Technological Environment AND Natural Environment. Performance shows the airlines ability to meet strong passenger demand across regions with capacity ramp-up and high-quality products. Emirates unique connections to/from Europe 7 Figure 6. Emirates is an airline company based in Dubai. Emirates airline operates the largest fleets of Boeing 777 and A380 Aircrafts. This report is shared in order to give you an idea of what the complete Company Overview Report will cover after purchase. The company has diverse culture, as it has many subsidizers and more than 50 parent company. PDF Analysis of Airport Stakeholders - George Mason University The firm has won several accolades for its quality in-flight products, including the Airline Passenger Experience Award and the British Travel Award, among others (Lohman et al. And toady Emirates Airline also known as low cost carrier (rodrigo, 2012). The industries company is catering are airport services, hospital industry, catering, and engineering. Moreover, Etihad Airways is also providing best services and providing full customer satisfaction. Please note that you agree to receive email updates from us on our new reports and solutions. From past statistical evidence and levels of achievement, the Emirates has continued to demonstrate great care for its employees and involved stakeholders for their role in the growth of the company with emphasis on immediate environments and the communities served by the fleet of its airlines. Retrieved from https://ivypanda.com/essays/emirates-airlines-strategic-choices-and-decisions/. Emirates founded in 1985, is a Dubai (UAE) based global airline with operations in more than 81 countries serving 155 airports and boasting a fleet of over 270 aircrafts as of the year 2020. However, the threat of new entry is low because of the high capital/resource requirements and brand equity enjoyed by established carriers (Sheffi 2006). The airline has pursued an aggressive growth strategy, often being the launch customer for new aircraft models and investing in new technologies to improve operational efficiency. To export a reference to this article please select a referencing stye below: If you are the original writer of this essay and no longer wish to have your work published on UKEssays.com then please: Our academic writing and marking services can help you! The SAF model applied to Emirates indicates that each of the three strategic options is essential in the airlines growth. Web. 28, no. DUBAI, UAE, 15 June 2021 - The Emirates Group today announced its first year of loss in over 30 years caused by a significant drop in revenue, fully attributed to the impact of COVID-19 related flight and travel restrictions throughout its entire financial year 2020-21. Emirates received a capital injection of AED 11.3 billion (US$ 3.1 billion) from our ultimate shareholder, the Government of Dubai, and dnata tapped on various industry support programmes and availed a total relief of nearly AED 800 million in 2020-21. Emirates Airlines also operates a frequent flyer program called Emirates Skywards, which allows passengers to earn miles and redeem them for flights, upgrades, and other travel-related benefits. Recent by ordering 140 Air Bus A380s, the company is become the second to operate these air craft after Singapore. Diversification is referred as offering new services to new market. To expand its network into emerging markets or international destinations in Asia and the Americas. I have used them in a lot of my personal research work.-Mudassir KhanAccounting and Business, Melbourne Polytechnic, Here the research is to-the-point, no beating round the bush. of the United Arab Its key elements include product differentiation to compete in the low-cost segment (Graham et al. Changing Govt policies and regulations Emirates Competitors Financial PerformanceFY 2023: Revenue up 131% to AED 50.1 billion (US$ 13.7 billion), and profit of AED 4.0 billion (US$ 1.1 billion) compared to AED 5.8 billion (US$ 1.6 billion) loss for the same period last year. In terms of acceptability, the three strategic choices can be considered appropriate for the firm, but their utilization would require sound stakeholder management to reduce political risks. A SWOT matrix (Appendix 1) was applied to Emirates to reveal its internal strengths and weaknesses as well as potential market opportunities and threats in commercial aviation. Role Of Stakeholders In Aviation - 963 Words - Internet Public Library raising its passenger capacity through short- and long-hauls to several in-demand destinations. The Emirates Group is a highly profitable business with revenue of approximately US$ 12 billion and more than 40,000 employees. With significantly reduced and constrained capacity deployment across most markets, Emirates, Due to ongoing pandemic-related flight and travel restrictions, the airline reported a, Emirates carried 6.6million passengers (down 88%) in 2020-21, with, With the strong demand in air freight throughout the year, Emirates cargo division reported a, The impact of COVID-19 was felt across all dnata businesses, and in 2020-21 dnata recorded a, With reduced flight and travel activity across the world, dnata's. Web. This reflects the impact of the suspension of scheduled passenger flights at both Dubai airports (DXB and DWC) in March 2020 as part of the UAEs pandemic containment measures. Emirates Airlines SWOT and PESTLE analysis has been conducted and reviewed by senior analysts from Barakaat Consulting. Some of the prominent airlines from UAE other than Emirates Airline are Etihad Airline, and Qatar Airline. In airline industry there is lot of competition. The StB entails five features that automate the entire traveling process, namely, e-ticketing, eCheck-In, eBoarding pass, eBaggage Management, and eFreight (International Air Transport Association [IATA] 2008). The number of aircraft turns handled by dnata in the UAE declined by 59% to 78,000. In 2020-21, the Group collectively investedAED4.7 billion(US$1.3 billion) in new aircraft and facilities, the acquisition of companies, and the latest technologies to position the business for recovery and future growth. 