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Arab Academy for Science Technology

& Maritime Transport (AASTMT)

The College of Management and Technology

MBA / 2022

Contemporary Management

Dr. REHAM ADEL

Ryanair case study


BY : YASSER KHAED

R.N :21227128
Ryanair case study

- Introduction
At the beginning of any organization, it conducts many studies about the market,
competitors on the external environment, and the layers of the environment that it deals with,
that affects it, is affected by it, and affects it directly and indirectly. Ryanair has done this and
studied and analyzed the current situation and built internal components capable of facing
external challenges, making inventions, and structuring the internal situation so that it had the
ability. Sustainability has made progress and the work of an agile organization characterized by
the ability to learn, flexibility and face any internal or external shocks in a very flexible way that
makes it able to take the right decision based on previous studies, which stems from the fact that
management is proactive so that it does not affect the organizational structure nor It affects the
company's position in the market and does not take away from its market share .

- Ryanair Brief history


Considering that Ryanair began its activity in 1985 with only 25 employees and a
single aircraft and nowadays it is the largest European low-cost operator, accounting for 741
destinations and a team of more than 5000 employees, we are interested in identifying the
methods and the strategies implemented by the company, which have facilitated its success, and
in examining the factors that have brought him notoriety among consumers. The information
obtained through the interview we have conducted on Ryanair reveals the fact that, when it
entered the market, the company used a focused cost leadership strategy. Thus, with the help of
its tariffs and aggressive cutting costs policy, it declared itself a low-cost operator, initially
focused only on the consumers from Ireland and Great Britain markets. During time, by
expanding its operations to the continental Europe, the company abandoned the focus strategy,
trying to become a leader of the low tariffs.

- External environment & found an opportunity


When starting a new project as Startup, the project draws its strength from the external to
the internal by studying the opportunities that exist in the current situation and from studying all
the external layers of the environment and using PESTEL tool for the outer layer, which resulted
in many chances and opportunities that the organization can build on and compete continuously
to ensure continuity. It is necessary to collect real data and time information related to this field,
which is of a high degree of confidence, which helps to remove the blurry and vague image and
make the environment clearer.
1-Political/Legal
-Change in governmental policies of the visited countries, also in Europe
-Other countries’ governments also turning to encourage and improve their local airlines
services.
-Governments looking to increase tourism might welcome Ryanair and therefore act in their
favor.

2-Economic
-Energy and fuel costs.
- working with hyper markets with complex and different economy levels.
all above factors have economical effect on airline industry which increase level of uncertainty.
3- Social
-The habits and culture of some people to travel outside their country to spend their vacations,
encourages tourism and increases the rate of travel trips.
- flexibility for business trips because less cost to a company means they can travel more
frequently.

3- Technological
Airlines were increasingly turning to data analytics to improve their service offerings.
Internal environment: -
- O’Leary saw huge potential in a website that would not only sell seats but also serve as a single
source for customers’ travel needs, including travel insurance, hotels, and car hire. Within three
months, the website was taking over 50,000 bookings a week and subsequently became one of
the most searched websites on the Internet.

3- Environmental
-Using more environmentally- friendly aircraft.
-Aviation represents 2.6 per cent of carbon emission in the EU and airline industry should pay
environmental taxes for the contribution they make to global warming.
-Deploying more efficient aircraft that use less fuel and produce less pollution

