Factors Affecting Marketing Plan for Ryanair: SWOT, PESTLE, Leadership Approaches, and Corporate Social Responsibilities
Verified
Added on  2023/06/11
|11
|3822
|130
AI Summary
This paper examines the factors which affect the formulation of the marketing plan for the Irish carrier Ryanair. It includes SWOT and PESTLE study, leadership approaches, and corporate social responsibilities.
Contribute Materials
Your contribution can guide someone’s learning journey. Share your
documents today.
Context of Business
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
Contents Contents...........................................................................................................................................2 INTRODUCTION...........................................................................................................................1 MAIN BODY..................................................................................................................................1 SWOT Assessment......................................................................................................................1 Analyze Ryan air using the PESTLE method..............................................................................3 Modifications in PESTLE Variables Have an Impact on Ryan Air's Opportunities and Threats .....................................................................................................................................................4 RyanAir'sinnerstrengthsarebeingaddressedinordertocounteractitsthreatsand weaknesses...................................................................................................................................5 Evaluate and examine leadership approaches to determine which one is best for Ryan air........5 Ryan air's Corporate Social Responsibilities...............................................................................7 CONCLUSION................................................................................................................................8 REFERENCES..............................................................................................................................10
INTRODUCTION The term "comparative benefit" refers to a variety of characteristics which enable certain organisations to produce merchandise better and/or quicker over their competitors. The extent with which a company can obtain this comparative edge in the economic climate is influenced by a variety of foreseeable characteristics(Asp and Andersson, 2021). The paper examines the factors which affect the formulation of the marketing plan for the Irish carrier Ryan air. The company would firstly conduct a SWOT and PESTEL study. Next, how does the company employ its strengths and opportunities to combat its weaknesses and threats.Following which, the leadership and approach which the company is currently following would be addressed. The company would then look into a suitable management approach. Lastly, it evaluates the firm's commercial societal responsibilities. About Ryan air plc-Ryan air plc is a British airline based in Dublin, Ireland. Ryan air is the leading aircraft in Scandinavia, the globe's leading low-cost flyer, and one of the main overseas operators. With its 2nd major airline location, England Southend Airfield is Ryan Air's busiest gateway. Throughout Germany, the Gulf, and Egypt, a vast range of facilities is available. Ryan Air operates about 400 Boeing 737-800 airplane, with a solitary 737-700 serving asacommercial,standby,andcrewteachingplanes.Theaerospaceindustryinthe regionexperienced rapid expansion after deregulation in 1997 and the popularity of its low-cost corporate strategy. It spans Germany, Egypt, and the Gulf Region, and includes 40 nations. There are 40 Ryan air flights on the circuit. MAIN BODY SWOT Assessment SWOT Evaluation is a strategy for scanning and analysing a firm's local and global surroundings. There are 4 stages to a SWOT assessment. Two of them are inside to the company, while the other two are outside. Interior factors include strengths and weaknesses, as well as possibilities and dangers from the outside(Brannen, Piekkari and Tietze, 2017). The local economy of the business is influenced by strengths and weaknesses, whereas the global economy is influenced by possibilities and threats. Ryan Air's interior strengths and weaknesses, as well as exterior dangers and possibilities, are highlighted in the SWOT study. Moreover, SWOT Research investigates and inspects the function of various elements on the local and global
