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SWOT and PESTLE Analysis of Easy Jet

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Added on  2023/06/11

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This report provides a detailed analysis of Easy Jet, a British airline company, using SWOT and PESTLE frameworks. It discusses the strengths, weaknesses, opportunities, and threats of the company, as well as the external factors that affect it. The report also suggests leadership strategies that would suit Easy Jet, such as cost leadership and customer-focused strategies.

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Context of Business

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Table of Contents
INTRODUCTION................................................................................................................................2
MAIN BODY.......................................................................................................................................3
SWOT Analysis on Easy Jet.......................................................................................................3
PESTLE Analysis on Easy Jet ...................................................................................................5
How the changes in pestle has influenced the Opportunities and Threats business. ................6
How company can use its strengths to overcome the weakness and threats...............................7
Based on the analysis of the PESTEL factors, identify any two leadership that will suit the
business.......................................................................................................................................8
CONCLUSION....................................................................................................................................9
REFERENCES...................................................................................................................................10
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INTRODUCTION
The business can be defined as the administration or enterprises that are involved in contrasting
activates such as industrial, commercial and professional. business can be start in order to generate
profit and it can also be start whose motive is not to gain earnings like NGO. The business
beneficial for revenue generation, for the economic growth. The business is important in order to
improve the standard of living. A business strategy can be defined as the strategy formulation that
helps in running the business and help in achieving the goal and objectives of the company. It helps
in gaining the competitive advantage(Abdulaali, 2018). in this report Swot analysis of Easy jet
which is considered as the one of the biggest airline company is done and also include its pestle
analysis that helps in determining the external factors that affect the business of Easy jet. The report
explained how the changes in the pestle factor has creates the impact on the opportunities and
threats of the business because both opportunity and threats are considered as the external factors.
The file also contain the leadership strategies that the Easy jet follows and the importance of
corporate social responsibility.
MAIN BODY
SWOT Analysis on Easy Jet
It is a simple and productive tool of framework that helps in identifying the strength of the
business, weaknesses , opportunity and the threats of the firm. It is a form of technique that access
in finding the strength that an enterprise forms in order to enhance its competitive advantages in the
marketplace. It helps in determining the weak points of the company. The strength and weaknesses
are considered as the internal factors and opportunity and threats are considered as the external
factor that influences the business externally(AlMarwani, 2020).
Easy jet is British airline company which was founded in 1995. its headquarter is located in
Luton, England, united kingdom. Its subsidiaries companies are Easy Jet UK, Easy jet Europe and
many more. It is traded on the London stock exchange. It is operated in more than 30 countries with
1000 routes. It undergoes domestic as well as international airline services. SWOT of Easy jet helps
identifying different strengths of company. It helps in searching the different weaknesses of the
Easy jet such as financial weakness etc. the tool also helps in analysis various opportunity arriving
in the future and resolving the threats. They use value advantage, operational performance and
feature a primary main role in UK airports to supply predicted low fares that competitors. Easy jet is
of the biggest airways with inside the global with presence of 308 aircraft's, operation performed in
927 routes with greater than 30 nations and together with 153 airports. Easy jet include particularly
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professional body of workers of over 13000 people, together with 4000 pilots and 7000 cabin group
individuals gift currently(Bergstedt and Wei, 2020).
Strength
Strong capital base- as easy jet is considered as the one of the largest multinational airline
company. It has a powerful capital base with a market estimate of around 4 billion pounds
and net liquidity around 213 British pound.. It has strongest approval rating in the world for
airline.
Low cost model- the low cost model is followed by Easy jet, this is the reason that the
company has captured market share from legacy carriers. it include strong balance sheet as it
precede cost theory.
Customer loyalty- more than 13000 peoples are employees by easy jet. It has approx 4000
commercial pilots and have more than 7000 crew members. it follows the people
management strategy has contributed to customer loyalty, which is considered as the other
major strength of Easy Jet.
Weakness
Additional taxes sensibility-the business of easy jet are extremely sensible to additive taxes.
It has lower operation margin due to which government imposes different charges.
Criticism- the one of main weakness of the Easy Jet was criticism. It has been criticized by
the country Germany for not observing European law of compensation. The company did
not refund in case of delays of flights or cancellation or denied boarding. The company
suppose to return the money within on weak to the customers but it also does not refund the
amount of ticket in timely period.
Competition- there are lots of competition present in this sector. Easy Jet faces lots of
competitions from its competitors because of presence of various airline for the same
destination.
Opportunities
Easy jet academy- it can be considered as the opportunity of second source of income. The
company can provide different kinds of airline courses to the students who chooses the
profession of commercial pilot or other carer in relation to the airlines
Travel package- it can become a good opportunity for Easy jet in order to get the brand
awareness. By giving and Influences on easy jet hotels and holiday packages.
Expansion over Europe- expansion of work to foster specify over Europe in order to get
amended profile in their name and expansion in the revenue of business.
Threats
changes in government polices- due to change in the government policies, the company

