

Business Strategy on Ryan Air Case

...Introduction - Company Overview Ryan air is Europe's leading budget airline started in year 1985 with only 57 staff members and with one 15 seater turboprop plane from the south of east of Ireland to London-Gatwick which carried 5000 passengers on one route (Harrison, 2002). In 1986, inspired from the story of David and Goliath the company go after the big guys for a slice of the action and end up smashing the Aer Lingus or British Airways high fare cartel on the Dublin-London route. The staff increased from mere 57 to 120 staff members and the plane carried for about 82,000 passengers on two routes. In 1989, the company employed 350 staff and their average maximum passengers increased to 600,000. In...
12 Pages(3000 words)Case Study

Ryn Air Industry

...Ryn ir Industry nlysis nd Strtegy for the Future Introduction Rynir ws founded in 1985 by the Ryn fmily to provide scheduled pssenger irline servicesbetween Irelnd nd the UK, s n lterntive to the then stte monopoly crrier, er Lingus. It strted out full service conventionl irline, with two clsses of seting nd lesing three different types of ircrft. However despite growth in the pssenger volumes finncil problems were of growing concern. In its fight to survive the irline went through drmtic restyle to become Europe's first low fres, no frills crrier, built on the model of Southwest irlines. The hert of Rynir's strtegy is bsed on providing no frills service with low fres designed to stimulte demnd, prticulrly from budget... ir Industry...
13 Pages(3250 words)Case Study

Gulf Air

...Gulf Air Gulf air is the company owned by the kingdom of Bahrain and is a national pride in Bahrain. Gulf air is one of the leading airline companiesof the world with its operations in major cities of the world. Gulf air flies to the busiest airports of the world like London, Paris, Dubai and Mumbai. Despite these destinations gulf air's aircrafts also fly to other destinations of the world as well. Golden Falcon represents the logo of the company which is shown as flying high on the company's aircrafts. Gulf air had a humble start more than half a century ago but it has since then blossomed into a very well established corporate entity...
10 Pages(2500 words)Case Study

Air Asia

... the external environment for his new low cost airline. He used his entrepreneurial skills to combine the strategies of competitors' and incorporate all the good things about it in Air Asia. The strategy included being a low cost airline and maintaining it, and using this low price to build a brand image amongst small business travelers. Furthermore, he did not misread the external environment because Air Asia was the first of low cost airlines in Asia. Fernandes had already noticed other European and American competitors like Ryan air and South West airlines, and had seen the impact they made in the already established aviation markets. Furthermore, starting a low cost airline in Asia had low risk attached to it, given the fact... Case...
4 Pages(1000 words)Case Study

Case Analysis on Ryan Air Ryanair. This new approach to business strategy can easily be blended with increased marketing budget initiatives, thus utilising the company's current pre-existing advertising and promotional channels to target the business traveller. Perhaps a marketing initiative which clearly indicates the costs associated with arriving at non-centrally-located destinations and incorporating a smaller fee schedule to offset costs which is substantial to boost necessary revenues without a corporate loss and to satisfy the business client. Aer Lingus, another competitive entity claiming similar low-cost flights, displaced Ryanair as the recipient of the Best Overall Value Award from the Air Transport Users' Council of Ireland...
11 Pages(2750 words)Case Study

Air Canada

...Air Canada Case Study Air Canada is the prime airline in Canada. It was founded in the year 1936 and it currently has 178 destinations globally. Montreal, Quebec is the airline’s corporate headquarters. Judging by its number of destinations, Air Canada comes up as the tenth largest passenger airline worldwide. Just in the year 2011 alone, it had a total of CA$10.2 billion from passenger revenue only. This case study tries to examine the effect of political influence on the air line and hence provide solutions or advices to the various conflicts. There are two perspectives to demonstrate the political influence. One of the ways shows that a section of politicians preferred to support the management in order to prevent to control... the...
1 Pages(250 words)Case Study

Vans: Skating on air

...VANS: SKATING ON AIR al Affiliation) Key Words: Vans, Doren, Schoenfeld Paul Van Doren commenced Vans in 1966 with his male sibling James and two partners. Steeped in the methods of footwear manufacturing, Van Doren set out to make the most durable and inexpensive casual deck footwear in the market. The outcome was a rubber-soled footwear that was strengthened with mud and was two times as broad as those made by the competition. The top canvas was double-stitched, and the whole footwear was washable. At charges extending from $2.49 to $4.99 a two, Vans footwear were, as asserted by one commerce observer, “built like a battleship.” Promoting the shops was firmly a grassroots activity, organised nearly solely by Van Doren...
1 Pages(250 words)Case Study
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Case Study on topic The Ryan Air Case Study for FREE!

Contact Us