Family Life Cycle:Bachelors, married, working women, office working people, old age people are the targets. Emirates Airlines SWOT and PESTLE analysis has been conducted and reviewed by senior analysts from Barakaat Consulting. The airline operates more than 3400 flights per week. accessibility__clear-input__text, Group revenue of AED 35.6 billion (US$ 9.7 billion) impacted by worldwide travel restrictions and border closures during the entire financial year, Results impacted by one-time impairment charges of AED 1.5 billion on Groups non-financial assets, Ends year with solid cash balance of AED 19.8 billion (US$ 5.4 billion), Revenue declined by 66% to AED 30.9 billion (US$ 8.4 billion), due to the temporary suspension of passenger flights at its hub in March 2020 and ongoing global travel restrictions, Airline capacity reduced to 24.8 billion ATKMs, with aircraft fleet size reduced by 11 aircraft, Revenue declined by 62% to AED 5.5 billion (US$ 1.5 billion), reflecting the pandemic impact across all business divisions in the UAE and worldwide, Expands global footprint with the full acquisition of Destination Asia, and the opening of new catering and retail facilities, For the first time in the Groups history, redundancies were implemented across all parts of the business. They pay they gives to their employees are merit base pay as well as the pure performance based pay. dnatasInternational Airport Operations division revenue declined by 43% to AED2.3 billion (US$617 million), reflecting the broad impact of the global pandemic across markets. We invest deep in order to bring you insightful research which can add tangible value to your business or academic goals, at such affordable pricing. The reason is that to know on which basis these organizations position their products. The three strategies will be analyzed to determine their suitability, acceptability, and feasibility in the commercial aviation context. Moreover, we have to look which need is least and which one is of most importance. Some of the major contributor factor to this growing economy are the different sectors in the country i.e. oil and gas sector, tourisms sector, transportation industry, education sector, trade sector, foreign direct investment, as well as many other sectors(). During the year, dnata completed the purchase of Destination Asia, bringing one of Southeast Asias top destination management companies fully under the dnata Travel Group umbrella. The huge capital investments constitute another barrier to new entry. dnata continued to lay the foundations for future growth with investments in 2020-21 amounting to AED 328 million (US$ 89 million). In 2020-21, the Group collectively investedAED4.7 billion(US$1.3 billion) in new aircraft and facilities, the acquisition of companies, and the latest technologies to position the business for recovery and future growth. 1. This section of the report will in-detail analyze some of the major direct and indirect competitors of Emirates Airline. Thus, supplier power is significant. Our economic impact Please click here for more information. While, Etihad Airways is the second brand in term of quality, good will and other mentioned factors in the mind of people. Emirates received a capital injection of AED 11.3 billion (US$ 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. Our academic experts are ready and waiting to assist with any writing project you may have. According to an article it is clearly mention that Etihad along with Emirate Airline are providing tough time to its competitors. Consumer behavior is the acts and decision processes of the consumer which they shows during the purchase the product as well as services. 1. It employs a hybrid pricing strategy for its ticket prices for the economy and business classes. Emirates Airline is a national carrier; therefore, it enjoys the government support (monarchy). Therefore we take the rating scale of 1-10 to rate these factors. You are free to use it for research and reference purposes in order to write your own paper; however, you 1 Paper Number: 109 Analysis of Airport Stakeholders David Schaar (Ph.D. It is the process of dividing potentialmarketsor consumers into specific groups and offering product according to their needs. 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. Emirates Airlines Revenue : AED 35.5 billion - FY ending 31st March 2021 (y-o-y growth -65.8%) AED 104.3 billion - FY ending 31st March 2020 (y-o-y growth -4.8%) AED 109.3 billion - FY ending 31st March 2019 Competitive Analysis of Emirates Airlines SWOT PESTLE The SWOT analysis for Emirates Airlines is given below: Sample Complete Report However, the country has successfully take out itself from the economic crisis of 2008 and 2009, which was mostly due to world economic crisis and decline in trade. Candidate), not member IEEE, Lance Sherry (Ph.D.), Member, IEEE is delivered to customers, and ultimately supporting the Abstract Airports are of significant economic importance to growth of the regional economy (Figure 1). dnata Travel Group continued to secure growth opportunities. They helped me with my custom research and delivered before time! The acceptability of a strategic choice evaluates stakeholder expectations to determine their reactions and anticipated returns or risks (Slack, Chambers & Johnston 2004). Kotler, P & Keller, K 2011, Marketing Management, Prentice