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faces many issues. The main issue that the Easy jet face due to modification in the policies
of government is reduction in the business revenue.
Big Wales in same sector- there are major airlines present that provide more services than
easy jet in reasonable prices. This brings the competition in the market that decrease the
revenue of the business.
the high prices for aviation fuel-For a business to be successful, it must be able to operate at
an affordable cost. High fuel prices may threaten Easy Jet's ability to operate and deliver
what passengers expect of it.
PESTLE Analysis on Easy Jet
It is defined as the framework that is used to display the external marketing environmental
factors. It is also used for the identification of different types of threats and weaknesses that varies
in SWOT analysis(Betta, 2019). It can help to guide the employees and senior mangers in
strategical decision making with different scenario. Political, economical, social, technological,
environmental and legal factors are audited in it.
Alteration in macro-environmental cause can not only have a straightforward consequence
on Easy jet Plc, but affect others in the traveling sectors. They can affect an single institution
competitive advantage or the general gainfulness of the user services manufacture. it can impact
Porter's Five Forces that form strategy and the competitory viewpoint. The PESTEL analysis
provides a very detailed indication of the operational challenges. it prevailing large surroundings
other than agonistic forces.
Component that affect the organization externally are given as-
political- it play an essential role in deciding the factors which affectEasy jet Plc in a
specific state or market. The operation took by easy jet in fewer than a dozen nation and
explore to various kind of persuasion geographical area and system of political risk. The
political factors that affect the company are hazard of discipline penetration, rottenness,
bureaucracy and hindrance in travel, intelligence holding security, trade rule and tariffs
affiliated to work provided by consumers.
Economical- Element in the macro environment like inflation rate, savings rate, interest rate,
exchange rate and enterprise repeat find mass need and total finance in an economic system.
the micro-environmental component, such as business relation rules, affect the company's
competitive advantage(Hajizadeh, 2019). In order to forecast the development flight of not
only the country's body but also the system. Easy jet Plc can use the country's economical
part such as development rate, explosion, and business economic signal such as travel and
leisure industry growth rate, user disbursement, etc.
Social- aviation is considered as the very promising career choices I the United kingdom.
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Sexism is the only age old problem that remains in this. It is known as the field for man
dominant. From past year, the Easy jet is working on this pint. Their latest efforts consist of
web website hosting on line lectures for college students with inside the UK, in which
they've their woman pilots main the motive to offer youngsters a sensible portrayal of what
to anticipate on this profession desire in addition to to encourage greater younger ladies to
get into aviation.
Technological- Easy jet has launched an application on mobile through which passengers
can book their flights ticket by speaking on the app by the voice recognition method. It was
a voice feature that the user have to activate in order to use that. They have also claim that
they won the award for their application because of user friendly and convenient app.
Legal- Legal forces that set up to introduce what a business can do or cannot do. These
factors includes the legislation changes, impact on employment, import and export, taxation.
It includes both external and internal factor's side. The legal factors such as data protection,
cancellation and delay flights compensation, regulation of laws of flights and air passenger
duty flying out of the UK.
Environmental- This factor concerns the ecological impacts on business. Environmental
factors includes weather conditions, temperature, change in climate, pollution. Aviation is
the rapid growing sources of greenhouse gases which creates affect of change in climate.
Easy jet must ensure every factors such as noise control, environmentally social changes and
many more(Ongena and Ravesteyn, 2019).
How the changes in pestle has influenced the Opportunities and Threats business.
Factors Opportunity Threat
Political – Brexit The Brexit boost enabled the
Easy jet to grow their
enterprise beyond the
European Union.
The company sales is affected
by the trade restriction that
become a threat to the Easy jet
as imports and exercise duties
increased(Megheirkouni,
2018).
Economic- Inflation rate The prices of the tickets
increased as the Brexit offered
Easy jet an opportunity to
At that time, the emblem
misplaced numerous clients
after the COVID state of
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grow profit. affairs because of restrict at the
flights movement.
Social- Change in lifestyle There was a change in lifestyle
and trends which increases the
demand for the better services
and facilities which provided
an opportunity to easy jet for
developing product and
services in order to gain
customer satisfaction and
productivity.
In the same time the company
faced threat of several
competitors who were in the
same line of airline sector. The
Easy jet face threat of offering
flights according to
preferences of customers in
designs.
Technological- Machinery The use of machines gives the
company the opportunity to
create comfort and other
facilities to the customers
which can help in attracting
and developing of brand
equity.
The more technology
advances, the more difficult it
becomes for the Easy jet in
managing financial resources
as production costs rise, and
this leads to a addition in cost
that can reason the company to
suffer users.
Legal- Employment safety
laws
Offer possibility to draw
personnel because the agency
can gain personnel through
taking the wished precautions
and observe up of government-
proposed occupational
protection guidelines.
The deficiency of guard
cautiousness by Easy jet for its
employees can leads to a
danger and great loss can be
bear. It is required to take
attentiveness as activity can
harm the work(Matten and
Moon, 2020).
Environment- Sustainable
development
The institution activity
sustainable change for the
situation, which forms a good
picture for the institution. This
leads to the brand image and
The organization manufacture
procedure could be noxious for
social group. Since the
industry process of the
products can generate a carbon