.- SPECIFIC layer
The economic situation of the country is not that good to affect in a good way at the income. It
also found that the government sets laws that do not prevent and give it the possibility to reduce
the price of tickets and in light of the free economy system, the money market and the capitalist
system that places priority on the market in controlling its laws as the market corrects itself by
itself and is heading in Where the direction of consumer interest and always tends to balance to
the optimal state. Also, when I studied the SPECIFIC layer the of passengers is not satisfactory
and is not commensurate with the value of ticket prices, we find that consumers suffer from a lack
of caring, a lack of consideration for all levels of passengers and a lack of segmentation of the
market. This is a very good opportunity for any startup company. There are also major companies
in this category that compete to raise prices only and provide luxury services and luggage service
the traveler may be need. It is not important to him every time he travels, that companies focus on
the look, decor and ample space in the chairs and not focus on the people themselves. As for the
other factors that go into this layer and that directly affect the organization from the internal, we
find that companies that provide services like Ryanair use the country’s airports to transport
passengers. Airports are one of the most important factors that support this type of business and
are a mainstay for any airline. Upon searching, it was found that companies used large airports
with a high operating cost which always raises the price of the ticket and is ultimately paid by the
consumer, the traveler is usually not at all concerned with the quality of the airport as with the time
and cost factor. So there is another opportunity to use small airports whose operating cost can be
less expensive, and therefore the traveler cannot afford anything extra, besides the diversity of
destinations and the operation of airports that rarely receive many aircraft, and this gives great
confidence in a company that takes advantage of this gap that It was found by companies that are
not interested in studying the market and developing the market shape that suits the changing era
very dramatically
- Analysis of the current External situation
- Find the competitive advantage:
At the start of a new profitable company providing services to consumers, it must study the market,
external factors, the surrounding environment and influences on the establishment of the company
and seize the opportunity that gives the company an outlet to enter the competitive market which
puts the idea of the company at the center of the interest of the passengers and consumers.
Therefore, before the idea was launched, it should have had a strong competitive position among
competitors, if the situation was analyzed, the company would have used Porter's Five Force tool,
which consists of:

1.Intensity of rivalry
This force examines how intense the competition is in the marketplace. It considers the number
of existing competitors and what each one can do. And here it focused in low cost price to take
apart of market
2. The bargaining power of suppliers
This force analyzes how much power a business's supplier has and how much control it has over
the potential to raise its prices, and here that’s considered about the airports and the airplanes
companies that try to use cheap price policy
3. The bargaining power of customers
This force examines the power of the consumer, and their effect on pricing and quality. Consumers
have power when they are fewer in number but there are plentiful sellers and it's easy for
consumers to switch. It took advantage of the consumers' need for cheap tickets and did so by
putting this idea in an easy-to-think framework and taking customers from the old companies
4. The threat of new entrants
This force considers how easy or difficult it is for competitors to join the marketplace. The easier
it is for a new competitor to gain entry; Hence, Ryanair tried to clearly enter the market and take
advantage of the lack of a provider for this service, which is the cheap ticket service.
5. The threat of substitute services
This force studies how easy it is for consumers to switch from a business’s product or service to
that of a competitor. Here, the company replaced the alternative that had to be available in the
market that needed an urgent need

- Ryanair internal Environment:


From the analyzes carried out at all levels of the external environment, we have found that
there is a competitive advantage on which to build the company, starting with 25 highly qualified
employee who are qualified to carry out the mission of the company, namely: to provide ticket
service at a low price and to adjust the supply and demand curve of the market. By focusing on
the processes within the company mainly and largely, and requires the manager to be democratic
and equal between people and the process so that it is an integrated system that does not contain
any gaps and achieves from it all purposes. It competes strongly with companies that have
existed for decades and even takes a large share of them from this situation, we find that there is
a great external opportunity. Therefore, Ryanair, as an organization, must manufacture an
internal capability capable of creating an internal strength point capable of absorbing this
external opportunity and taking it in full. Building this capacity requires a full awareness of the
management, the work of a valid environment, and the creation of internal channels of
communication that are clear and transparent. In a very large way, there must be great
confidence in the internal environment, and the internal information should be certain and not
blurry, as there is a cornerstone on which the organization is built, and the internal environment
depends on factors including:

People

There must be a high degree of training and awareness and open channels of communication,
and there must be expanded responsibilities for each member so that he has the permission to
meet the news, transmit it, analyze it and make suggestions for management and rapid
amendment
process
It is necessary to focus on the management processes and the available resources and to reduce
expenditures as much as possible, and this is the fundamental difference between them and other
companies, and the focus on tangible property is the core of this regulator, which allows it to
have a great ability to be present in the market