Hall, New York. Web. Their position in the market is better than its competitors. Freight yield per Freight Tonne Kilometre (FTKM) increased strongly by 88%, due to the unique pandemic situation which led to significantly reduced cargo capacity in the market worldwide. Web. 2011). Therefore, their employees are also loyal to the company (Group, 2011). Emirates order book for 200 aircraft remains unchanged at this time. Web. In addition to supporting global supply chains for food, medical and other trade items, Emirates SkyCargo also tapped on its pharma capabilities and infrastructure to support the worldwide distribution of COVID-19 vaccines and humanitarian relief to Lebanon in the aftermath of the Port of Beirut explosions. Retrieved from https://ivypanda.com/essays/emirates-airlines-strategic-choices-and-decisions/. Moreover, another pricing strategy that Emirate airline is following is the premium pricing strategy (Emirates flight pricing & sales strategy, 2014). Competition from low-cost carriers (LCC) like Jazeera Airways and Air Arabia reduces the profits of carriers that offer long-haul services, such as Emirates. The business saw a positive operating cash flow of AED 10 million (US$ 3 million) in 2020-21 despite the sharp decline in revenues and the unprecedented volumes of refunds in its travel division. Accept cookies to experience the full functionality of this page. of the United Arab Commitment to eco-efficiency through major investments and initiatives, Emirates Airlines Porter's Five Forces Analysis, Emirates Airlines Covid-19 Impact Analysis, Emirates Airlines Segmentation, Targeting and Positioning (STP) Analysis. This report is shared in order to give you an idea of what the complete Risk Analysis Report will cover after purchase. Diversification is referred as offering new services to new market. Connectivity, competition and consumer choice - https://www.emirates.com/english/about-us/government-affairs.aspx. Moreover, the airline always try to remain first in adopting new technologies and providing unique services. * By clicking on "Buy Now" you agree to accept our ", On purchase the Emirates Airlines SWOT & PESTLE Analysis PDF report will reach you. 391-398. Holistic Analysis Economically the country has seen many ups and down in the previous years. These forces include the customers of the company, company itself, its competitors, the market intermediaries and many other stakeholders (Global Marketing Environmental Factors Affecting Marketing Strategy, 2013). Are you looking for a report which is not covered on our website? Thus, the LCC-dominated markets in Asia, including China, India, Malaysia, and the Philippines, are potential destinations for Emirates (Damuri & Anas 2008). 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. This report is shared in order to give you an idea of what the complete Ansoff Matrix Analysis Report will cover after purchase. Its airport services brand, marhaba, opened an expanded and refurbished lounge at Dubai International airport, and expanded its international network with a new lounge in Manilas Ninoy Aquino International Airport. !-Keith GrencherBirmingham Business School. Micro forces are closer to company and have influence on company ability to full fill its customers needs and wants. Additionally, Emirates has expanded its global reach through partnerships and codeshare agreements with various airlines worldwide. 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. Emirates has roped in digital agency Amaze in 2015 to enhance its global digital platforms as part of its broader omni-channel strategy. Meet & Greet Opens an external link in a new tab, Eurail Opens an external link in a new tab, Media centre Opens an external link in a new tab, Careers Opens an external link in a new tab, The Emirates Airline Foundation Opens an external link in a new tab, Skywards Exclusives Opens an external link in a new tab, COVID-19 information and disrupted travel. It involves identifying the internal and external factors that can affect a ventures success or failure and analyzing them to develop a strategic plan. With the only aim of providing the quality services as well as the comfortable journey to its travelers the airline is the leading airline of Middle East region. 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. The government has also establish a trade free zone for conducting businesses activities. Positioning referred as the creating the image of the product in the mind of the customers as well as the consumers. Maximova (2019) opined that stakeholders' analysis can be regarded as a tool for generating ideas about actors or individuals to analyse and understand their intentions, behaviours, interests and relations; accessing the influence they bring on decision-making and . Labour force, which comprises engineers and pilots, tends to be unionized. Omni-channel strategy for seamless customer experience: Omni channel strategies are all about providing customers with a seamless experience. Emirates Airline is renowned for its superior in-flight services globally. Different sub-types of passengers have been identified (Neufville & Odoni 2003; pp. In Singapore and Australia, it introduced new high-tech cool dollies to enhance its pharma and perishables handling capability; in Italy its subsidiary, Airport Handling SpA, partnered with Beta Trans to provide full cargo