Strategic Management - Business Environment of Emirates Airlines

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Strategic Management
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Executive Summary
The report has been able to analyse the external as well as internal business environment of
the entire airlines industry wherein Emirates Airlines operates their business. In the
competitive business environment, the airline industry can face high level of challenges
which impacts the growth prospects of the company negatively. In such scenario, Emirates
Airlines has adopted the differentiation strategy which helps them in improving their status
and position in the market. In addition, the leadership of the Emirates Airlines is highly
efficient and the leaders such as CEO and the Chairman tries to communicate with the
employees and it will be impacting their business in an effective manner.

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Table of Contents
1. Summarization of Emirates Case Study.................................................................................3
2. Analysis of External and Internal Environment.....................................................................4
a) Analysis of Whether Vision of Emirates Airlines is Applicable in Present Circumstances
................................................................................................................................................4
b) Impact of External Environment on Emirate’s Strategy....................................................5
c) Analysis of Current Forces Affecting Ongoing Strategy of Emirates Airlines.................7
d) Implications of Threat of New Entrants in the Respective Industry..................................7
3. Capabilities of Emirates Airlines...........................................................................................8
a. Porter’s Generic Strategies of Emirates Airlines...............................................................8
b. Value Chain Analysis of Emirates Airlines and Challenges in Value Chain of Emirates
Airlines...................................................................................................................................9
c. Analysis of Tangible, IntangibleResources and Organizational Capabilities of Emirates
Airlines.................................................................................................................................11
d. VRIN Analysis of Emirates Airlines for Sustaining Competitive Advantage.................12
e. Assessment of Effectiveness of Leadership of Emirates Airlines....................................13
References................................................................................................................................15

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1. Summarization of Emirates Case Study
Emirates Airlines has been considered to be the three Middle East Carriers which
were taken by one of the major United States Airlines in the report which was being out on
March 5th, 2015. The report was helpful in charging the flagship airline of Dubai, along with
the Ethihad Airways along with Qatar Airways, which had received more than $42 billion in
the government related grants and the tax related breaks since the year 2004. After the claim
that it is providing the unfair type of advantage to the entire state state-owned airlines, the
U.S Airlines demanded the fact that the different treaties related to open skies which had
allowed the respective three airlines namely Emirates, Ethihad and Qatar. These are the ones
which had proper admittance to the United States and it needs to be renegotiated for
curtailing the further expansion in the country successfully (Zhao et al. 2017).
In addition, no airline company has not been able to grow like Emirates Airlines and
in a particular manner, Emirates along with the different other upstarts such as Ethihad and
Qatar Airways had been able to manage over the few years for radically redrawing map of the
world. Recently, a new terminal was being constructed with more than $4.5 billion for just
accommodating the 224 Emirates Aircraft which flew out to 145 destinations in the entire
world (Trigeorgis and Reuer 2017). The roots of the Emirates Airlines are required to be
tracked back to the Gulf Air that was the formidable airlines which was owned by
government of Bahrain, Qatar, Abu Dhabi along with Oman.
From the case study, it has been noticed that Emirates has been capable of striving to
provide the customers with the best kind of experience to their passengers in the various
sections of the entire aircraft. It is considered to be the first aircraft for offering the customers
with the in-flight television viewing experience. Emirates Airlines have been successful in
creating a sense of effectiveness in the different aspects which are being managed by the