surroundings.RyanAircouldbenefitfromaSWOTAssessmentinordertomitigate vulnerabilities and maximise the utilisation of its assets and opportunities in order to accomplish its objectives. StrengthsWeaknesses ï‚·For its large magnitude, the group can take advantage of efficiencies of scope, lowering seat prices. ï‚·Thisorganisationdoeshavealotof social exposure and affection. This has a lotofadvantagesforthecompany (Diebold and Rudebusch, 2021). ï‚·While other carriers are scrambling to decrease expenditures in the face of the pandemic, Ryan Air's corporate model is tokeepexpendituresasminimalas feasible. Ryan Air, in instance, keeps its pricinglowbyofferingnon-essential add-ons. ï‚·Ithavea well-developedconnectivity infrastructure. ï‚·BuyersareenragedwithRyanair's returnpolicy.RyanAiralonehas processed 5% of reimbursement requests insidethealloweddeadline. Furthermore,thefactthatRyanAir givescustomerstransitoryvouchers instead of money returns whichirritates customers. ï‚·Theyfocusedonanout-of-date institutionalframeworktodealwith challengesthataren'tnecessarily positive. ï‚·Ryan Air is frequently associated with badclientsupport,challenging operations to supplement earnings, and unequal client costs. ï‚·Theircarrier'smanagementisvery supportive of their employees. OpportunitiesThreats ï‚·Theoperatingefficienciesand opportunities offered to Ryan Air help the carrier greatly. ï‚·It also has the capacity to be the industry leader in the area. ï‚·Theyarereceivinggovernmentalaid. TheCOVIDCommercialFunding Program of the Central ministry. ï‚·Theaviationindustryisheavily controlled. ï‚·Theyarefragileduetotheir differenthandling process. ï‚·With each step forward, the Ryan air couldbetravellingbackwards underneaththeexistingCOVID-19 constraints(Fletcher,DeMassisand
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
ï‚·Hundredsofskilledworkers,notably captains, rescue teams, flight operation, andtechnicians,arecompetingfor restoration,givingRyanAirthe opportunitytohirethebestavailable workers. Nordqvist, 2016). ï‚·Independentfactorssuchasgasoline prices,economicfluctuations,and outside occurrences that influence Ryan Air plc are unforeseeable and impossible to anticipate. Analyze Ryan air using the PESTLE method PESTLEAssessmentisaprocessforcalculatingandanalysingtheimpactofa macroeconomic variable on a corporation. There are 6 elements in this setting. Governmental, societal, economical, technical, judicial, and ecological factors all play a role. Political factors-These are those which pertain to the role of authority in affecting the market or a specific business. For instance, Ryan Air's commercial decisions are based on certain state legislation, such asBrexit and terminal closure because of the Corona Outbreak. Economical Factors-Fuel costs had risen dramatically in the previous year. Yet, it has now started to decrease suddenly. As a result, Ryan Air provides only a few advantages. The weakening of the currency posed a considerable challenge and had a detrimental impact. As a result, the aviation industry in the United Kingdom significantly slashed customer flight expenses. Ryan Air has lately centred on developing short-haul ability, which is expected to increase commercial flights in the coming year. Yet, as expenditure in facility growth increased, the year's earnings declined. Society Factors-Community parameters are related to the society backdrop of the given industry. Various shifts in cultural and demographics are by far the most major part of societal factors. Societal problems exert a significant effect in the revenues of many aviation firms. Because Ryan Air is Europe's leading low-cost carrier, its activities and profitability are impacted positively(Glaser, Stam and Takeuchi, 2016). Because the practice of travelling is more on the hundreds than the rest, this carrier draws ever more hundreds of people via creativity and personalisation. Technical factors-The current population is heavily reliant on the web, particularly online connecting. Carriers could be capable of attracting additional clients as a result of such qualities. Many carriers can also inform passengers about the videos that will be presented during their
