Maintaining high customer satisfaction ( low prices and high quality can be pursued together) EasyJet the company is a low cost airline looking to undercut traditional carriers that were already known and established in the industry. Low-cost carrier Southwest Airlines What we do. [10][27], In 2002, the airline opened its base at Gatwick Airport. Government guidance and assistance available to travel and tourism businesses. Who are EasyJet stakeholders? To achieve this we will develop our people and establish lasting relationships with our suppliers, Premium The two strategic choices offered include 1) expanding into new market segments and 2) modernization of brand image. [113][114][115], EasyJet does not provide complimentary meals or drinks on its flights (except for some occasional charter flights operated by the airline). Easyjet stakeholders.Then evaluate the other options which will bring to the fray better returns. It has reinforced its position in short-haul travel aviation increasing its market share from 6.5% to 7.6%. The SWOT Analysis for EasyJet Plc is presented below in a matrix followed by detailed analysis: Strengths. An example of this is when ''Go'' a budget airline owned by British Airways was taken over by EasyJet in 2002. [60][61] Speaking at the time, EasyJet chief executive Andy Harrison commented that: "We have not developed a new concept. Explore the key stakeholders of EasyJet and map in terms of their power and interest. [85], EasyJet serves 136 destinations (as of February 2019). "Easy Jet" redirects here. [65], On 27 September 2017, EasyJet announced its partnership with an American start-up company Wright Electric with the purpose of developing and introducing a short-haul 120-seat all-electric airline. In addition, Marketing Analysis of easyJet Pricing.In competing against legacy carriers, easyJet's main advantage is its price structure, which sees its average fares somewhere around 50% lower than those of the major carriers on short haul routes and 20% to 40% below those of most other lower cost competitors. 1. The airline operates on a low cost budget, flying more than 15 million people a year and offers services for leisure and business passengers and it flies to 100 top European routes . The easyJet Marketing Channels TV Advertising conveys a message that easyJet is the consumers friend and raises brand awareness. This cookie is set by GDPR Cookie Consent plugin. It urged travellers to cut out the travel agent. TABLE CONTENT ii Columbia Business School 0 Columbia University New York NY 10027- ok2018@columbia.edu This had a negative impact on customers, EasyJet has . Business ethics Future expansion 12 Porter Five Forces Analysis is a strategic management tool to analyze industry and understand underlying levers of profitability in a given industry. Also the condition of the world economy determines the nature of its marketing policies. [16] They later closed three of their bases. Recommendations: 15 Low-cost carrier The development prospects of low-cost airline like easyjet are promising the company is exploring in the dark becoming a good business success stories, Premium Despite some previous concerns about the purchase from key shareholders, the need to . Updated: Feb 28th, 2023. Its main strength resides in the fact that it flies to more primary airports on the top 100 European routes than any other carrier. But stakeholders can also be employees, bondholders, customers, suppliers and vendors. Pricing In terms of cost leadership, easyJet takes the second position after Ryan. Management A2 US Government and Politics A.J. 2.6.2.1 Employee protection laws (discrimination and health and safety) Easyjet Plc. While various amounts held determine their actual control of the business, Premium [18][19], In 1995, EasyJet was established by Stelios, being the first company in what would later become the easyGroup conglomerate. EasyGroup Holdings Ltd (the investment vehicle of the airlines founder, Greek-Cypriot businessman Stelios Haji-Ioannou, and his family) is the largest shareholder with a 15.269% stake (as of September 2021). 1.1 Introduction. In two years it was widely regarded as the model low-cost European airline and a strong competitor to ag carriers. The company sells its own tickets directly to the user trough the Internet, Premium easyJet As of March 2011, EasyJet Holidays has provided holidays and city breaks to all of the airline's routes. He threatened to call a general meeting to remove a director every three weeks unless subsequent action was taken. [36], On 28 October 2017, EasyJet announced it would lease 25 former Air Berlin A320 aircraft to operate across EasyJet Europe's network, under its European AOC. EasyJet has a unique geographical location because it was born in England. Strategic management They influence the companys decisions as they are the main say of it. [22] In October 2004, the FL Group, owner of the airlines Icelandair and Sterling, purchased an 8.4% stake in the airline. 3.5.2 Boarding the plane 10 EasyJet confirms, "The airline, along with subsidiary airline easyJet Switzerland, now operates over 200 aircrafts, mostly Airbus A319 5 ". The second "downstream" batch consists of both those who . Sort By: Satisfactory Essays. These cookies ensure basic functionalities and security features of the website, anonymously. Internal stakeholders are people who are on the inside of the business that already serve the organisation these include staff managers board members etc. CSR, credibility, employees' rights and legitimacy during a crisis: a critical analysis of British Airways, WizAir and EasyJet cases - Author: Rasha Kassem, Aly Salama, Chanaka N. Ganepola . Easyjet stakeholders Rating: 9,5/10 1687 reviews EasyJet is a low-cost British airline that was founded in 1995 and has since become one of the largest and most successful budget . They have expanded massively and now in England there are now over 3300 stores in the UK alone, Premium easyJet. [11][31][32][33][34], In June 2011, the airline opened its eleventh British base at London Southend Airport, offering flights to Alicante, Amsterdam, Barcelona, Belfast, Faro, Mlaga, Jersey, Palma de Mallorca and Ibiza. 