Strategic Analysis of Ryanair

Industrial Information TechnologyGroup No:02

Business StrategyIIT 351-2

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Content

About Ryanair Layers of Business Environment The Macro Environment Analysis

- The PESTLE framework Industries and Sectors

- The five-forces framework Competitors and Markets

- Strategic group map Analysis of organization

- Strategic Leadership analysis

- BPR analysis Conclusion Recommendation

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About Ryanair….

Ryanair founded in 1985 Provide services between Ireland and UK Cost leader of airline industry in Europe Many competitors are in airline industry

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Layers of Business Environment

Organization

The macro-environment

Industry or Sector

Competitors and Markets

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The Macro Environment Analysis(PESTEL analysis)

Political - Air Line Liberation - Open Sky Agreement.

Social - Customer environmental awareness - Consumer travel lifestyle and demographics

Technological - Internet adaptation - Much more energy efficient engines

Environmental - Controlling noise pollution - Curb Carbon footprint and global warming concerns.

Economical - Uncertainty of fuel cost. - Economical state of the region

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Legal - Corporate lawsuits - Allegation on misleading advertisements 5

Industries and Sectors(Porter’s five forces)

Competitive rivals

Barriers to Substitutes

Barriers to entry

Bargaining power ofCustomer

Bargaining power of Supplier

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Strategic Group Analysis

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Enthusiasm and energy Determination and mission orientation Ability to motivate and energies people Consept of transformational leadership style. Towards situational theory. Strategic insight. A risk taker.

Strategic Leadership analysis

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Cont…

• Autocratic style of leadership• Determining strategic direction• Effectively managing the firm’s resource

portfolio.• Exploiting and maintaining core competences• Developing human and social capital• Sustaining effective organizational culture

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BPR Analysis

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Conclusion

Cost Leadership is the generic strategy of Ryanair

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Recommendation

Need of increasing customer loyalty.Need to work upon their strategic

consideration for more effectiveness.Need to enhance their strategic goals and

perspectives. should work upon the further reduction of

the price and fair in other aspects also.

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Group members

1. G.Balakanthan UWU/IIT/10/0003

2. H.M.S.W Herath UWU/IIT/10/0015

3. P.K. Kalubowila UWU/IIT/10/0021

4. S.M.U.C Seneviratne UWU/IIT/10/0038

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Questions??

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