flight. Travellers would also be eligible to purchase aircraft seats and paying for them using the expanding digital financial sector. Legislative factors-Judicial concerns are the specific laws and regulations of a country that the corporate setting must uphold and influence. The following are some of Ryan Air's regulatory concerns: ï‚·The Free Aviation pact. ï‚·Citizen complaints and dissatisfied clients. ï‚·Acts and restrictions governing occupational protection. ï‚·Regulations governing industrial copyright concerns Environmental Concerns-The ecological imprint has long been a subject of worry. The Europe's gas footprints could be limited. It might make running aviation business more complex. Modifications in PESTLE Variables Have an Impact on Ryan Air's Opportunities and Threats Constructive technical developments, such as the advancement of machine learning, increase their prospects of gaining client base and sustaining scientific progress, enabling businesses to draw additional potential users and better satisfy its existing clientele than previously. In fact, Ryan Air is dedicated to making their airplanes the most ecologically efficientpossible,transformingthecompanyandacquiringmorecustomers.Thecentral administration likewise assists its international commercial and local activities in making the most of their opportunities to operate internationally(Kaindl, Hoch and Popp, 2017). Yet, regulatory challenges like Brexit generate unpredictability in the aviation business in theUnitedKingdom.Astheglobalrecessionaffectsthespecificaircraftindustry,the industrythat also has a detrimental effect on the carrier, is dragging considerably. Furthermore, as the epidemic first broke out, official requirements on covid-19 isolation measures for foreign visitors put aircraft activities in peril, prompting airline businesses to file a lawsuit against the authorities to overturn the restriction. These judicial disputes could pose a big threat to Ryan Air in the foreseeable. Ryan Air's inner strengths are being addressed in order to counteract its threats and weaknesses. Having dimensions risks from competitors, regulatory agencies, and the environment harm corporation businesses in today's business environment. Several of the threats are unique and formerly unknown. The biggest challenging task for businesses is to properly manage their advantages in addition to reduce dangers and combat challenges so as to have theability to
exploit economic possibilities. Ryan Air has been effective in capturing a portion of the global marketplace through smart partnerships and alliances. Some aviation firms' fears about over domination would be alleviated by the joint partnerships with the nation's major carriers. It has a prominent reputation and a long record of outstanding operationthat might deter customers from moving to certain other carriers notwithstanding its termination due to a defective aircraft turbine and mechanical issue. It has outstanding technical capabilities and a customer network, allowing it to rent Dubai airplanes amid the political turmoil in the country(Kimura and Nishikawa, 2018). Ryan air does have a large industry position in the United Kingdom, giving it more bargaining power to avoid the detrimental effects of legal measures throughout negotiations. Evaluate and examine leadership approaches to determine which one is best for Ryan air Each leader’s norms and ideas that allow individuals to handle all of its functions and processes are represented by their leadership approach. It also demonstrates how leaders treat their employees on a variety of practical and decision-making issues. The following subsection comparesandcontrastsvariousleadershiptechniques,includingauthoritarianleadership, participatory leadership, laissez-faire leadership, and transformative leadership. Transformative leadership:Employees are motivated by the goal that their members could attain in transformative leadership. The high tier officials set clear targets, while personnel at the lower levels use their ways to attain the preset targets. Ryan Air employs a transformational strategy in which employees possess considerable knowledge to help them in achieving their objectives. Despite the fact that transformative leading concept contributes to a variety of standards and laws, it ensures that connections inside the organisation are quite valuable. Laissez-faire leadership:Itallows employees to be more autonomous in their processes because the leader's influence over various tasks is reduced. Businesses' leading styles are deficient in authority and in the appropriate paththat can contribute to the firm's collapse (Luu, 2018). Autocraticleadership:Authoritarianexecutivesmakecorporatedecisionswithout consultingtheirsubordinates.Theleadershipshouldbeinstantlyfollowedbythe employeesandpersonnel.Furthermore,theleadertookvariousjudgments sansdiscussing individuals. It manages the actions and procedures which lead to the firm's periodic collapse.
Secure Best Marks with AI Grader
Need help grading? Try our AI Grader for instant feedback on your assignments.
