Ryan Case Study: SWOT & PESTEL Analysis, Challenges, and Solutions

This case study analyzes Ryan Air's SWOT & PESTEL analysis, evaluates the challenges faced by the organization, and provides solutions using management concepts and theories. It highlights the importance of business environment and effective decision making.

RYAN CASE STUDY

Table of Contents
INTRODUCTION................................................................................................................................4
TASKS..................................................................................................................................................4
1. Analyse SWOT & PESTEL Analysis..........................................................................................4
2. Evaluate problems and challenges faced by Ryan Air.................................................................6
3. Provide solution for problem faced by organisation by applying concept and theories..............7
4. Provide summary of the report ...................................................................................................9
CONCLUSION..................................................................................................................................10
REFERENCES...................................................................................................................................11
BOOKS& JOURNAL:...................................................................................................................11

INTRODUCTION
In organisation, to continue the business for longer period of time functions, operations and
activities are carried out in proper manner. Business environment refers to external forces which
affect the entities operations at wider level. It is essential be aware about such factors which slow
down the growth and development of business. Management play vital role in enhancing
organisation productivity and maintaining structure of the firm. Ryan Air, a leading airline and
aviation industry headquartered in Dublin is operating and providing its services within the region.
This industry provides services with affordable rates to its customers and makes profits as well as
sales revenue. This report includes SWOT analysis and PESTEL, problem and solutions occurring
in the firm, theories and concept of management and summary of the report. Thus, both
management as well as business environment are crucial for development of firm and business
operations.

TASKS
1. Analyse SWOT & PESTEL Analysis
Market is expanding and competition is rising at rapid level. In business, various strategies
and tactics are formed to survive in market for longer period of time. Skills and knowledge is
required to implement effective decision making in the management so that new ideas and thoughts
are developed in proper manner. To compete with rivals and to know internal capabilities and
calibre of the firm, PESTEL and SWOT Analysis are used appropriately. These are time consuming
but effective tools and technique which help entities to enhance their performance level and to
overcome with challenges as well as threats (Evans, 2017).
PESTEL Analysis
This is framework used and adopted by entities to track and monitor the external factors
which affect the business and its operations at wider and broader level. With help of this technique
organisation is able to run their functions and operations smoothly (Sarkis, 2017).In this, main
impact is on firm goodwill and it is necessary to remain aware about such factors/ forces which act
as block chain and creates obstacles and problem for organisation. So, Ryan Air use PESTEL to
identify the external factors which are mentioned below-
Political Factors- These are those factors which involve tax policy, corruption, foreign trade
policies, labour law etc. In this, involvement of government is limited bit affect the business at
wider level. In context to Ryan Air, main political factor which has affected the organisation and its
operation is Brexit. It has a deep impact on entities growth as well as development because of its
policies, procedures and guidelines. Trading section of the firm has to face huge problems due to
Brexit.
Economic Factors- In country, economy is important for the better living and stability of
people in a particular region. It is essential for every organisation to give a rise in country’s
economy so that growth and expansion is done in appropriate manner. There are various types of
economic factors which affect the business such as policies, wages, tax rates, governmental
activities etc. Such type of factors are non-controllable and government involvement is higher when
these arises. In relation with Ryan Air, to gain the high taxes fuel rates were increased at higher
level and which created a huge problem for aviation industry. So, this results in high cost of
production and low profit as well as decrease in sales revenue (Cross, 2020).
Social factors- Further come the social factors in which standard of living, income,
behaviour, lifestyle are involved. Organisation focuses on these types of factors so customers

