Challenges Faced by Ryan Air: Solutions using Management Concepts and Theories

RYAN AIR

Table of Contents
TASKS..................................................................................................................................................3
1. Examining PESTEL & SWOT Analysis ................................................................................3
2. Analyse challenges faced by Ryan Air.........................................................................................5
3. Present solution for the analysed problem by using management concept and theories.............6
4. Present short summary on the written report...............................................................................8
CONCLUSION....................................................................................................................................9
REFERENCES ..................................................................................................................................10
Books & Journal:...........................................................................................................................10

INTRODUCTION
Business environment and management are essential for organisation and which require
time and skills to understand the concept. It is important to focus on factors of business
environment which drives the entity to achieve objectives in proper manner. Management is wider
& broader which include theories, models etc. Ryan Air, headquartered in Dublin is a leading airline
in the country which is operating its activities and subsidiaries across the globe. Strategies as well
as tactics are used by firm to overcome with challenges/ threats to survive in competitive market.
Entuty also has competitors like Virgin Atlantic, British Airlines etc. The R.Air firm provide
services and products at affordable to the cusomers so that business is able to carry out activties for
longer period of time. Firm operate its operations and earning profit by goodwill as well as
credatibility of the entity. This report includes PESTEL, SWOT Analysis, problem analysing of
firm, solution of the issues by using management theories and a short report.
TASKS
1. Examining PESTEL & SWOT Analysis
Every organisation wants to run business for longer period of time and survive in market for
operating functions and operations. So, new theories and models are applied in proper manner to
analyse the market activities and situations. PESTEL is used by Ryan Air which is discussed below-
PESTEL Analysis is framework used by organisation to identify the factors (external) which
affect the enterprise business at wider level. This tool helps firms to overcome with consequences
and issues which are faced by companies during marketing activities. This analysis has been
mentioned below-
 Political factors- There two types of factors which are involved in business which are
controllable and non-controllable by government factors. This political force is not
controllable by government and it comprises of environmental law, tax and trade policy etc.
In context to Ryan Air, organisation follows political policies of the country in appropriate
manner so that continuity of business stays for long period. Also, Brexit affected the
business at deep level due to its uncertain activities in the country.(Cepel, 2018).
 Economic Factors- Further come the economic factors which include inflation& deflation
trade, governmental activities, tax rates etc. Involvement of government is wider and it is
important to have proper awareness and knowledge of such factors so that firm carry out
their activities in appropriate manner. In relation with Ryan Air, the aviation industry was
affected a lot and cost of production increases which results in decrease in profit share.

(Hamilton, 2018).
 Social Factors- In this, it involves buying habits, size, taste, lifestyle, etc. These variables
are crucial in business so that market is examined properly and right marketing concept is
carried out effectively. Ryan Air focuses on these factors so that total satisfaction is given to
customers. Such as customers demand on high speed of airlines with short routes and this is
done only by proper considering market research where there is need as well as requirement
for the change. By examining these factors, it become easy for the firm to identify the
customers switching behaviour and their need as well as requirement.
 Technological Factors- In this factor, it comprises of advance use of tools and technology,
Adopting Artificial Intelligence etc. Yes, technology is essential for society and business as
well but due to excess use resources are touching the scale of scarcity. In context to Ryan
Air, they are enhancing their digital platform such as E-booking via websites and apps. It is
crucial for entities to improve their digital platform base so that there is ease of access to
national as well as international market. Degeree of exploring opprtunity will be enhanced
and acquisition of customers increases at rapid level.
 Environmental Factors- Another external factor which affect the organisation is
environmental factors in which temperature, pollution, weather etc. take place. In relation
with Ryan Air, they are affected by these forces and properly follow rules and regulation of
EU policy (Tóth, 2020).
 Legal Factors- In business, it is essential to keep eye on legal activities inside as well as
outside the firm. Laws, legislations drive the activities of business in appropriate manner so
that conflicts and errors do not arise. In context to Ryan Air, firm may has to follow rules
and regulations from both EU and UK due to Brexit. It is important to maintain these legal
factors so that business performs its functions and operations in proper manner.
SWOT Analysis
Every organisation wish to take competitive advantage in market to survive in this era of
competition. Market is expanding at rapid level and ample number of factors are involved which
affect the business growth. Enterprise use techniques and frameworks to analyse those factors
which are has impact on development and expansion (Trigkas,2020). SWOT Analysis is framework
used by Ryan Air to track and identify the strength, weakness, opportunity and threats. It is used by
entity as instrument tool so that market situation and uncertain activities are known. This
framework act as strategic planning tool and require skills as well as expertise knowledge. Degree
of competition is also analysed when SWOT is used by firm. It also track rivals and competitors