ï‚·ParticipatoryLeadership:In severalareas, itisrecognised asafair meansfor employees to participate in decision-making. In the airline industry, employees should work together and take decisions by discussing in groups. As a result, participative leadership is by far the most common type of leading. Although the concept of leading promotes employee efficiency, it is ineffective in the aircraft industry if the information system collapses. The Ryan airline's leadership approach-The behaviour of Ryan Air Chairman Michael O'Leary demonstrates that the airline takes a quite revolutionary strategy and employs autocratic leadership. Michael's tenacious and active approach resulted in Ryan Air quickly increasing with a low-costcorporate strategy in a short amount of time. British Airlines, one of Ryan Air's competitors, does have a participatory leadership structure. Workers are given the freedom to make their personal decisions in order to meet customer requirements quickly. Ryan air management approach-The Ryan Air Managing Group is made up of numerous sections. The Executive is in charge of the company's main functions and activities. The Managing Committee seems to be in charge of making various efficiency and improved customer decisions. The fundamental activities and tasks required for the smooth functioning of the company are divided into several categories. In particular, the Managing Council has chairmanship positions for numerous divisions of the company. The managers are required to communicate immediately to the CEO regarding their particular sectors' activities, and they are liable for their techniques because they are accountable for their respective units' processes (Martens and Carvalho, 2017). Manner of Leadership Appropriate for Ryan Air-The aircraft industry is a fast-changing industry that requires carriers to respond to altering circumstances on a regular basis. To compete effectively, these businesses should improve their operations methods and leading culture. Since handling consumer and societal standards necessitates that all carriers fit their work to their appropriate leader qualities. Due to corporate structure, different types of leadership stylesare used in different companies. Ryan Air should use transformational leadership to help it reach their corporate objectives. Transformative leading has indeed been found to be significantly related to an organization's performance. Standard work responsibilities could be altered to be much more effective underneath the influence of transformative leadership. The influence of transformational leadership acts as a powerful motivator for employees to perform faster and
generate more revenue. One of the reasons Ryan Air requires transformative direction would be that employees must be motivated to continue providing excellent quality while maintaining a particular level of attractiveness. Employees were more motivated and devoted to the organisation as a result of the instance leading scenarios. Another factor transformative leading works is the motivating quality that these executives instil in their workforce. This motivates employees to seek out useful activity and to envision the corporation's potential with optimism. Furthermore, transformative leading fosters an atmosphere of rational reflection in the workplace, encouraging employees to strive to question traditional wisdom. As a result, the company's core imaginative capacity is raised as employees start to approach problems in new and imaginative ways. Moreover, transformational leadership foster a caring and compassionate environment, which demonstrates how they respond to corporate difficulties. As a result, transformational leadership' tutoring and training of the entire staff is influenced by direct and detailed encounters with each deputy. In contrast to all other styles of leading, Ryan Air's implementation of transformational governance would increase worker satisfaction. Workplace ties are formed as a result of transformative leading. Employees' dedication to corporate goals has been found to be extremely effective when transformative leading is used(Novitskaya and Brewster, 2016). Transformational leadership is capable to gain the confidence of low tieremployees, resulting in fewer tense operating situations. On Ryan Air, transformational leadership could be able to establish a very efficient workforce in contrast to lowering staff replacement levels. Ryan air's Corporate Social Responsibilities CSRis a broad and essential concept which allows a corporation to be accountable to its users. CSR programmes hold corporations responsible for societal problems, the market, the atmosphere, as well as other company partners. Ryan Air additionally conducts business activities in the regional areas via promoting social equity, tolerance, and integration. In current history, the number of aircraft flights has rising, resulting in increasing gasoline usage and pollution of the atmosphere. However, Ryan Air's innovative equipment aids in the development and implementation of fuel-efficient airplane upgrades. The Ryan Air carrier does have a bad reputation when it comes to CSR issues. Depending on factors like aircraft sustainability impact, corporate and ethical duty, and consumer data, Ryan Air is ranked in the lastten out of 581 companies. Covalence, based in Switzerland, assessed the companyon 45 qualitative assessment
