Evaluation of Budget Airline EasyJet: SWOT and Pestle Analysis

Budget
Airline

Table of Contents
Table of Contents.............................................................................................................................2
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Swot and Pestle analysis:.............................................................................................................3
Evaluation of changes in factors of Pestle and its influence in opportunities and threats of
business:.......................................................................................................................................6
Comparing and contrasting various style of leadership:..............................................................7
Recommending a suitable leadership style for company:...........................................................8
Commenting on responsibility, response as well as obligations in context to ethics as well as
social responsibilities in the procedure at an organization:.........................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
A budget airline which can also be termed as low-cost carrier refers to an airline that tries
for keeping its prices as well as fares which is lower in comparison to its competitors. Budget
airlines generally do it by doesn’t offering services such as, free food as well as drink in a flight.
Apart from it, keeping low fines for airports by the way of keeping it on accurate
time. Therefore, airlines of low-cost can be described as airlines which offers flights at a lower
rate of price in comparison to more of a reputable airline. Hence it can be stated that, customers
hence have to somewhere cut its corners and hence forego its comforts such as, legroom as well
as free drinks. Such type of concept can be termed as no-frills concept (Dube and Nhamo,
2019). This report is based on evaluation of budget airline named, EasyJet. Entity is founded in
the year 1995 by Stelios Haji-Ioannou. It is headquartered in United Kingdom.
This report covers conduction of swot and pestle analysis for the budget airline. Further,
changes in factors of pestle and its opportunities as well as threats in business is evaluated. Apart
from it, different styles of leadership are compared as well as contrasted and comment is
provided on current leadership as well as management style of an organization. In addition to it,
recommendation is provided for a suitable style of leadership which matches style of
management and helps business in growing. Lastly, this report involves comment on
responsibility, response as well as obligations in relevance to ethics or social responsibilities in
the procedure at the organization by utilizing evidence from the research.
MAIN BODY
Swot and Pestle analysis:
SWOT: SWOT analysis can be defined as a technique of strategic planning which is
utilized for the purpose of helping an organization in context to identification of strengths,
weaknesses, opportunities, as well as threats which are related to competition and project
planning of an entity. This technique or tool is designed for the purpose of utilizing in
preliminary stages of processes of decision-making as well as can be utilized as a tool that
enables evaluation for strategic position of an entity of various kinds, which involves, profit
enterprises, national or local governments, Non-Government Organizations and many more
(Sulphey, 2020). It is intended for the purpose of specifying the goals of an organizational

venture and helps in identification of internal as well as external factors which are favourable or
unfavourable for achieving such objectives.
Strengths Weaknesses
 Main advantage which is associated
with EasyJet is regarding its price
structure. average fares of a company
are somewhere around 50 percent
lower in comparison to that of major
carriers on routes of short-haul.
 Cost per seat of an organization is its
advantage because major flag carriers
comes up as to average price
differential.
 fleet of EasyJet consists of single
aircraft family, Airbus A320, which
provides advantages in context to crew
certification as well as training and
maintenance.
 Earnings of EasyJet are highly
seasonal, along with it profit of
business is relied on a strong summer,
i.e., half year which indicates (April to
September) for offsetting a loss-
making winter, i.e., (October to
March). It makes it vulnerable for any
unexpected problems for summer in
an industry which is beset by the ‘one-
offs’.
 Disputes in the recent years among
Stelios and management which
generated adverse publicity as well as
arguably damaged brand image of an
organization, in particular where
business drew attention towards
factors which indicates poor on-time
performance.
Opportunities Threats
 Although notoriously cyclical as well
as currently passing through a phase
which is sluggish, it can be stated that
the aviation sector still remains an
industry which is growing in the
medium term to long term, through
common consensus. EasyJet, refers to
 Presence of EasyJet at various high
cost airports which are primary, most
of it enjoy regulatory increment in
price, and hence provides a headwind
for driving to streamlining its costs.
 As airline is growing and business
model of it has been developed which