- Competitive advantage
1- When focusing on the situation that Ryanair started with, it is a competitive situation
from the first day based on cost and focus on the efficiency, which reduces expenditures
on inputs, which in turn needs a very large control so that productivity and quality are at
their highest levels, and this needs to support internal structure And scan the survey and
the environment and get access to the information that is linked to prices and is in a very
close time frame to take the decision on time and not to delay and with the use of this
information as previously in the analysis of the external environment, we have a great
opportunity. Which provides the positioning required for the company in the market. To
ensure the continuity of the situation, it is necessary to make sure of the internal situation
that it is clear, confirmed and reliable, and after making an internal scan using the RBV
tool, as following:

Tangible
pre-production inputs, resources, materials, machines, equipment’s, assets, financial.
all instruments used in aircrafts and aircrafts itself. As the company has established its
headquarters and worked on paying attention to the aircraft and reducing the cost in order to
target the required category in the society, and from here it is necessary to consider the
internal factors to meet the opportunity and create an internal capacity. Therefore, it was
necessary to focus on the tangible elements to reduce their expenses and make the chairs less
decorative and reduce the load From bags and form, you can be competitive
2- Intangible
- is the human factor, people who are working in offices, relations with community and same
industry partners, developing ideas to achieve growth and profit.
- People are main company assets in airline industry, With regard to intangible things, the
most important of which are communication channels and sources of information, they must
be clear and expanded, and the administrative hierarchy must be inverted, and the
communication between the client and management directly, and there should be a diligence
for employees, and most importantly, there should be motivation so that the company makes
an important part of their lives, and that the consumer or customer has priority. And to have
an audible and influential echo of the regulator as a whole

So as scanned internal and found the resources now to can ensure the sustainability of the
competitive advantage as follows the VRIO concept in the following

 Valuable
When a resource is valuable, it's providing the organization with some sort of benefit.
However, a resource that is valuable and doesn't fit into any of the other dimensions of the
framework, is not a competitive advantage. An organization can only achieve competitive
parity with a resource that is valuable and neither rare nor hard to imitate.
Rare
A resource that is uncommon and not possessed by most organizations is rare. When a
resource is both valuable and rare, you have a resource that gives you a competitive
advantage. The competitive advantage achieved from a resource that is both valuable and
rare is usually short lived though. Competitors will quickly realize and can imitate the
resource without too much trouble. Therefore, it's only a temporary competitive advantage.
Inimitable
Resources are hard to imitate if they are extremely expensive for another organization to
acquire them. A resource may also be hard for an organization to imitate if it's protected by
legal means, such as patents or trademarks. Resources are considered a competitive
advantage if they're valuable, rare, and hard to imitate. However, organizations that aren't
organized to fully take advantage of the resource, may mean the resource is an unused
competitive advantage.
 Organized
An organization's resource is organized to capture value only if it is supported by the
processes, structure, and culture of the company. A resource that is valuable, rare, hard to
imitate, and organized to capture value is a long-term competitive advantage. A resource can
not confer any advantage for a company if it’s not organized to capture the value. Only a firm
that is capable to exploit valuable, rare, and imitable resources can achieve sustained
competitive advantage.

Specifically on the competitive cost advantage and focus on it and apply all these
conditions to it to make it sustainable for the largest possible period and to create a new
system and a strong structure capable of cohesion and imposing its position in the market and
taking a large market share from consumers, which is a great success to be able to compete in
a large market such as the market The largest and richest European in the world, in which
entering is a great risk. The environment is not a vague environment, but a very risky and
highly dynamic environment, which calls for the work of an agile and educated organization
capable of adapting to the situation imposed by the market, price fluctuations and
requirements for riders, which are almost daily.
Hence, we conclude that when the company took this large share of the market with
Expansion of the route network into mainland Europe followed in the second half of the
1990s. In addition to growing its route network, Ryanair opened new bases in secondary
airports throughout Europe. Flying to secondary airports offered several advantages By 2005,
Ryanair had 15 bases throughout Europe. This number increased to 44 in 2010, 75 by 2015,
and 87 by 2018.