4.2.2 BIBLIOGRAPHY The first "upstream" category includes everyone who must contribute to or approve the activities required to design, build, and bring the product to market. Strengths EasyJet has established a brand reputation for being the most economical airline in Europe. In 2006, the airline did not always refund tickets in a timely fashion. EasyJet focus its value proposition to business travelers around time savings. [18][20] Competitors responded to the emerging EasyJet in different ways; while BA was largely indifferent, KLM allegedly chose to respond with a predatory pricing strategy that led to an investigation by the European Union over unfair competitive practices. Southwest Airlines Other impacts 10 Easyjet offers a reliable, on-time travel service with value-added features. In the sense these parties anticipate many from the organization. [102] The company took delivery of the first A321neo on 18 July 2018 at the Farnborough International Airshow. Customers - they would want cheap flights that are comfortable and safe. Conclusion 13 Here is a useful summary: 1.Introduction Telephone The airline's loyalty programme is called Flight Club. Stakeholder, principles followed by Easyjet can be emulated and how. Low-cost carrier, As mentioned before Europe has around three thousand short-haul airlines meaning that the competition of easyJet can be very wide. easyJet Plc engages in the provision of passenger airline and carrier services. Pricing Bennett. Profit before tax - underlying ( million) 123.1 191.3 (35.7)%. Participating in the development of business processes, reporting, and training to bring easyJet Strategy to life. The vote confirmed a tentative order with the Toulouse plane maker, with Airbus announcing the firm order shortly afterward. DON SULL London Business School and Commentators Constantinos Markides Walter Kuemmerle Luis Cabral. [56][57], The Airline TV series created by LWT and filmed between 1999 and 2007 made EasyJet a household name in the United Kingdom. L) would need to merge or be taken over as the industry consolidates in the wake of the COVID-19 pandemic. The group will thus comprise three airlines, EasyJet UK, EasyJet Europe, and EasyJet Switzerland, all of which are owned by EasyJet plc, which is itself EU owned and controlled, listed on the London Stock Exchange, and based in the UK. 2008 2007 Change. WHAT ARE YOUR RESPONSIBILITIES TOWARDS EACH OF THE STAKEHOLDERS? [22][109][110], In December 2001, the airline switched from a third-party reservation system to an in-house system. This company bases its competitive strategy in cost leadership approach (supply same service at lower cost) and is double the size of easyJet in terms of profit. In any business stakeholders are of many types; falling either into a category of a shareholder customer employee government or general public. 3.2 Product and services 6 Premium Low-cost carrier, MATCH TO EVVIRONMENT & DEVELOPMENTS EasyJet company 1 EasyJet plc [5] (styled as easyJet) is a British multinational low-cost airline group headquartered at London Luton Airport. Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors. It is more suitable for students and ordinary income people. [20], In April 1996, the first wholly owned aircraft was delivered to EasyJet, enabling the company's first international route, to Amsterdam, which was operated in direct competition with rival airlines British Airways (BA) and Dutch flag carrier KLM. Identifying all of a firms stakeholders can be a daunting task. Passengers may purchase items on board from the "Eat Drink Shop" buy on board programme. [81], Following the UK's referendum vote to leave the European Union, EasyJet announced a plan to establish an Air Operator Certificate (AOC) in another EU member state. "The board has concluded that it is in the best interests of all stakeholders to secure the long-term . Based on the performance indicators outlined in Easy Jet's yearly report, the Kaplan and Norton method is chosen to classify airline's strategies. This will secure the flying rights of the 30% of EasyJet's network that remains wholly within and between EU states, excluding the UK. [22], EasyJet's aircraft cabins are configured in a single class, high density layout. Southwest Airlines Marketing It covers the main destinations of Europe offering around 27 different countries and main cities in, Premium [28], Originally, much like Southwest, EasyJet did not allocate seats passengers took any available seats, with the option to pay for "Speedy Boarding", which allowed them to be first onto the aircraft. 2. Technological impacts 8 Marketing This is a very healthy figure which might grow within the next years as a result of more and more people flying by budget airlines and positive image of Easyjet. Necessary cookies are absolutely essential for the website to function properly. Afrikaans; ; Asturianu; ; Catal; etina; Cymraeg; Dansk; Deutsch; Eesti; ; Espaol; Euskara; . Originally the company ran its operations absolutely on direct phone sales. Stakeholders are individuals (or groups) that can either impact the success and execution or are impacted by a product. A person group or organization that has interest or concern in an organization. Stakeholder Low-cost carrier, Case: EasyJet: Staying Ahead in the Pricing Game We will write a custom essay specifically for you. access_time21 junio, 2022. person. EasyJet These cookies track visitors across websites and collect information to provide customized ads. Southwest Airlines The cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. Stakeholder The key points of this business model are high aircraft utilisation, quick turnaround times, charging for extras (such as priority boarding, holding baggage, and food) and keeping operating costs low. Best EasyJet Topic Ideas & Essay Examples. From the annual report 2008 of Easyjet, it can be found that its total revenue is increasing for example- in 2008 Easyjet's total revenue was 2,362.8 million and in 2007 was 1,797.2 million but for recession it may reduce this year. Regarding his rumored annual pay of 740,000, it is believed he asked the board that it be reduced to 706,000, his predecessors last salary. [54], EasyJet's head office is Hangar 89 (H89), a building located on the grounds of London Luton Airport in Luton, Bedfordshire; the hangar is located 150 metres (490ft) from EasyLand, the previous headquarters of the airline. [22], On 5 November 2000, EasyJet was floated on the London Stock Exchange. [101] The current generation A320s and fifty of the A320neos will replace current A319 aircraft. Strategic management [62] However, there has been few announcements on the project since then. Picture 1. Easyjet was founded in 1995 by Sir Stelious Haji-Ioannou, it's a private limited company owned by Easy Group and it's also listed on the London Stock Exchange. School Number: 110131060 EasyJets Business Model Analysis Influences the aims and objectives of Tesco as they have a large say in the company so, Premium