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Strategic Management in Diverse Sectors

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Added on  2020/02/05

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This assignment delves into the broad applications of strategic management across various sectors. It examines case studies from healthcare, biodiversity conservation (protected areas), and online businesses. The readings cover topics such as risk abatement in family firms, Hoshin Kanri system implementation, and promoting program gap awareness. The assignment aims to demonstrate the adaptability and importance of strategic management principles in diverse organizational contexts.

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STRATEGIC
MANAGEMENT

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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK...............................................................................................................................................3
1. Competitive strategy that Emirates Airlines have utilised in order to develop their current
competitive position....................................................................................................................3
2. Evaluate the competitive strategy that Emirates Airlines have utilised in the development of
their competitive position and its advantages and limitations ...................................................5
3. Recommendations for ways forward for the organisation......................................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
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INTRODUCTION
Emirates Airlines have been one of the finest airline services operated in and across the
Middle East, the Americas, Europe, Africa and the Asia-Pacific continents. They are famous for
providing world class services to the customers in form of passenger and air cargo services to
almost 144 different destinations around the globe. The company is a part of the Emirates Group,
which is under the complete ownership of Dubai Government's Investment Corporation of Dubai
(Chang and Jennings, 2014). The company has several subsidiaries running under them and they
are Arabian Adventures, Emirates Holidays, Congress Solutions International and Emirate
Tours. The company's headquarter is situated in Garhoud, Dubai in the UAE. The Middle East's
largest airlines company also sponsors some major sports teams like Real Madrid FC, Paris Saint
German FC and many others. They have been well known in the airlines industry for their two
major segments. Those segments where they are famous for are airline and in-flight catering.
The company has been sharing code agreements with other major airlines, such as, Air Malta,
Bangkok Airways, Jet Airways, Korean Air, Oman Air, Qanta's, TAP Portugal , Thai Airways
International, and many others. This project will be dealing about the Emirates Airlines and their
strategies that help them be unique from the competitors in the airlines industry. There will be an
assessment of the advantages and disadvantages of the airline industry and the company in
comparison with the other firms in the field.
TASK
1. Competitive strategy that Emirates Airlines have utilised in order to develop their current
competitive position
Emirates Airlines have been serving their customer in a precious manner since 1985,
since it started its services. There were times that the competitors used to take over them as in
case it happened in 1980 and by 1985, the Emirates Airlines got back on track in full form. The
company used to be the world's seventh largest airline in terms of the passenger carried
internationally (Galliers and Leidner, 2014). The firm held the same position in terms of the
scheduled freight tonne- kilometres and scheduled international kilometre flown. The
organization's parent company has been a very proving essence of the company's development
and other strategies applicable in the airline and its concerned services. The company's parent
company is one of the organization under the control of the national government and the
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government of Dubai is famous for their innovations in the rules and regulations in the national
constitution (Hong, 2014).
The Emirates Airlines also holds the undertaking of its subsidiaries and that are related
with the travelling and tourism sector itself. Arabian Adventures is an international aviation
based company would help the airline business a base on which they would convert the
consumers of the aviation business to customers on the airlines. The Emirates Holidays is also
another service related to the travelling and tourism sector, where the Emirates Group provides
holiday package with both national and international approach. Emirates Holidays has been
serving the customers with holiday packages with all world class amenities provided by their
own parent company and providing enriched facilities of airline services, in-flight catering and
other travelling and hospitality service all by the same company.
There may be no other airline company than the Emirates Airlines that provides all these
services under the same roof. The customers may not have to run to multiple companies to plan
their tour to a place. They can ticket to the destinations with Emirates Airlines, they could book
their hotel rooms here at the destination with the Emirates Hotel services, they can plan their
vacations at a variety of place with Emirates Holidays and in the same way all their travelling
concerned services are done with a visit to the Emirates Airlines centre. Therefore, the strategies
as per to the travel and tourism sector applied by the Emirates Airline seems successful in
gaining more customers in comparison with their competitors (Johnsen, 2015).
There are various types of competitive strategies. Three major amongst them are
classified as cost leadership , differentiation and focus. Cost leadership is where the firm may
decide to emerge as a producer applying the lowest cost possible. The cost sources applicable in
the production and operations are variable according to the industry and its structure. They are
inclusive of economy scale pursuits, preferred access to raw materials, proprietary technology
and such other factors affecting the business. Such companies could exploit any resources in
order to take low cost advantages. A firm could be an above average performer in the industry ,
if in case they achieve success in sustaining overall cost leadership and can command prices near
to the industrial average (Kaplan and Norton, 2016).
Differentiation is the strategy where the the firm must make a difference and be unique in
the industry and and make certain dimensions that are valued by the customers in the particular
field. They select one or more factors that the customers of their industry prefers to be important

