1. MALAYSIAN GRADUATE SCHOOL OF ENTERPERENEURSHIP
& BUSINESS
submitted to
Prof. Dr. Bidin Chee Bin Kifli
Presented by: group 2
AZHAR NAIMA p14 d487f
SHIVAN SALEEM p15d082f
WIJDAN IBRAHIM p15d088f
KHALDOON FATHI p15d089f
AWS SALAH p15d085f
Case study on
Aer lingus
Marketing management
2. Introduction
Aer Lingus Group plc, an Irish airline, provides air travel services. It offers
passenger and cargo transportation services; and runs a single economy class
service on its short-haul route network operating approximately 80 routes to
and from the United Kingdom and Continental Europe, as well as a two class
service on its long haul network to 6 destinations in the United States. The
company also provides services such as flight sales, meals and hot and cold
drinks; Car hire; Accommodation and insurance; Access to airport lounges.
Online conversion; and in-your-face advertising in-flight magazine. Also
provides mail transport service between Ireland and the United Kingdom;
Cargo services; Aircraft and financial services. The company operates a fleet of
36 short distance and a fleet of 8 long-range A330s. Aer Lingus Group plc was
founded in the year 1936 and headquartered in Dublin, Ireland.
3.
4. SWOT analysis :
This report includes financial and SWOT analysis, information, analyses,
opinions, estimates and projections of annual reports and a quarter from
the experts. This report also allows direct comparison of Aer Lingus
Group plc and its competitors. This provides a clear understanding of
the position of Aer Lingus Group plc in the aviation sector. The report
contains detailed information on Aer Lingus Group plc, which gives you
an unmatched knowledge of the business environment in the company:
data controller History, data processors, sites, subsidiaries, markets,
products and companies. Another part of the report is SWOT analysis
for Aer Lingus Group plc. We must specify the purpose of the company
and identify various factors that are favorable and unfavorable to achieve
this goal.
5. SWOT analysis for company, evaluate strengthen, weaknesses,
opportunities and threats of company. Financial analysis of the Aer
Lingus includes profit and loss accounts and relationship with the
financial balance sheets and cash flows on the basis of annual and
quarterly reports. In the long term, the report describes the main
financial profitability index, analysis of variances, the rotation of the
assets, the ratio between the credit and solvency of the company. This
type of information to support and enhance corporate decision-making .
Only an analysis of the market and competitors of the company with
detailed information about the internal and external factors enables
administrators to manage the environment for the enterprises in the
sector.
6.
7. Strength:
Well Established / Strong Foothold in European Market in LCC
Segment
Strong player in the UK market
Has over 160 destinations and high flight frequency.
Caters to over 75 million passengers.
Over 300 aircraft makes it one of the largest airline carriers.
Weakness:
Alleged strained employee relations affect image.
Limited international penetration and low global presence.
8. Opportunity:
Brand New Fleet can be used to tap newer markets.
Has been in the business for a long time and has got the customer
confidence.
Increase routes and also international destinations.
Threats:
Cost of managing employees increasing along with fuel price.
Changing policies and regulations by governments.
Increasing Competition in LCC segment in European Market.
9. In an industry where news about bad services to a large extent on the
first page of the magazine as they were at the beginning of the global
financial and economic crisis that Aer Lingus had good news for an
industry that has caused the crisis problems of cutlery. Consumer
spending on travel cost reduction alternatives that Aer Lingus has
continued to benefit from the crisis. If lower income and fewer
passengers so far, the impact on business as Aer Lingus announced
losses for the first time since 1997 year and expect that there could be
other problems in the near future. Strong ear position in the field of
inorganic activity helped despite the crisis in the financial and
economic crisis, and the markets still face challenging conditions for
the aviation industry.
10. While most players in this sector should continue to be, reducing the cost
of managing their operations continue to Aer Lingus surprised analysts
and investors. These opportunities exist for Aer Lingus. A large number of
threats currently facing the global aviation industry, which could be
obstacles to achieve these capabilities. Some of them are the way of the
dollar and fluctuations in fuel prices. These threats have prevented it with
some companies a steady source of income in past seasons with a lot of
time management, chasing news coverage, the change in the value of
United States dollars, as well as essential oils and make fuel prices.
11. Another threat of recession in major economies, which reproduces the
effects in reducing travel with the carrier for an alternative transport, see
passengers continues to rise. Poor service, where customers are
dissatisfied and face strife due to rough Aer Lingus staff, has been
identified as the main problems that can be identified in the case. The
lack of comfortable chairs and other objects the result very safe load and
lack of security, this refusal, by word of mouth spreads on customer
dissatisfaction, which uniquely identifies it.