Thus, this feature is very useful, which must be an example that guides and studies how to
penetrate the market and gradually impose a personal vision on the market. The principles on
which the emerging companies are based, and even created a new trend that came out of the
internet for the organization to an external environment gradually until it became a trend that
imposes its presence on the market and it is the LCC trend, which forced all competitors to
deal with it as a fait accompli and even to deal with it as a threat to the sales system and the
profit system In the company, which led to competitors dealing with this trend imposed on
them and strengthening the Internet to be able in the future to compete

- leadership approach of Ryanair CEO “Michael O’Leary

RYANAIR reduces the cost of travel rather than profit from the sale of
the airline Seats The company gets a lot of revenue from in-flight shopping, hotel reservations
and car rentals, paid online games on board and other services it offers to its customers. Ryan Air
Also negotiate with airports and get discounted landing fees.
Michael O'Leary's personality is very unique and different from other people. Frank and abrasive
management style makes him different from others. Mikhail O'Leary's personality lies between
leadership and management because he has a lot of Leadership characteristics as well as qualities
of a good manager. Here are some quotes that Michael O'Leary has written on various occasions
as CEO of Ryanair. We can analyze Michael O'Leary's personality approach towards them

- Background

: Michael O’Leary is the CEO of the RYANAIR Airline. He was born on 20 March1961. He
graduates from Trinity College Dublin in Economics and social studies program in1983. After
graduation he starts work as trainee accountant in KPMG. After two years he left his job from
KPMG. After doing different jobs in different places in 1987 he joins Ryanair ’s founder Tony
Ryan as his financial advisor. In 1994 Michael O’Leary becomes the CEO of the RYANAIR
Airline. The extraordinary and different management style, passion and the aggressive nature of
the Michael O’Leary transformed the RYANAIR as ordinary airline to popular and cheapest
airline of the world. Michael O’Leary is popular among the CEOs of the European airlines
because of his outspoken, aggressive public statement and sometimes foul language against their
competitors. Because of Michael O’Leary’s aggressive attitude and harsh management style, his
reputation is very controversial in airline industry.

O'Leary's policy & traits

Michael O'Leary Very unique person and different from others. Frank and abrasive
management style makes him different from others. Mikhail O'Leary Character lies between
leadership and management because he has many leadership qualities and also has good
management qualities. Here are some quotes Michael O'Leary has written on different
occasions As CEO of RYANAIR. We can Analysis of Michael O'Leary's character approach
to them and his leadership seems like Goal Oriented Power and Control Aggressive Problem
Solver Skilled & Professional Administrator Give Directions Rational

Michael O'Leary's AS leader

since the competitive advantage is largely based on the tangible internal capabilities of aircraft,
airports, chairs and bags And the luggage, and this needs a very strong control and orders from
one direction to be a law for the organization as a whole, and that I think is for a while.

- leadership style
-
- : Autocratic leadership
- Michael O’Leary is a task-based leader whose style is focused on getting the job done –
capitalizing on market opportunities, delivering efficiencies and producing superior
returns to shareholders. Task-oriented leadership is highly valued among quoted
companies where financial reporting matters and also among smaller businesses where
getting things done is important to both survival and growth. Such a leadership style can
have its drawbacks when it comes to engendering loyalty and retaining and developing
talent within the business is one in which managers are the ones which takes all the
business decisions while the workforce is expected to work as per the commands and
guidelines set by the management of the company. Autocratic leadership style is
characterized by quick business decisions from the management as employees are not
involved; however, it is criticized, by not allowing major workforce to participate in
the decision making, thus, demotivation them and decreasing their efficiency.