services to customers at Milan Malpensa Airport; and in Indonesia, dnata entered the market through a partnership with PT UNEX Rajawali Indonesia (UNEX) where both entities will make joint investments in ground handling facilities, equipment, and training. Emirates should continue improving its on-board facilities, e.g., entertainment and communication (Wi-Fi), and catering services to maintain its strong competitive position. The main stakeholders include the Dubai government, company management, passengers, travel agents, aircraft providers, and staff. Therefore, Emirate Airline has considered that also as Etihad may become threat for the Emirate Airline in future. Today the economy of the country is growing on fastest pace and the recorded economy in 2013 was 4.4 percent, which was expected to reach at 4.8 percent this year. The airline is also the 10th largest airline in the world in term of travels who travel every week from this airline. Overall, the threat of substitutes is high in this industry. Emirates 2012, Airlines and Subsidy: Our Position. Emirates management, which features experienced practitioners, is likely to accept measures that strengthen the airlines competitive position (Emirates Group 2015). Air canada- Digital Marketing Strategy Keshav Arora 1.9K . Emirates invested to upgrade its signature A380 experience with new Premium Economy seats and other product enhancements. Moreover, positioning referred as factors on which companies differentiate their brand from their competitors. Technological Environment AND Natural Environment. 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. Free resources to assist you with your university studies! Web. They can impact rivalry by hiking prices or producing low-quality goods. 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). Our philosophy relating to international aviation policy and a move towards open skies can be summarised by a quote from the . Cost of ownership (depreciation and amortisation) and employee cost were the two biggest cost components for the airline in 2020-21, followed by fuel, which accounted for 14% of operating costs compared to 31% in 2019-20. The number domestic, regional, international carriers keep on increasing. This report is shared in order to give you an idea of what the complete Porter's Five Forces Analysis Report will cover after purchase. Over 37 airlines serve Dubai. Efficient passenger support systems and functions: Reliability and efficiency of passenger support systems and functions is critical for the operations and business continuity of an airline. The SWOT analysis for Emirates Airlines is given below: This is the sample complete report which will give you a glimpse of what your complete report will cover after purchase. The wholesaler and retailer through the use of their cargo services send their products to end customer. Society has also great influencer on purchasing decision of consumers in different situations. More and more countries are recognising that liberal air access has a multiplier effect on their economics and protection of their national carriers no longer stacks up in the cost-benefit equation or serves their national interest. In today world every organization is engaged in competition. 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. Therefore, people choice regarding whether to travel through this airline or any other and if yes whether to travel through economic class or business class totally depended on these factors i.e. on the income and their way of living (Personal Factors Affecting Buyers Behavior, 2010). The introduction of new technology will also affect the airline industry in positive as well as negative way. Lovestock, H, Wirz, L & Keh, P 2002, Service Marketing in Asia: Managing People, Technology & Strategy, Prentice Hall, New York. 2. dnatasCatering business accountedfor AED1.0 billion (US$285 million) of dnatas revenue,significantly down by 68%. The Emirates story started in 1985 when we launched operations with just two aircraft. You can use the following in your reference section in order to give credit to the source. Totaloperating costs decreased by46% from last financial year. And, as they also cargo carrier then their major aim is also provide on time delivery to its customers. student. 205-211. Web. Strengthening presence in the low-cost segment, Check out the SWOT Analysis of Global Businesses. 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. Stakeholder Analysis (SA) is a methodology used to facilitate institutional and policy reform processes by accounting for and often incorporating the needs of those who have a 'stake' or an interest in the reforms under consideration. The detailed complete set of references are available on request in the 'Complete report' on purchase. Web. We ask sample of 15 people to rate out competitors brands and our brand price quality on rating scale of 1 to 5. Keep it up! 