Organisational Strategy: Challenges, Resources, Competitive Environment and Growth Options

Organisational Strategy

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Analysis of the key challenges the company will be facing in the external market in Europe
with the help of PESTLE Analysis.........................................................................................1
Evaluate the resources and internal business situation of the company in Europe................2
Analyse the competitive environments of the company in Europe........................................3
Directions and strategic options that a company can pursue for future growth both in
international and Europe market ................................................................................. 5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Organisational strategy refers to the set of strategies that comprises of series of many
actions and steps that companies take to achieve their long term goals. Wizz Air, legally
incorporated as Wizz Air Hungary Ltd. is a aviation carrier company established in the year 2003
and is headquartered at Budapest, Hungary. The report will present an analysis of the key
challenges that company faces with the help of external environment in Europe. Moreover, it will
cover analysis about resources of company and internal business situation in Europe. Further, the
report will cover analysis about competitive environment of an organisation in Europe and at the
end it will identify the methods for the company to expand in the international market.
MAIN BODY
Analysis of the key challenges the company will be facing in the external market in Europe with
the help of PESTLE Analysis
The flight operations are increasing rapidly, Wizz Air Ltd. Has to face certain challenges
in their operations that may be political or economical in nature. PESTLE analysis can be done to
understand the various environmental factors that affects the business of Wizz Air. With the help
of PESTLE Analysis the company could understand the opportunities and challenges which has
been created due to certain forces such as political, economic, social, teachnological, legal and
social in the field of aviation.
Political: These factors plays a very significant role in the industry of aviation and there are
various reasons for growing importance of political factors in the industry of aviation in UK
country. The Political stability and favourable government policies helps to create attractiveness
and business-friendly environment in the overall aviation market in the UK (Clifford, Fornadel
and Peters, 2021).
Economical: The economic factors and situations in a country has the direct impacts on the
profitability and operations of Wizz air. However, at certain times the economic conditions
of UK has suffered a lot for example the BREXIT situation creates uncertainty as well. Even
though Wizz Air has sustained its growth and profits by indulging its investments in
strategic areas like, customer experience and changing its business operating models to
adapt to the changes.
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Social: Social factors are based on numerous demographic factors and changes that plays a
significant role in the industry of aviation. Wizz Air focuses on safety, convenience, low
cost benefits and so on to enhance consumer experience to maintain its reputation and social
image of airlines companies (Loizia and et. al., 2021).
Technological: Technology is also a centric factor that affects the growth of airline industry
across UK. The Wizz Air has focused on the development of fuel efficient, safe aircraft
models and better sales and consumer support services to stay ahead in technological
advancements. The company has made improvenments on technical level in various areas
such as streamlining of website to the booking process on the online basis.
Legal: These are one of the major concern for aviation industry in the UK market where non
compliances to the legalities can result in major fines. Apart from convenience to customers,
passenger security and environment impacts there are laws related to labour and
employment, contract and aviation activities. The Wizz Air follows all the required legal
expectations in the UK as well as across many other nations.
Environmental: The environmental factors affects the aviation business across the UK due to
consistent rise in the awareness of climate change. The Wizz airlines has developed its most
optimum fuel efficient tanks that helps in complete combustion of fuel and releasees low
carbon in the air. This provides benefits to the company for sustainable growth and making
the environment healthy (Damayanti and Rahadi., 2021).
Evaluate the resources and internal business situation of the company in Europe.
For analysing internal business situation and resources of company of Wizz Air into
result-oriented manner then SWOT analysis can be considered as support system for finding out
the resources.
SWOT analysis of Wizz Air
STRENGTHS: Wizz Air is one of the lowest unit cost between European Airlines according to
CAPA, CASK database. They also offer low fares as well as compared to all of its competitor
while remaining in money-making situation and thus drives towards claim and market share as
well(Šimková., 2018). They also have the important market share in its selected market and also
have the uppermost stage of ancillary profits in Europe. They also have strong financial
performance due to which they can perform into the out of box manner at organisational level.
They also have developed good track record of profitability.
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