Self-Discipline:
Self-discipline is the main and essential component of true leaders. Leads to achieve their goals
and objectives. Michael O'Leary is a passionate leader who has rejected himself before His work
ethic. Focuses on goals and objectives and achieves its goals through Consistency in hard work
Relationship:

A relationship of trust with others is the key element that leaders have to achieve any target.
Michael O'Leary character performs a goal or directed task automatically Create a relationship of
trust between Michael O'Leary and subordinates

Charismatic Leadership Theory

Charismatic leadership defines leaders as having some exceptional ability or Attributes that attract
followers and subordinates. These characteristics affect Followers to be loyal and inspiring.
Charismatic leaders gather their followers on a single platform through their personality, and the
ability to Speaking and internal traits rather than using external force or authority

Michael O'Leary's leadership approach

Like pioneering and exceptional organizations, it takes an exceptional leader who can combine
more than one personality trait and many behaviors that reinforce the idea of success and
continuity, and we find that most of these traits fall into O'Leary's But in this exceptional case,
Tusk Oriented must be more in order to be able to implement the idea, as the idea is a new pun
that he does not have much background on, so he had to take strict decisions and have the courage
to bear the consequences of decisions from the negatives and the positives, but he must He did this
to open the way for the organization to take the appropriate position for it in the market, and
therefore it is considered that it combines the two qualities of leadership and management and
tends to be an autocratic leader due to his tendency to carry out operations and facilitate them more

Thus, he considers that he combines two qualities of leadership and management and tends to be
an autocratic leader because of his tendency to implement and facilitate operations more. Thus, we
find that his apprentice has succeeded in ensuring the permanence of the organization for a period,
because he was effective and was seeking to provide a distinguished service at the lowest price,
and he succeeded in that with great potential.
- Ryanair strategic plan
- mission

After noticing the external factors and taking them into account at all levels and
classes, seizing the opportunity and strengthening The Internet, its consolidation, and the making
of a strong interior capable of challenging and confronting, gaining land and traveling great
distances, and presenting a value proposal allows the application of the new hypothesis that the
company is working on, which is the low-cost aircraft (LCC), and this is summed up in their
mission and considered a kind of modern invention at the time, as it came with a new definition
that could create a need For the consumer, this idea would not have been enlightened had it not
been found by Reiner, so he is considered a Pioneer in this field in one way or another And
consolidating rules among employees and strengthening their SKA so that they have the permanent
ability to avoid bottlenecks that may result from obstacles from changing the external and external
environment, strengthening the organization, setting fixed rules and measuring them, and setting
KPIs for measurement every period and the work of permanent control

- Vision
The revolutionary idea, if it does not depend on permanence and moving from its place to
a higher place always, will end in a day where it began and may be less. Therefore,
revolutionary ideas must have revolutionary trends and dreams as well. Therefore, it is
necessary to follow a very strict routine and make immediate plans and future plans that
can put the organization in A higher situation than its counterparts in the future, so the
company seeks to acquire the LCC market, which deals with a large category of travelers,
who have been flocked by other companies that have started implementing the same idea
and presenting it to consumers, thus making the market more intense and competitive in a
very large way, and the company aspires to take a large share Very out of the market in
2024, estimated at 200 million passengers per year
Ryanair organization

There is a general rule and constant in every organization that the strategy follows the
mission and follows the vision for it that works Impact In all actions In the Internet, which faces
the external with all its challenges

The company is a functional structure and relies in its decisions in the first place on an almost
single direction of orders

Ryanair's business strategy

Every organization has a specific strategy that puts it in a particular market niche.
According to Porter's General Strategy Matrix, all markets operate in the same way. It can be
divided in two ways based on four factors: narrow or broad scope and cost or differentiation source
of competitive advantage. Based on these factors, companies can choose a suitable strategy to
follow. As a result, there are three main types of strategic positioning strategies: cost leadership,
differentiation and focus strategy. Ryanair Holdings plc uses the focus strategy, particularly
the cost focus strategy.
-success factors

Although the company faced various problems, particularly in line with its cost structures, the
company managed to survive and grow in the market. Ryanair implements a different marketing
strategy to make the company survive the competition and to be able to gain a competitive position
in the aviation market. The company is said to have recently been considered the most punctual
airline between Dublin and London. Due to its industrial strategy, Ryanair is now recognized as
the second largest airline in the UK and the largest low-cost airline in Europe with a network of
more than 57 routes in 11 countries and served by a fleet of 31 Boeing 737-200 and -800 aircraft
with more than 1,400 of the staff and staff.