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the organization can attract
more customers.
footprint that is harmful to the
environment, it can cause
problems for the company.
How company can use its strengths to overcome the weakness and threats
Easy jet Airlines' strengths offer aid to guarantee aggressive advantage and a gainful
business. For example, the Company's sturdy logo and ascend capin a position operations help the
Company's anticipated growth into extra industrial aviation markets((Krajcsák, 2019). However, the
weaknesses identified in this SWOT analysis indicate that Easy jet Airlines is following strategies
that limit the profitability and growth of the current business. However, the business enterprise has
the capability to develop through new techniques to income on possibilities with inside the
worldwide civil aviation marketplace such as: Business enlargement and the introduction of latest
partnerships. Still, threats with inside the enterprise surroundings are placing stress on Easy jet
Airlines to recollect progressive or radical techniques for long-time period enterprise success.
Considering the inner and outside elements on this SWOT analysis, it's far advised that the business
enterprise expands its operations to different aviation markets. This advice addresses Easy jet's
capability sales and profits boom through worldwide enlargement. Another emolument is to create
new alliances with different airways or complementary non-air corporations to growth the business
enterprise's attain with inside the worldwide marketplace(Jermsittiparsert, 2020).
Based on the analysis of the PESTEL factors, identify any two leadership that will suit the business
A cost leadership strategy is considered as the integral part of action which is made to produce and
distributes products and services at minimum cost, in relation to the competitors. Cost leadership is
easy Jet's most proven strategy, because customers expect low values from the company. Easy Jet
had to make large changes. In fact,it can't just get down interest rates without making changes. The
reason company has embraced its "Down Cost, No Ruff" approach, allowing users to get from A to
B without evaluate of anything else. The institution is ever striving to reduce its costs and repay 's
investments.(Wibowo, 2019).
Differentiation strategy is crucial because in this competing situation every business needs to
innovate to attract the customer and make them choose your business over the competition. Suggest
very reduced interest rates is portion of the differentiation strategy, with the aforementioned 'down
cost, no ruff' strategy. But the large transformation the organisation has successful that has
importantly transformed the airway business is the development electronic process. In fact, this
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solution not only allows for a reduction in staff, but also makes the customer's life much easier. He
or she can access the latest news at the best prices, check their reservations and compare prices
within two weeks. In addition, it attempt to distinguish itself in the functional prospect of the
institution and in the quality of service. According to Campbell, “We're low-price, low-price,
however we additionally need to be regarded for our operational excellence, our on-time overall
performance must be the great with inside the world. We will constantly lessen the price in keeping
with seat and growth our income in keeping with seat. Our notion to the customer is to be price-
powerful with care and comfort(Ulubeyli and Kazanci, 2018).
Discuss the importance of Corporate Social Responsibilities for your chosen business using
examples.
CSR is an essential topic current global check and is much obstinate at the full corporate level. "A
lot has varied in the field of CSR in the last 50 years, as it is very much a good of second half of the
20th time period."
CSR is technique which commercial enterprise under consideration troubles related to society and
the surroundings further to the greater conventional commercial enterprise issues of stockholder and
earnings. As a voluntary technique that commercial enterprise, it is strongly endorsed via way of
means of EU. CSR gives the capability to make a contribution to sustainable improvement without
more regulation(Sharma, 2019).
The information related to corporation social responsibility is given by easy jet. Easy jet
track the ambitious journey to minimize the footprint of environment on the ground as well as air.
Operating in an progressively environmentally aware Europe, can rightly demand to have one of the
immature and most economic fleets. Easy jet feels pleased the role he performs in helping shapes a
greener future for European aviation. On the other hand, Easy jet’s claims of having greener aircraft
have been misrepresented. Easy jet’s pledge to the atmosphere is a primacy. Easy Jet’s aim to make
sure extant enterprise is as green as possible, each with inside the air and at the ground, and to try to
locate attitudes to minimise its environmental effect with inside the future. Easy Jet’s environmental
impacts include the following: Atmospheric phenomenon gas emissions: (CO2), water vapour,
element oxide and nitrogen dioxide; Material emissions: sulphate and soot particles; Waste matter:
aircraft maintenance chemicals, craft waste and office waste; and sound" (Rowlinson, 2020).
.
CONCLUSION
From the above information, it has been concluded that business is the activity of trading
goods and services in order to generate profit. A business creates economic value by producing a
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specific products. In relation to the Easy jet, Easy jet is considered as the one of the largest airline
industry that provides different services to their clients. From the swot and pestle analysis it has
been concluded that easy jet have many strengths and weaknesses which considered as the internal
factors and they also have different opportunity and threats which are known as th external factors.
From the pestle analysis it has been concluded that Easy jet company is influenced by different
factors of external environment. The report states that Easy jet follows different types of leadership
strategies in order to gain competitive advantages and achieve the goals of the company. At last, it
also conclude that corporate social responsibility helps the company to sustain in the market.
REFERENCES
Abdulaali, A.R., 2018. The impact of intellectual capital on business organization. Academy of
Accounting and Financial Studies Journal, 22(6), pp.1-16.
AlMarwani, M., 2020. Pedagogical potential of SWOT analysis: An approach to teaching critical