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and it could position themselves uniquely in the same way they are applying strategies. The
reward they would receive for their uniqueness would be in premium prices.
The competitive strategy where the strategy is classified by where the company is
focusing on serving the users in the industry where the narrow competitive scope exists (Kumar,
Adhish and Deoki, 2014). The focus is kept on a segment or a group of them by the organization
in the industry and creates strategies excluding others.
2. Evaluate the competitive strategy that Emirates Airlines have utilised in the development of
their competitive position and its advantages and limitations
As the company, Emirates Airlines are basing their strategies on focus strategies by
putting their focus on the major functions that could impress the customers. The most focused
part in the airline industry based to create competitive strategies by the Emirates Airlines are
airline services, in-flight catering and all other segments. But the mentioned segments are the
most impressive sections of the services provided by the company (Le Saout and et.al, 2013).
The subsidies under the Emirates Airlines are also a part of their competitive strategies, not by
the airline company, but by the parent company of this major airline company, the Emirates
Group. The Emirates Group holds the ownership of principal subsidiaries that includes Maritime
and Mercantile International, Emirates Leisure Retail Holding, Emirates Hotel and Emirates
Flight Catering Company.
It is clearly visible that the parent company has been very wise in classifying every
company by different divisions based on the services they provide in the industry line. All the
subsidiaries are a part of airlines and the services they provide are also concerned with travel and
tourism, hospitality and catering, all related to airlines. There is an essence of differentiation too
in the strategic application in the organization as there are no other company in the industry
providing all in one facilities (Longo and Rotolo, 2016). The customers have been considering
multiple companies to meet their aviation, airline, hotel booking and holiday packages, and when
they got all in a same firm, they could more interestingly prefer that instead of wasting time
roaming to place to place getting their stuff done for their trip (Melander and et.al, 2016).
Every generic strategic applicable in organizations are having certain advantages that can
potentially enhance the factors towards the success of the company and limitations that would
delay or completely make it unable the achievements of the organizational objectives of the
firm. As for the reason, focus differentiation provides services or the products that are
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completely not available in the products manufactured by the competitors, the company could
charge a heavy price for the the service with a difference provided to the customers (Pan, Sivo
and Goldsmith, 2016). The customer couldn't definitely avail the same or most similar services
from the competitors and thus, the customer will be relying completely on the services provided
by the company even though the price is comparatively much higher than the costs of the
services provided by the competitors. The Emirates Airlines, well known for providing all in one
services in the travel and tourism sector from aviation services to hospitality and holiday services
and there are very few other organizations who provides such kind of services but either their
quality is not satisfactory or the services are not available to the major countries.
Another merit point of focus strategy is that once they establish such a strategy focusing
on the functions and operations that must be impressive to gain more customers and they keep
following them for a long period, they would end up specializing in that particular part of their
service and will be popular for that. They will be developing expertise in that part of the services
and could come up with various innovative techniques by their own organizational terms.
As advantages are a part of generic strategies, so are limitations. Limited demand can be
mentioned as one of the major disadvantages of focus strategy applied in organizations. The
organization may be availed by only a minor part of the market segment and it can lead to
problems. The first of those problems are the firm will be facing major obstacles on the way to
their growth and accomplishment of objectives. At a time the targeted market segment is served
well, the company must be looking forward to expand their market is the only way to growth.
This is a situation where only the fresh skills developed could help you achieve the growth and
development goals of the organization.
In this case, the Emirates Airlines must be lucky enough they could grow to a such broad
position internationally, keeping their main base on their national airline service and hereby
serving people to travel across six continents and 81 countries (Patel and Chrisman, 2014).
3. Recommendations for ways forward for the organisation
The organization, the Emirates Airlines have been serving the passenger of their airline
services since two decades and more, and they've got through all kind of backdrops they had to
become the best airlines in 2013. The Dubai based airline company has been successful to
satisfy the customers and making them smile with the services and amenities they provide within
their airline services. The public company established by the government of Dubai has a minor
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drawback as per a recent survey. The customers have been facing issue from the side of the cabin
crew members of the Emirates Airlines. Customers have been witnessing undisciplined actions
by the cabin crew members of the flights maintained by the Emirates Airlines (Pietrzak and et.al,
2015).
Another disadvantage of consuming the services of the Emirates Airline services is that
they charge heavily. The costs for utilizing the airline services provided by the company is very
high compared to other airline services in the industry. The high costs are a part of the generic
strategies applied in the organization's functions and operations in order to attract more
customers, but in the same case if the service provider themselves are costing them in a such
high manner, how can middle class customers expect to travel in it. The company is proving to
provide services with differences and they are also giving additional services optionally if the
customers need to avail it. The company must be aware of the majority of population utilizing
the services they are provided with may not be higher class or upper middle class in the society.
The company must be providing an average price fair enough that the services are charged well
with a minor portion of profit instead of looting the customers for the surplus services they are
given with. The upper middle class and middle class must be able to afford the services of flight
and on-flight catering even though they are preferring to avail the hospitality and holiday
package services provided by the company. There are certain social responsibilities a company
has to fulfil keeping in mind the support the society gave to them and the resources they have
extracted from the society (Semadeni, Withers and Trevis Certo, 2014).
The company has been much more attentive in the case of safety measures. The cases of
hijacks and crashes are much lesser in case of Emirates Airlines. The company has been
maintaining the quality of flights and security measure within the internal and external portions
of the associated airline services (Taneja and et.al, 2013).
An airline services is not an organization so easy to establish. Airline services and
aviation facilities require huge investments to be created. The construction of aeroplanes and
their maintenance and other works on the aerodromes and control mechanisms need a lot of
capital to be spent. The human resources utilized in the service of customers must be skilled and
educated or else the customers will be facing issues in the staff which is the major issue faced by
the customers in case of Emirates Airlines. The recruitment process in airlines must be
conducted in a very specialized manner that the highly skilled, educated and dedicated