2011). Quantifying Emirates' economic impact in Europe 2 Figure 2. The PESTLE analysis for Emirates Airlines is given below: We do not share your information with anyone. 1 british airways, stakeholder analysis, petya laleva - SlideShare (2021, July 23). Business Strategic Analysis of RyanAir Udara Seneviratne 15.2K views15 slides. Notably, in Australia dnata began ground handling for Qantas at most of its major airports and GTA dnata, its joint-venture company in Canada, was awarded a five-year ground handling license for ramp, passenger, and cargo warehousing services at Vancouver International Airport. Although each of the three strategic alternatives represents a viable option for Emirates, cost, financial risk, and customer service considerations make the second strategy the best choice for implementation. British Airways : Stakeholders Objectives Parsa Lohani, FHEA, MCIM (Chartered Marketer) 8.4K views12 slides. This report is shared in order to give you an idea of what the complete Stakeholder Analysis Report will cover after purchase. While the macro factors are the political condition of the country its economic condition, society and the technological development in the country (PESTLE Analysis of UAE 2012, 2012). Omni-channel strategy for seamless customer experience: Omni channel strategies are all about providing customers with a seamless experience. Reach thousands of academicians and corporates across the globe. Passengers often consider ticket prices and in-flight and lounge services when selecting a flight. Company Background. Technological the country is also growing, likewise in telecommunication industry Etisalat is the market leader, and providing best services in telecommunication industry around the world. Internal and External Stakeholder Analysis - Peachy Essay Reach thousands of academicians and corporates. Emirates Group Announces 2020-21 Results The airline is considering a geographical diversification strategy to spread its operational risks. In aviation industry the company has established the strong brand name. dnatasCatering business accountedfor AED1.0 billion (US$285 million) of dnatas revenue,significantly down by 68%. The requirements for the implementation of the strategies include financial systems, passenger management systems, and HR systems. (2021) 'Emirates Airlines' Strategic Choices and Decisions'. Moreover, as the country has flourishing tourism industry therefore, from many country every year millions of people travel to UAE for holiday. Web. Due to increasing diversity in the country there is mixed culture flourishing in the country (interact, 2014). Please refer to the Terms and Conditions and Disclaimer for usage guidelines. If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda. Emiratisation strategy to recruit and retain UAE Nationals, 1. Copyright 2003 - 2023 - UKEssays is a trading name of Business Bliss Consultants FZE, a company registered in United Arab Emirates. The detailed complete set of references are available on request in the 'Complete report' on purchase. A SWOT analysis is a strategic planning tool used to evaluate the Strengths, Weaknesses, Opportunities, and Threats of a business, project, or individual. Before we dive deep into the SWOT analysis, let us get the business overview of Emirates Airlines. The values define the approach to dealing with different stakeholders, including customers and suppliers. Different sub-types of passengers have been identified (Neufville & Odoni 2003; pp. Emirates received a capital injection of AED 11.3 billion (US$ 3.1 billion) from our ultimate shareholder, the Government of Dubai, and dnata tapped on various industry support programmes and availed a total relief of nearly AED 800 million in 2020-21. Strong competitors from the region such as Etihad from neighboring emirate, Abu Dhabi and Doha based Qatar Airways. This report is shared in order to give you an idea of what the complete Covid-19 Impact Analysis Report will cover after purchase. Based on this framework, the three strategies are good choices for the firm. This is IvyPanda's free database of academic paper samples. Emirates Airlines has been a dominant player in the Middle-East aviation industry earning enormous profits over a decade. Emirates Airlines strongly focuses on providing luxurious travel experiences and top-notch customer service. Accept cookies to experience the full functionality of this page. The main stakeholders include the Dubai government, company management, passengers, travel agents, aircraft providers, and staff. You can download the latest annual report or read our previous reports for detailed information on our commercial results and strategies. You can reach us out at [emailprotected] .Disclaimer: The views and opinions expressed in any article on the website are solely those of the authors and do not necessarily reflect the official policy or position of companies in context. 