switching behaviour is analysed and examined which leads to targeting the right market. In context
to Ryan Air, they focus on these by conducting market research and which helps them in identifying
the need and requirements of the customers in proper manner. Such as main end user wish to book
tickets online so offers and discounts are to be provided by the entity.
Technological Factors- These are these factors which comprises of advance use of Artificial
Intelligence, technology and tools. Time is changing and people are using tech ology to simplify
their work complexity. In relation with Ryan Air, they use digital platforms and e- commerce
websites so that customer access is easy and effective. This leads to use of resources and decrease
the importance of manpower efforts (Ferracuti, 2019).
Environmental Factors- Further come the environmental factor in which weather,
temperature, pollution is are involved. Such type of factors are important as they affect the business
at wider and broader level. In context to Ryan Air, fuel used by aviation industry has a deep impact
on air and environment.
Legal Factors- Legislations, regulations are important in business because create a
discipline within the firm and put a limit on business activities. In relation with Ryan Air, they use
work under government consideration and follow proper rules as well as regulations. Such as EU
policy has various laws which affect the business of Ryan Air at wider level.
SWOT Analysis
In organisation, it is essential to know about performance and progress level of business.
Examining internal capabilities are essential for every firm because it assist them to identify and
track their competitors and rivals in market. Strategies as well as tactics are implemented in proper
manner. In context to Ryan Air, to examine internal capabilities SWOT analysis is used and which
has been discussed below-
SWOT
STRENGTH
 Ryan Air provide services to its
customers at affordable prices and this
results in stromng relationship between
customers and firm.
 This avaiation industry mostly operate
across the country and this leads to low
WEAKNESS
 Firm has to face many issues such as
labour law and employment act which
affect the company goodwill.
 Organisation cannot access global
market due to low profit margins.

cost of production (Perera,2017).
OPPORTUNITY
 Firm can expand their business and
operaytions at internatiojnal level.
THREATS
 Brexit and Eu policy is forcing firm to
follow rules and regulations of both the
sides.
 Mnagement and organisational structure
is affected by changing and trends of
market.
After a brief analysis of above PESTEL and SWOT Analysis it is analysed that there are
various tools and techniques which can be used to enhance the performance and productivity level
of firm. Expertise and skills are essential to implement these frameworks effectively. Strategies and
tactics used by competitors as well as rivals are determined in proper manner by the entities to
overcome with challenges in the market.(SHTAL, 2018).
2. Evaluate problems and challenges faced by Ryan Air
In business, it is often happen that problems, hurdles occurs in the firm and slow down the
growth of entities. Methodologies, tactics are used solve these issues so that activities, functions and
operations are run smoothly and effectively. Problem can be of different types such as economic
issues, functional problem, employees and labour issues etc. So, planning and techniques are
implemented so that conflicts and errors are removed within and outside the entities. In context to
Ryan Air, challenges which are faced by business are Brexit and EU policy. Entity cannot extend its
business at international level because of high cost of labour by the involvement of Brexit. Also, EU
policy forces company to follow and adopt their laws and legislations and which has deep impact on
employees and management. So, Ryan Air, should focus on such issues because goodwill and
creditability of entity is affected at broader level when such hurdles occurs. Higher tax rates and
import/ export laws leads to decrease in sales revenue. Thus, marketing and legal team of the
organisation should focus on these so that functioning of organisation does not get affected.
After a brief analysis of above matter, it is stated that problems slow down the growth of
business and distract entities from their core activities. To achieve the goals and objectives wisely,
challenges and issues of the firm are to be identified and impact of those obstacles is to measure by