Cost Reduction Strategy

To achieve its goal of gaining a competitive position in the aviation market, Ryanair is using a
strategy to reduce costs. This cost reduction strategy is based on five major aspects such as the
combined fleet, service contracting, airport and road charges, managed personnel costs,
productivity and managed marketing costs. In terms of commonalities across the fleet, the
company has used only one type of aircraft which limits the cost of staff training and maintenance
services and facilitates the acquisition of spare parts and utilities in aircraft scheduling and crew
assignment. Buying a Boeing 737

Expansion strategy

is another factor enabling Ryanair to position itself in the market. The company has been known
as an airline that has been launching new routes since its inception. In addition, as part of an
expansion strategy, the airline acquired Buzz on February 26, 2003. This acquisition gives Ryanair
immediate access to 11 new French regional airports and makes the airline the largest airline
operating at London Stansted Airport. In addition, the company continues to expand by opening
two new bases in Europe via low-cost flights from Milan-Bergamo and Stockholm. In 2003, the
company was able to launch 73 new routes and transport more than 2 million passengers in one
month (July). In addition, the company's website enables the company to position itself in the
global market.

Brand position

Ryanair is establishing itself as a low-cost airline. The company does not try to position itself
among airlines such as British Airways, Lufthansa or Air France that offer a relatively high-quality
service at a higher price. Instead, Ryanair aims to satisfy people who are looking for the cheapest
service possible, regardless of quality. Because Ryanair is promoting its brand as follows: Low-
cost airline" (ryanair.com) Many customers have built trust in the company and believe that its
prices are the lowest. In doing so, they may not bother checking offers from other providers
because they know Ryanair will still be cheaper. In this way, Ryanair has created many loyal
customers However, such an attitude of the brand puts off the most demanding customers who do
not mind spending more money for better service. These customers are unlikely to choose Ryanair
and instead go to other full-service airlines.
In the future:

The fare charged by Ryanair reflects the price of travel from point A to B. Additional services
such as meals, drinks, baggage costs, etc. are provided for a fee for those who want them.
Permanent CEO O'Leary has a vision that in the coming years travel by Ryanair will be free and
all of its revenue will flow through the provision of ancillary services, third party advertising,
holidays, insurance, hotel and communication reservations sold through the Ryanair website.

In order to face crises, the company must create a sustainable system that guarantees it permanent
work and achieves the desired goal in 2024, which is the internal and external analysis, and always
making a plan that always includes observation, measurement and auditing to reach the best
solution and solve the dynamic challenges in the external risk environment. The permanent plans

PDCA:

P (Plan): In this stage, the purpose is to investigate the situation in its current stage. After you
clarify the nature of the problem, define the problem that you want to fix. Identify potential root
causes. Capture and analyze real data and write a mission statement.

D (Do): In this stage, you want to make the team aware of the gravity of the real problem. Use and
analyze data currently found, and make sure you are defining and implementing a solution plan.

C (Check): Here you want to monitor and evaluate the effect of the current implementation. Seek
countermeasures to improve the current solution. Once again, collect current data with the
improvements in place and if need be, train those who are directly affected by the new solution
plan.

A (Act): Continuously monitor the new performance measures, and decide if any adjustments need
to be made. If adjustments need to be made, then integrate into the new working practice. If the
solution
Crisis management

During a crisis situation, Ryanair's management tried to find her solutions to financial losses. But
nothing works It has led to a situation of increasing losses. In the end Management realized that
the old business strategy was not profitable anymore. Leading to a complete crisis where like
Aware & Parson (2007), wasn't sure what Ryanair wanted and it can do. They ended up in a state
of crisis not because They wanted but because they need to. difference with the cycle of adaptation
is that they did not expect change. The balance is no longer sustainable. Motivation to change for
Ryanair was financial. If an airline wants to survive, they need to move to the new combinations
stage of the adaptation cycle. This transition is referred to as "reorganization." And in 2017,
Ryanair cancelled up to 50 flights per day, inconveniencing over 400,000 customers

Ryanair strives to keep fares low. This Ryanair SWOT analysis reveals the driving forces behind
these ambitious goals. Reading this article will increase your business intelligence, enhance
problem-solving abilities, and increase industry awareness.