points, covering company worker protections, Ryan air pollutant control policies, societal benefit, and civil liberties strategy(Uusitalo and Laine, 2020). The airplane business produces only 2% of CO2 rates, according to the Ryan airplane which isadeceptiveenvironmentalstatement,andtheallegationbroketransparencycriteriain compliance with the ASA, since it could not clarify that they were focused on worldwide carbon output, instead of UK carbon output. By engaging in CSR projects and ensuring the corporation's success, Ryan Air could achieve longer runoperational goals. The CSR engagement reduces the amount of effort and materials wasted by the organisation in order to improve operational efficiencies by lowering vulnerability. In effort to minimize Ryan Air's ecological effect, a global warming plan must be devised, as the carrier faces multiple ecological challenges. Ryan Air participates in a variety of CSR projects to engage with the business, create financial gains, defend societal values, and help the atmosphere and ecosystem. Ryan Air is continually looking for methods to recognise the societal responsibilities that its users have in terms of growth. Due to Ryan Air's client strategy, managers would minimize similar situations by ensuring that they usually have enough preparation for the airplane and preventing flight cancellations, instead of needing to register passengers in rooms or spend for food at eateries(Zwienenberg, 2018). CONCLUSION To sum up this research, understanding the corporate context is critical for a company because it aids in the development of practical strategies and assures that they are executed efficiently.InaSWOTassessment,thisdocumentexaminesRyanair’sadvantages, vulnerabilities, possibilities, and dangers. In attempt to recognise Ryan airs, a governmental, economical,societal,technical,legislative,andenvironmentaliststudywasundertakenin combination to a PESTLE study. Then you'll learn how PESTLE changes can influence a company's possibilities and risks, as well as how its advantages can be leveraged to mitigate the risks and shortcomings that can limit its possibilities. Following that, Ryan air looked at and comparedseveralleadingandmanagingapproaches,suchasauthoritarianleadership, participative leadership, and transformational leadership, among others. Therefore, Ryan air recommended transformative leading as the optimum leading approach for the organisation to fulfil its corporate objectives effectively.
Paraphrase This Document
Need a fresh take? Get an instant paraphrase of this document with our AI Paraphraser
REFERENCES Books and journals Asp, L. and Andersson, J., 2021. Marketing Communication in the Context of Selling a Business: Business Brokers and how They Communicate Value of a Business. Brannen, M.Y., Piekkari, R. and Tietze, S., 2017. The multifaceted role of language in internationalbusiness:Unpackingtheforms,functionsandfeaturesofacritical challenge to MNC theory and performance. InLanguage in international business(pp. 139-162). Palgrave Macmillan, Cham. Diebold, F. X. and Rudebusch, G. D., 2021.Business cycles. Princeton University Press. Fletcher, D., De Massis, A. and Nordqvist, M., 2016. Qualitative research practices and family business scholarship: A review and future research agenda.Journal of family business strategy,7(1), pp.8-25. Glaser, L., Stam, W. and Takeuchi, R., 2016. Managing the risks of proactivity: A multilevel study of initiative and performance in the middle management context.Academy of Management Journal,59(4), pp.1339-1360. Kaindl, H., Hoch, R. and Popp, R., 2017, May. Semantic task specification in business process context. In2017 11th International Conference on Research Challenges in Information Science (RCIS)(pp. 286-291). IEEE. Kimura, T. and Nishikawa, M., 2018. Ethical leadership and its cultural and institutional context: An empirical study in Japan.Journal of Business Ethics,151(3), pp.707-724. Luu, T. T., 2018. Engaging employees with disabilities in Vietnamese business context: The roles of disability inclusive HR practices and mediation and moderation mechanisms. Employee Relations. Martens, M.L. and Carvalho, M.M., 2017. Key factors of sustainability in project management context: A survey exploring the project managers' perspective.International Journal of Project Management,35(6), pp.1084-1102. Novitskaya, O. and Brewster, C., 2016. The impact of national context effects on HRM practices in Russian subsidiaries of Western MNCs.Journal of East-West Business,22(1), pp.1- 27. Uusitalo, K. and Laine, P., 2020. Testbed simulation modelling in an open business ecosystem context–benchmarkinglogisticsnetworkperformanceLRN2018SIinvitedpaper. International Journal of Logistics Research and Applications. pp.1-22. Zwienenberg,I.B.,2018.Segmentationinbusiness-to-businesscontext–acasestudyof companies in the energy sector(Bachelor's thesis, University of Twente).