use of proper tools as well as techniques. This is time consuming process but helps the entity to deal
with future and present problems in proper manner (astogi, 2016).
3. Provide solution for problem faced by organisation by applying concept and theories
Management is wider and broader concept and comprises of ample numbers of theories. In
organisation, every firm use management concept as well as theories so that skills and knowledge is
gained at wider level. With help of these, problems and challenges are faced by firm in proper
manner. Also, effective decision making and new ideas are implemented when issues occur in the
entity. From the above matter, it is examined that main problem which is faced by Ryan Air is
Brexit and EU policy. So, to tackle with these issues entity uses brainstorming and group discussion
so that solutions for obstacles are known.
Concepts-
Problem Management- It is concept of analysing and examining the problem which occur
within the firm. These assist entities to understand and find root cause of issues so that in future it
does not affect the functions and operations of business. In relation with Ryan Air, they use this
problem management so that all the activities run smoothly and effectively (Büyüközkan, 2019).
Knowledge and problem management- This is the first stage of this concept which states
that to deal with issues and challenges first there should be proper knowledge of the field.
Knowledge and problem are inter-linked to each other. In context to Ryan Air, personnel and staff
members of the firm are well organised and have deep knowledge of their job role.
Change and problem management- Market is wider and dynamic when it comes to
opportunity, issues and growth. Every firm wish to sustain in market for longer period of time and
this is only possible when change is adopted by the firm. By applying change in management, it
gives rise to explore new opportunities and updated solutions for problems as well as hurdles in the
business. In relation with Ryan Air, they implement changes in the management whenever there is
urgency, need and requirement. This helps them in stability and improvement of business which
lead to higher growth and development.
Theory-
In management, theories are crucial and they help in developing idea generation as well as
new thoughts. In context to Ryan Air, they use two types of theories which are Contingency and
System theory and are discussed below-
Contingency Theory- According to this theory, problems and challenges can be deal with

number of ways and techniques. This means ample numbers of ways of solutions are available in
market and firm can choose and select those solutions which best suitable to the entity. With help of
Contingency theory, problems which occur due to Brexit can be solved by use of manager’s
approaches and leadership skills of leaders. Ryan Air, adopt these solution so that structure of the
firm does not get affected. (Yue, 2018).
System Theory- According to this theory, organisation is considered system as whole. In
this, there are two types of systems open and closed. An open system refers to system which is
affected by environment at wider level. Whereas close system refers to one in which it is not
affected by environment. This theory involves certain components such as output, feedback, input
and throughput. In relation with Ryan Air, they adopt system theory so that they are able to deal
with issues as well as challenges in proper manner. It assists in examining the environment and
trends in the market. With help of the theory, laws and legislations related to EU policy’ are
properly monitored and maintained within the firm. This helps Ryan Air to develop a positive
relationship between the government and enterprise which is a competitive advantage to the entity.
So, issues and obstacles are handled effectively when this (ST) is used and applied appropriately.
After a brief analysis of above concepts as well as theories it is analysed that these are used
by organisation so that obstacles and hurdles occurred in the firm are easily handled and solved.
High level of expertise and skills are required so that effective decision making is done within the
firm. Times and huge cost is involved in the techniques and solution of problems. So, market
research and deep knowledge are crucial to implement these concept as well as theories. Conflicts
and errors are minimised and reduced when tools and techniques are used with proper
understanding and measures (rel, 2017).
4. Provide summary of the report
In organisation, business environment and management play crucial role in enhancing the
performance of business. In (BE) there are factors involved which are affects the functioning of
business at wider level. These are also known as external factors and are identified by firm in proper
manner. In this report, SWOT and PESTEL Analysis has been used and through which business
activities are carried out in appropriate manner. With involvement of functions and operations, there
are chances of conflicts, errors and problems. So, to deal with problems and issues concepts as well
as theories are used by entities. This results in effective decision making and exploring more
opportunities as well as alternatives in the enterprise. Thus, market research and higher level of
understanding is required to implement them in appropriate manner (Hitt, 2016).

CONCLUSION
After a brief analysis of above report it is concluded that management and business
environment are necessary for running the business smoothly and effectively. It is essential to
examine the external factors and internal capabilities which is done by using appropriate
frameworks such as SWOT and PESTEL Analysis. Organisation uses these tools so that factors

affecting business and its activities are determined and monitored properly. Every entity face
challenges and threats in the business and preventive measures are to be taken in effective manner.
So, management concepts as well as theories are applied by the firm with deep understanding and
expertise knowledge. Thus, awareness is to be maintained by the enterprise in the market.
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