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candidates must be selected to serve the customers so that the customers may not face issues and
there may be no harm to the reputation of the company (Walker, 2013).
The Emirates Airlines have to come up with a customer grievance forum where the
dissatisfied customers can file a complaint, grievance and suggestions. This would help the
company to know in which area they have to get better. Huge companies with vaster customer
approach usually has such a system where the customers can mail their issues and suggest
anything that is to be improved to the official customer feedback system of the organization.
CONCLUSION
Hereby, the project has been assessed all conditions and preferences of the customers and
the users of the airline services provided by Emirates Airlines all over the world. The company's
development has been definitely visible throughout the time they have established in the year of
1985. The company has emerged as a giant in the travel and tourism sector creating themselves
an all in one hub of travel and tourism for destinations from around the globe. The Emirates
Airlines services provide various services in the travel and tourism sector, such as airline
services which is obviously the major service they are providing, they also provide facilities of
hospitality, that is, the residential hotel facilities, and other services of Holiday packages and
honeymoon packages facilities (Venkat and et.al, 2015). The discussion has also focused on the
subsidiaries of the Emirates Airlines and the assistance their parent company, the Emirates
Group given to the company. The companies with the bonds are shared by the Emirates Airlines
for the partnership in different nations in the six continents. The services in airlines and
hospitality are provided by the Emirates Airlines in 81 counties around the planet. The company,
the Emirates Airlines has been selected as the best airline service provider in the year of 2013.
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REFERENCES
Books and Journals
Chang, J. and Jennings, D., 2014. Strategic management and the case method: survey and
evaluation in Hong Kong. Developments in business simulation and experiential learning.
28.
Galliers, R. D. and Leidner, D. E., 2014. Strategic information management: challenges and
strategies in managing information systems. Routledge.
Hong, P. A. N., 2014. On the Relationship between Project Management Design and Strategic
Management Design. Design Research. 5. p.015.
Johnsen, Å., 2015. Strategic management thinking and practice in the public sector: A strategic
planning for all seasons?. Financial Accountability & Management. 31(3). pp.243-268.
Kaplan, R. S. and Norton, D. P., 2016. Using the Balanced Scorecard as a Strategic Management
System (HBR Bestseller).
Kumar, S., Adhish, V. S. and Deoki, N., 2014. Introduction to strategic management and
leadership for health professionals. Indian Journal of Community Medicine. 39(1). p.13.
Le Saout, S. and et.al, 2013. Protected areas and effective biodiversity conservation. Science.
342(6160). pp.803-805.
Longo, F. and Rotolo, A., 2016. Promoting programme gap awareness as a method of effective
public strategic management. Public Management Review. 18(3). pp.349-368.
Melander, A. and et.al, 2016. Introducing the Hoshin Kanri strategic management system in
manufacturing SMEs. Management Decision. 54(10). pp.2507-2523.
Pan, C. C., Sivo, S. A. and Goldsmith, C., 2016. A prelude to strategic management of an online
enterprise. TechTrends. 60(3). pp.226-232.
Patel, P. C. and Chrisman, J. J., 2014. Risk abatement as a strategy for R&D investments in
family firms. Strategic Management Journal. 35(4). pp.617-627.
Pietrzak, M. and et.al, 2015. A case study of strategic group map application used as a tool for
knowledge management. Journal of Computer Information Systems. 55(2). pp.68-77.
Semadeni, M., Withers, M. C. and Trevis Certo, S., 2014. The perils of endogeneity and
instrumental variables in strategy research: Understanding through simulations. Strategic
Management Journal. 35(7). pp.1070-1079.
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Taneja, S. and et.al, 2013. Strategic management in an era of paradigmatic chaos: Lessons for
managers. International Journal of Management. 30(1). p.112.
Venkat, A. and et.al, 2015. Strategic management of operations in the emergency
department. Production and Operations Management. 24(11). pp.1706-1723.
Walker, R. M., 2013. Strategic management and performance in public organizations: findings
from the Miles and Snow framework. Public Administration Review. 73(5). pp.675-685.
Online
Strategic Organization. 2016. [Online]. Available through <http://soq.sagepub.com/>. [Accessed
on 3 May 2017].
What is Strategic Planning?. 2016. [Online]. Available through
<http://balancedscorecard.org/Resources/Strategic-Planning-Basics>. [Accessed on 3
May 2017].
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