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. In recent years, the airline has received numerous awards for its in-flight entertainment system (ICE) and exceptional service. There is a good chance the Dubai government will accept the strategies that enhance the government-owned carrier. dnatas cargo handling declined by 18% to 575,000 tonnes, reflecting the reduced available flight capacity in the overall air cargo market over the year. The Emirates Group. Moreover, it has also provide lot of opportunities for foreign investors. The airline has adopted the IATA-recommended guideline dubbed Simplifying the Business or StB to further improve the efficiency of its pre-flight lounge services. Passengers will readily accept cheaper, but quality schemes that include improved in-flight/lounge services. From long ago the airline is applying full fledge marketing strategies to ensure the quality services they are providing to their clients. Strong supply chain partnerships, e.g., with aircraft manufacturers, like Boeing, Integrated hotel & tourism services (5-star hotels), Primary user of the Dubai international airport an important stopover for travellers, High debt burden (up to 42.4bn Dirham in FY2014) that affects its expansion efforts, Risky acquisitions and diversification actions, Weak HR processes relies on low-wage labour for baggage handling, Declining liquidity level current ratio dropped by 21.8% to 0.8 in 2014, Huge market in China a fast-growing economy with tourist destinations, Market opportunities in the Travel & Tourism sector Dubai visitors, Partnerships (horizontal integration) with airlines like Jet Blue to minimize operational costs (strategic option 1), Rivalry from established national (Etihad), regional, and international carriers, Global recession trends in China and the EU. Copyright of Emirates Airlines SWOT and PESTLE Analysis is the property of Barakaat Consulting. dnata continued to win new contracts in 2020-21. 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. Auckland International Airport SWOT & PESTLE Analysis, Royal Jordanian Airlines SWOT & PESTLE Analysis, Yansab (Yanbu National Petrochemical Company) SWOT & PESTLE Analysis, Sharjah Islamic Bank SWOT & PESTLE Analysis, Emirates National Oil Company (ENOC) SWOT & PESTLE Analysis, 1. Increasing fuel costs has impact on margins 3. We're here to answer any questions you have about our services. In the UAE, national regulations and industry requirements act as barriers to new entry. Porter, M 2008, The Five Competitive Forces That Shape Strategy, Harvard Business Review, vol. In very short time span the company has establish it some a major competitor of other airlines. Therefore, the section in detail analysis the potential customer of this airline and the different factors that affect their purchase decisions. Over the time they have built strong relationship with their customers. Omni-channel strategy for seamless customer experience, 1. IvyPanda. At the end of 2020-21, Emirates SkyCargos total freighter fleetstood unchanged at 11Boeing 777Fs. Working closely with aviation stakeholders to design and implement bio-safety measures, Emirates gradually restored its passenger network and hub connectivity from mid-June 2020 as the UAE re-opened for transit travellers and later for international arrivals. In short, stakeholder theory presents an opportunity to infuse business analysis with ethical standards ( Freeman, 2015 ). Do you have a 2:1 degree or higher? Nevertheless, shareholder value retains a tenacious hold on the minds of investors. Segmentation, Targeting and Positioning (STP) Analysis Report. 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. Need Strategic Analysis for this company? If you need assistance with writing your essay, our professional essay writing service is here to help! They also follow Informative Advertising: where they try to create brand awareness and knowledge of new products or new features of existing products. 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. and the flag carrier This report presents a strategic analysis of Emirates Airline, a Dubai-based national carrier with operations in three segments: airline, in-flight, and all other (MarketLine 2014, para. The main point that has to be cover are as follows: first thing that is required, is the identification of the targeted audience. Emirates Group 2015, Leadership: The Senior Management Team. The largest airline 2023 The Emirates Group. The threats in the SWOT Analysis of Emirates are as mentioned: 1. This report is shared in order to give you an idea of what the complete Subsidiaries, Partnerships and Collaborations Report will cover after purchase. Dubai based airline company is the subsidiary of Emirates Groups. The aviation industry has only two aircraft manufacturers, Boeing and Airbus. Buying activities are deeply influenced by cultural factors such as: culture, subculture, and social class. Emirates Airlines Financial Transparency - https://www.emirates.com/in/english/about-us/business-model/financial-transparency.aspx, 4. (Special Needs | Essential Information | Emirates Online Booking and Planning | Emirates, 2014). The airline in 1985 e started its operations, when in mid-1980s the Gulf Air cutback to Dubai. For example Emirate Airline has succeed to avoid its prices matching with what other airlines are offering product to customers at lower price. During the year, it launched numerous customer initiatives such as: providing the industrys first complimentary COVID-19 medical cover for all passengers; waiving fees so customers can rebook their travel without penalty; expediting refunds handling; and fast-tracking biometric processing and other technology projects that enhanced the travel experience while reducing contact at airport touchpoints.
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