1. This report on Emirates Airlines Strategic Choices and Decisions was written and submitted by your fellow They have competitive pricing strategy. professional specifically for you? We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals, at such affordable pricing. Currency fluctuations this year had no significant impact on airline revenue. It also continued to invest resources towards environmental initiatives, as well as supporting communities and incubator programmes that nurture talent and innovation to drive future industry growth. (PDF) Innovative Options for Future Strategic Directions A Particular Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. Emirates Airlines SWOT & PESTLE Analysis - SWOT & PESTLE.COM. 2. We utilize security vendors that protect and We've received widespread press coverage since 2003, Your UKEssays purchase is secure and we're rated 4.4/5 on reviews.io. We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals, at such affordable pricing. For them their main aim is that they provide such services that their customers get full satisfaction. Our global presence Please click here for more information. SWOT Analysis: Meaning, Importance, and Examples. During the year, Emirates reactivated its strategic codeshare partnership with flydubai, and entered into agreements with new partners TAP Air Portugal, FlySafair, and Airlink in South Africa, to expand connectivity for its customers. We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals, at such affordable pricing. 5). Factors/ attributes on which airline positioned their brands. Sheffi, Y 2006, The Resilient Enterprise: Overcoming vulnerability for competitive advantage, Pearson Education, New Jersey. It also has a differential advantage due to its broad portfolio. Emirates airline embarks on 'modest restructuring' as growth slows Omni-channel strategy for seamless customer experience, 1. Keeping a tight control on costs, across the Group, financial obligations were restructured, contracts renegotiated, processes examined and operations consolidated. Therefore, competitive rivalry in the UAE commercial airline industry is high. Their position in the market is better than its competitors. This report is shared in order to give you an idea of what the complete Subsidiaries, Partnerships and Collaborations Report will cover after purchase. This section of the report will in-detail analyze some of the major direct and indirect competitors of Emirates Airline. The 'acceptability criteria' applied to Emirates can indicate the stakeholders' expectations, expected returns/profits, and inherent risks. Moreover it has the population advantage of almost 80 million people staying in Turkey compared to just over 9 million in UAE where Abu Dhabi based Etihad also competes with Emirates. At the end of 2020-21, Emirates SkyCargos total freighter fleetstood unchanged at 11Boeing 777Fs. This report is shared in order to give you an idea of what the complete SWOT & PESTLE analysis report will cover after purchase. Emirates' Economic Impact in Europe Figure 1. The Essay Writing ExpertsUK Essay Experts. Emirates has full-service lounges at its primary airport in Dubai to cater for arrivals and departures. This report is shared in order to give you an idea of what the complete Risk Analysis Report will cover after purchase. Thus, the LCC-dominated markets in Asia, including China, India, Malaysia, and the Philippines, are potential destinations for Emirates (Damuri & Anas 2008). Etihad Airline is another growing airline of UAE. If your specific country is not listed, please select the UK version of the site, as this is best suited to international visitors. Graham, F, Nigel, D, Ison, S & Humphreys, I 2009, The Transferability of the Low-Cost Model to Long-Haul Airline Operations, Tourism Management, vol. Europe also has been target of terror in recent times and these will have an impact on tourism and travel and subsequently Emirates business. dnata continued to lay the foundations for future growth with investments in 2020-21 amounting to AED 328 million (US$ 89 million). They can impact rivalry by hiking prices or producing low-quality goods. At Ethical Systems, we contend that these two approaches should go hand in hand, because good ethics is good for business. . In addition, it uses product differentiation and geographical diversification (strategic option 3) to compete. Segmentation, Targeting and Positioning (STP) Analysis Report. Emirates in efforts to strengthen its IT infrastructure signed a 10-year technology services agreement with IBM in 2016. Feasibility evaluation reveals that the strategies are executable because of the firms large capital base and internal resources. Current strategies are built around the firms capabilities, such as resources and technological expertise. This paper examines the air route development process, including key stakeholder engagement, to identify essential factors in the successful establishment of new international air services at regional airports.Data from semi-structured interviews with airports, airlines