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thinking. Thinking Skills and Creativity, 38, p.100741.
Bergstedt, K. and Wei, H., 2020. Leadership strategies to promote frontline nursing staff
engagement. Nursing Management, 51(2), pp.48-53.
Betta, M., 2019. Business, organization theory, and the current challenge of neocharisma. Business
and Society Review, 124(2), pp.261-281.
Hajizadeh, Y., 2019. Machine learning in oil and gas; a SWOT analysis approach. Journal of
Petroleum Science and Engineering, 176, pp.661-663.
Jermsittiparsert, K., 2020. Leadership and industry 4.0 as a tool to enhance organization
performance: Direct and indirect role of job satisfaction, competitive advantage and
business sustainability. In Agile Business Leadership Methods for Industry 4.0. Emerald
Publishing Limited.
Krajcsák, Z., 2019. Leadership strategies for enhancing employee commitment in TQM. Journal of
Management Development.
Matten, D. and Moon, J., 2020. Reflections on the 2018 decade award: The meaning and dynamics
of corporate social responsibility. Academy of management Review, 45(1), pp.7-28.
Megheirkouni, M., 2018. Self-leadership strategies and career success: insight on sports
organizations. Sport, Business and Management: An International Journal.
Ongena, G. and Ravesteyn, P., 2019. Business process management maturity and performance: A
multi group analysis of sectors and organization sizes. Business Process Management
Journal.
Rowlinson, M., 2020. Business history and organization theory. In Management and Industry (pp.
7-38). Routledge.
Sharma, E., 2019. A review of corporate social responsibility in developed and developing
nations. Corporate Social Responsibility and Environmental Management, 26(4), pp.712-
720.
Ulubeyli, S. and Kazanci, O., 2018. Holistic sustainability assessment of green building industry in
Turkey. Journal of Cleaner Production, 202, pp.197-212.
Wibowo, R.D., 2019. Identifikasi Risiko Baitul Maal Wa Tamwil Di Jawa Timur Menggunakan
Analisis Pestle (Perspektif Dinas Koperasi Provinsi Jawa Timur Dan Forum Koperasi
Syariah Provinsi Jawa Timur) (Doctoral dissertation, Universitas Airlangga).
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