12. Airlines often make their prices with new ideas to reduce. These ideas
differ from other traditional airlines. One of the main differences is its
Web site, the Web site of the company is wholesale Web travel,
registration was 50000 per week orders. The airline provides clients
with online registration, allowing you to save additional costs. The use
of the Internet is always the focus also makes it easier and faster for the
customer of Aer Lingus on the corresponding output slot winners and
regional airports reduce costs, landing fees and airport. Because the
airline will operate from secondary airports, it is possible for them
faster and reached the best punctuality of flights. Thus the company
can provide its customers with the best service.
13.
14. Case Study Solution:
The most important skill is it ability to handle their low-cost business
model and continue to work within this model. In the context of reducing
the demand for travel from consumer’s economic model provides a very
good company. Aer Lingus has an advantage over other airlines, which
were ready for economic models meet the requirements of the industry
due to the demand of our customers and what you have to pay them. In
the context of the low-cost business model, based on a strong, talented
and effective provision of services to clients within the model of the value
of Aer Lingus promised. This is an area that does not work, copy the low
cost model of Aer Lingus staff, in particular in the field of air transport, as
well as the cost of fuel is important. In this case the critical success factors
are as follow:
15. ability to deliver their low-cost business model.
capability to work with and coordinate closely with their suppliers through
their talented work force.
ability to remain consistent to their stated business model and strategy.
external recognitions.
Included in this model, Aer Lingus maintains its concept before rising fuel
costs. Last year demonstrated how Aer Lingus does business with
consumers. The Office is looking for alternative sources of income, generate
additional income for increased costs due to the impact of oil Price
compensation costs. Aer Lingus have shown cooperation with suppliers,
that the collection of best practices in a way to ensure that suppliers are also
the advantages of doing business with Aer Lingus. This is a two-way
relationship. If the environment stays or more favorable prognosis ,
16. Aer Lingus, to capture a large part of the demand for air travel to their
destination. According to researchers at the Conference on strategic
change management, which is the village of procedure. This means that
employees and customers that have an impact on the strategic
positioning of Aer Lingus and changes that make it. In managing the
relationship is a good working environment and the relationship between
the Director and the staff. Researchers claim that seemed to last nearly 2
million include sales of Aer Lingus passengers are protected, which is
never appeared.
17. This goodwill in one aspect of the relationship seems to them so that the
penalty for Aer Lingus from a financial point of view and affect its
position and its strategy. Current problems of Aer Lingus would certainly
be used wisely for their strategic position as it would have to rethink its
strategy. In an industry where news about bad services to a large extent on
the first page of the magazine as they were at the beginning of the global
financial and economic crisis that Aer Lingus had good news for an
industry that has caused the crisis problems of cutlery.
Strong ear position in the field of inorganic activity helped despite the
crisis in the financial and economic crisis, and the markets still face
challenging conditions for the aviation industry. While most players in
this sector should continue to be, reducing the cost of managing their
operations continue to Aer Lingus surprised analysts and investors.
18. Conclusion:
Environmental analysis serves as an initial strategic analysis a detailed
analysis, recommendations for Aer Lingus. On the basis of environmental
analysis, which you can do some initial recommendations. Critical issues in
Aer Lingus is identified as a human resource management problems and
poor customer service. It is important that the departure of Aer Lingus to
these criticisms, questions immediately. As a result, Aer Lingus would
recognize trade unions; more to improve relations and promote career
development for the effective administration of the Office of human
resources management in the future and brought into line with the highest
employee interactions successful. Improve customer service while
minimizing costs. This can improve the quality of training for front line staff
and quality management. Analysis of external environment is carried out by
Aer Lingus future strategic analysis, by the user in order to facilitate the role
of consultant.
19. After the value chain analysis is to identify competition Aer Lingus and a
critical success factor in their low cost. SWOT analysis confirmed that the
practices that may be even more, as well as the weaknesses of the
customer service and the ineffective human resources shows how ladies
and bad for Aer Lingus and affect the efficiency of their competitive
advantage. Carriers with networks and target market, half at low cost, an
increase in the use of aircraft, significantly reduce congestion and
performance. and safety standards. A certain degree of risk occurs before
budget airlines and advantages. A great danger is rising prices for Jet fuel,
airport fees, missing drivers, crowded roads and airports. Finally, we see a
booming market and we believe this trend will continue. The company
may get opportunities for diversification. Diversification reduces risk.