and destination marketing organisations were analysed to provide perspective regarding Adelaide, an Australian regional . In addition, the switching costs between airlines are low. connection point between two flights. The airline is firmly committed to its long-standing strategy of operating a modern and efficient fleet, which underscores its Fly Better brand promise, as young aircraft are better for the environment, better for operations, and better for customers. For details on how we use your information, please see our privacy policy. Emirates Group announces half-year performance for 2020-21 In short, the government of UAE is stable politically, with strong political reforms. Moreover, the airline is economically strong and it will never turn down. Its product development efforts should focus on installing technologies that enhance passenger comfort and communication while on-board. Need a custom Report sample written from scratch by 8.6 Major Downstream Buyers of Airline Catering Analysis 8.7 Impact of COVID-19 and the Russia-Ukraine war on the Upstream and Downstream in the Airline Catering Industry 9 Players Profiles Stakeholder Analysis: Lockheed Martin Corporation 1461 Words | 6 Pages. Family Life Cycle:Bachelors, married, working women, office working people, old age people are the targets. Moreover, another pricing strategy that Emirate airline is following is the premium pricing strategy (Emirates flight pricing & sales strategy, 2014). They also follow Informative Advertising: where they try to create brand awareness and knowledge of new products or new features of existing products. Emirates Airlines SWOT Analysis - The Strategy Story 2, pp. IvyPanda. The firms other cost-efficient operations include. We inspire travelers around the world with our growing network of worldwide destinations, industry leading inflight entertainment, regionally inspired cuisine, and world-class service. This includes impairment charges of AED 766 million (USD 209 million) on goodwill and other intangible assets across all its divisions. McGee, J, Thomas, H & Wilson, D 2005, Strategy Analysis and Practice, McGraw Hill, New York. These helped us sustain operations and retain the vast majority of our talent pool. Consumer behavior is the acts and decision processes of the consumer which they shows during the purchase the product as well as services. Customers have a high bargaining power because ticket costs vary depending on the travel option (budget or luxury option). Three type of people is the target audience of Emirates Airline business people, families, and transit passengers. Increasing fuel costs has impact on margins 3. It has backward integration with suppliers to develop custom-made in-flight amenities for its fleet. Web. If you want to get in touch with our media team, please mail us on: If you're a customer and you have a general question about our services or would like some help, please While, Etihad Airways is the second brand in term of quality, good will and other mentioned factors in the mind of people. In case you want this report emailed straight into your email inbox, kindly share your details below. So it shows that over all Emirates Airline is working better as compared to other competitors. The firms A380 fleet is the largest in the industry globally (Lohman et al. Economically the country is one of the fastest growing country in the world. The airline operates more than 3400 flights per week. In recent years, the airline has attracted traffic from the S. Asian market to N. America, enabling travelers to avoid passing through EU airports such as Heathrow and Frankfurt (Lohman et al. The analysis can employ a range of analytical methods that include the SWOT analysis, the PESTEL analysis, Porter's Five Forces analysis, TOWS Matrix, and Stakeholder Analysis for the evaluation of strategic choices for the case of Etihad Airways. Factors that may affect the airline industry are worldwide terrorisms and war. Micro environment of UAE is its trading partners, competitor i.e. other countries in the Middle East region and UAE itself. Emirates Airlines: Tough Business Conditions - LinkedIn Keep it up! The airline is also a member of various international airline alliances and industry associations, including the International Air Transport Association (IATA) and the Arab Air Carriers Organization (AACO). Until 2020-21, Emirates and dnata have had a track record of growth and profitability, based on solid business models, steady investments in capability and infrastructure, a strong drive for innovation, and a deep talent pool led by a stable leadership team. Sheikh Ahmed said: No one knows when the pandemic will be over, but we know recovery will be patchy. In addition, Emirates has installed the latest in-flight technology, including TVs, audio/video systems, and on-board communication devices that enhance the travel experience (Emirates 2012). Emirates Airlines' Internal and External Factors Case Study Key Performance Indicators (KPI's) Report. This may restrict Emirates' ability to expand its presence in the U.S. Also Emirates uses Airbus A380s which has a capacity of up to 600 passengers. . Moreover, the macro environment of the company is the political, social, economic and technological forces around the company that affect the micro economic forces. The feasibility of the strategies based on its resources and