Strength

 Strong Balance Sheet: In a statement put out to the Irish Stock Exchange, Ryanair states it
has year-end cash equivalent of 3.8 billion Euros. In a separate announcement, Ryanair
projects a profit of 1 billion Euros in the financial year.
 Business Model: While other airline companies desperately cut costs during the pandemic,
keeping costs as low as possible is at the core of Ryanair’s business model.
Specifically, Ryanair keeps costs low by offering non-essential services as add-ons.
 Stock Market Performance: Investor’s Business Daily upgraded Ryanair’s RS Rating to
83. The RS Rating measures the performance of a company’s stock within a 52-week period
relative to the rest of the marker. A rating of 83 makes Ryanair the safest stocks to buy in
the airline sector.
Weaknesses

 Refunds: Customers are enraged at Ryanair’s refund policy. Ryanair has issued only 5% of
the refund claims within a legal time frame. Also, customers are unhappy about Ryanair
offering them time-limited vouchers instead of a cash refund.
 Layoffs and Grounding: Last June, Ryanair grounded 99% of its fleet. The company also
cut 3,000 jobs due to restructuring. Meeting ambitious goals of surpassing its performance
in 2019, will be an uphill task for Ryanair with 15% of its workforce laid off.
 Controversial Positions: Ryanair CEO, Michael O’Leary, said operating an airline
with social-distancing is stupid. The comment is just one of the many situations where the
CEO has gone against the grain.
 Bad Reputation: In a survey of 7901 respondents, Ryanair with a customer score of
40% earned the last place. And Ryanair has been in this position for the last 6 years. The
reason for low customer score is Ryanair’s murky pricing structure that makes customers
wary of hidden costs.
 Strikes: Ryanair failed to secure a favorable ruling from the High Court to stop a 48-hour
strike, which members of the pilot union announced. 80% of the members of the union
expressed dissatisfaction due to ongoing disputes related to pay and working conditions.

opportunities

 Government Assistance: Ryanair is among 53 companies standing to benefit from the Bank
of England’s COVID Corporate Financing Facility. Under the scheme, Ryanair has taken
800 million euros in lending.
 Survival of the Fittest: According to CNN, 20 airlines have shut down or declared
bankruptcy. However, Ryanair has proven its resilience across two Gulf Wars, 9/11 crisis,
2008 meltdown, and skyrocketing fuel prices. In a way, this crisis could help Ryanair by
eliminating Ryanair’s competition.
 Talent Availability: With thousands of skilled professionals such as pilots, ground staff,
cabin crew, and engineers competing to re-enter employment, Ryanair has the opportunity
to hire the best available talent.
 Aviation Industry Slump: Airbus, the largest airliner manufacturer in the world, plans to
shed 15,000 jobs. The COVID travel restrictions affected airline manufacturers direly.
However, this could be a chance for Ryanair to acquire aircrafts at a cheaper price .

threat

 Government Regulations: Ryanair has no control over government regulations. For


instance, the Government of Italy threatened the suspension of all aerial activity in Italy’s
national airports
 Ryanair cancelled up to 50 flights per day, inconveniencing over 400,000 customers
 Luxury segmentation: the company did not make any effort for this segment

Therefore, the organization must establish internal capabilities that support its position
and stand in the face of external threats and the incremental change based on cognitive
thinking, which puts everything in its place, criticizes and analyzes and always puts plans in
place of check and control, and this is the largest type of continuous successful organizations
that want to put It has its place in the future And also to take advantage of opportunities to
achieve the goal in 2024, and this goal must be achieved by providing 200 million seats for
passengers and exploiting free space

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