Emirates Airlines (A Case Study)

This case study on Emirates Airlines discusses its environmental, economical, political, social and technological factors. It also evaluates its internal and external factors and discusses its offensive and defensive strategies.

Running head: EMIRATES AIRLINES (A CASE STUDY)
Emirates Airlines (A Case Study)
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2EMIRATES AIRLINES (A CASE STUDY)
Question 1
1. Environmental- It has been reported in many studies that around 12% of the emissions
of carbon, sulphur and nitrogen oxides are emitted from flights and air trafficking.
Operating three of the longest flights and being one of the most sought after airlines in
the middle east, Emirates is also exposed to the risks associated with changes in the
weather condition like temperature rises, hurricanes, hail storms (Beik & Galbraith,
2016).
2. Economical- As mentioned in the case study, the firm as faced with recession and
contraction of profits due to the negatively sloping trends prevalent in the industry.
However, Emirates managed to battle out the situation by increasing the number of
passengers by 4.7 million than the previous year and also increasing the amount of cargo
carried by 12.2% more than the previous year. However, being one of the fastest growing
airlines in the world, the firm is faced with variations in the exchange rates that affects
the revenue it collects.
3. Political- Though the Emirates Airlines is a government owned body but woks on a
commercial basis, and receives no support or help from the government, its workings are
holistically affected by changes in the government policies regarding airlines, oil prices
and air fare and passenger safety regulations.
4. Social- Socially, Emirates is responsible for connecting people of various sections
residing in different parts of the world and hence promoting amalgamation of cultures.
The frequent flyer program and the base of 5.72 million loyal customers speaks of its
worth at the social level.

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5. Technological- Technologically too, Emirates is advanced and continuously is trying to
invest, increase its base and come up with newer brands so as to provide connectivity all
over the world. Airbus 380, which is one of the world’s largest carriers is an example of
the same.
Question 2
Opportunities Weight Rating
Weighted
Score
Consolidation in Industries 10% 4 0.4
Increase of air travel in Dubai 25% 3 0.45
Increased world-wide demand 10% 2 0.2
Delivery of new aircraft 10% 2 0.2
Threats
Shrinking Profits 25% 3 0.75
Economic Downturn 20% 3 0.6
Total Weighted Score 100% 2.7
The above table represents the External Factor Evaluation (EFE) Matrix which represents the
opportunities and threats of the Emirates Airlines. As is shown in the table above, the firm has
extensive opportunities in the fields of consolidation in industries, a significant increase of air
travel in Dubai and also the Middle East and an increase in the overall world-wide demand.
Opportunities for the firm also lie in the area of expansion of capacity through delivery and

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production of new and more spacious aircrafts (Beik & Galbraith, 2016). However, the firm is
also faced with a number of challenges including shrinkage of profits and economic downturn
which can be detrimental to the firm. But according to the statistics mentioned in the case study,
the strategies already in place governing the operations of the firm are good enough to handle
and overcome these obstacles safely and in a non frictional manner.
Question 3
The internal factors evaluation of any firm consists of factors that either forms a favorable or
harmful impact on the business. These factors are integral within the firm and depend on the
operational and management strategies applied by the firm to handle the people as well as reach
the goals and objectives on a regular basis. The following factors determine the evaluation of the
firm:
 Organizational and Operational- Emirates essentially has two operational units under
the headings of Emirates Airline and Dnata, with a total of around 8000 employees only
under Dnata. The firm has operations related to cargo, ramp, passengers and technical
services and has received 400 awards for excellent management and service delivery.
 Strategic Risks- The risks of the firm include financial and technical risks. It also
involves the risks related to proper hiring and management of employees. Efficient
management of all the sections of the business and evolving disruptive business models is
very important in this case.
 Innovation- Emirates is continuously evolving and increasing its capacity wile altering
its services based on the changing and increasing customer demands. Introducing Airbus

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380 and increasing the fleet capacity has been some of the innovative strategies that the
firm has implemented
 Financial and Employee Risks- The financial risks faced by emirates India as
mentioned in the case study provided include decrease in profits due to increase in the
amount of recession and fluctuation of exchange rates. However, being one of the best
and toughest airline firms, it is able to cope up with the challenges and produce steady
profits every year.
Question 4
The offensive strategies implemented by the emirates Group are as follows:
 End-run- Even though the firm is one of the oldest and already provides services through
three of the longest flights to the busiest cities of Los Angeles, Houston and San
Francisco, the firm is still expanding its customer base by providing services to customers
across parts of the world that have not yet experienced its services. Introduction of Airbus
380 which makes the flying of passengers all over the world possible is an example of
such attempts made by the firm.
 Pre-emption- The firm being one of the oldest and the first few firms to enter the market,
it has inevitably and with the help of its top class operations already conquered most parts
of the market and has a huge base of clients.
The defensive strategies implied by the firm include:
 Exclusion- The firm provides some of the best arrangements to the customers as it is a
government owned firm even though it is run on a commercial basis. The firm provides
services to passengers, cargo and even in the form of postal carriages.

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 Features- The Frequent Flyer and The Fleet Extension program are examples of how the
firm is continuously evolving to meet the increased and changing demands of the
customers.
 Service and Advertising – The firm also tries to provide the best services and advertises
its features to attract the customers to gain their trust.

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References:
Beik, N., & Galbraith, J. (2016). Fan identification and the perception of the sponsor-team fit:
The case of Emirates Airlines and Arsenal FC.
Emirates.com (2018) Available online at: https://www.emirates.com/in/english/