constraints. Emirates Group 2015, Leadership: The Senior Management Team. Dnata is one of the largest combined air services providers in the world, serving over 300 airlines in 35 countries. Emirates Airlines' Strategic Choices and Decisions Report Emirates is an international airline so the revenues are collected in multiple currencies - any sudden movement in the exchange rate and change in global macroeconomic conditions could lead to revenue fluctuation (Parasie, 2016). Emirate Airline is positioning their product on the basis of price. The threat of new substitutes, supplier power, buyer/customer power, and industry rivalry is high. Moreover, their major aim is provide the quality services for that they have dedicated team that work day and night for ensuring the quality (Special Needs | Essential Information | Emirates Online Booking and Planning | Emirates, 2014). This report is shared in order to give you an idea of what the complete Competitor Analysis Report will cover after purchase. From Dubai to Houston, Los Angeles, Sans Francisco, and Dallas company operate four of the world largest no stop commercial flight. Emergence of strong competitors in the region like Etihad, Turkish Airlines and Qatar Airways, 1. The firm already has technology (Emirates IT) to support these systems. Different studies of consumer behavior has indicated that how individuals, groups and organizations make purchase decision and buy goods and servicer according to their needs and desires. 5, pp. We aim to recover to our full operating capacity as quickly as possible to serve our customers, and to continue contributing to the rebuilding of economies and communities impacted by the pandemic.. This report is shared in order to give you an idea of what the complete Technology Landscape and Outlook Report will cover after purchase. Emirates has roped in digital agency Amaze in 2015 to enhance its global digital platforms as part of its broader omni-channel strategy. And, as they also cargo carrier then their major aim is also provide on time delivery to its customers. People from many other countries come to live in UAE or for visiting UAE. It is the process of dividing potentialmarketsor consumers into specific groups and offering product according to their needs. The Emirates business model. American airline stakeholder analysis Free Essays | Studymode Culture is defined as totally learned behavior that contain shared values believe, norms, customs and rituals of particular region. 23, no.1, pp. For the purpose of identifying the target audience marketer first have to divide the market into different segments and then on the basis of their needs and wants offering them the desired product (DeMers, 2012). It is a subsidiary of the Emirates Group which is owned and backed up by the government and the Dubai royal family. The impact of COVID-19 was felt across all dnata businesses, and in 2020-21 dnata recorded a loss of AED 1.8 billion (US$ 496 million) for the first time. You are free to use it for research and reference purposes in order to write your own paper; however, you Economies and companies that entered pandemic times in a strong position, will be better placed to bounce back. Moreover, positioning referred as factors on which companies differentiate their brand from their competitors. In this article, we do a SWOT Analysis of Emirates Airlines. DUBAI, U.A.E., 12 November 2020: The Emirates Group today announced its half-year results for its 2020-21 financial year. This report is shared in order to give you an idea of what the complete M&A Report and Analysis Report will cover after purchase. And the company is one of the few in the world to use all wide-body aircraft. Top Quality. Emirates average fleet age remains at a youthful 7.3 years. All Rights Reserved by Barakaat Consulting. must. Emirates Airline receives rating of 4.6 rating, whereas, Etihad Airways receives an average of 3.8 rating and Qatar Airways receive the rating of 3.4. PESTEL Analysis of Emirates - UKEssays.com A core part of our strength as a business stems from the 'open skies' environment at our main operating base, Dubai International, where we compete with over 100 other scheduled airlines. The analysis will cover the suitability, acceptability, and feasibility (SAF) of these strategies. Analysis of Luxury Airlines Emirates Airways and Competitors Abed El-azez Safi During the last decade travel and tourism has assisted the Emirates Group in spreading its wings into every aspect of travel, tourism and business to become the fastest growing corporation in its field. The prime aim of the company as well as its employees are to deliver the unique and superior customer services. In term of UAE, the environment of UAE is the dynamic environment. Turkish Airlines based in Istanbul is also emerging as a formidable regional rival covering more than 280 destinations through its hub and spoke model. Released today in its 2020-21 Annual Report, the Emirates Group posted a loss of AED 22.1 billion (US$ 6.0 billion) for the financial year ended 31 March 2021 compared with an AED 1.7 billion (US$ 456 million) profit for last year. Passengers from these countries can stopover at Dubai International Airport en route to North America or Australia and New Zealand (Auckland destination). This marketing audit aims at looking at the potential markets for the airline and establishing ways of being .