Strategic Management of Emirates

STRATEGIC
MANAGEMENT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Strategic management is basically the planning, monitoring as well as assessment of the
necessary resources which are required for meeting the goals and objectives of organizations.
Emirates is predominately the airline which is based in Dubai, United Arab and is the subsidiary
group of Emirates groups. It was established in 1985 and is possessed by Dubai government
along with operating in more than 140 cities as well as 80 countries.
This report addresses brief summary of Emirates, Analysis of vision, PESTEL analysis of
Emirates, Porter's five forces of Emirates, Implications for new entrant, Leadership strategy of
Emirates, Primary as well as support activities of Emirates, Tangible, intangible sources and
organizational capability, VRIN framework of Emirates and Effectiveness of leadership strategy.
MAIN BODY
Brief summary of Emirates
Emirates is one of the renowned airline in the Middle east and has served the customers
from decades. No airline has developed like Emirates in the past few years which has eventfully
mad them the leading transporter of various passengers across the international routes. Emirates
together with Qatar as well as Etihad airways managed to restructure the world map thus
transforming the international travel hub from Europe to Middle East. Emirates recently holds
around 75 million passengers ever year and thus have become the busiest airport. Along with
this, it has a well structure force of about 18000 flight attendants who are able to interact with the
passengers in about 50 languages.
The remarkable growth of the Emirates is due to Tim Clark who is involved in route
planning and thus took the advantage of Boeing 777 along with Airbus A380 which are the
renowned transporters. It generally serves more than 11 destinations and thus took a drastic turn
in 2008 in terms of growth (Ansoff and et.al.,2018). Emirate provides its customers with the
unforgettable experience by offering entertainment television, along with quality food which the
airline provides to its passengers, Besides this, it consists of around 600 multilingual members in
welcome team known by the name Marhaba which in Arabic means welcome and thus help all
the passenger from first class to business class in their arrival and departure. Apart from this,
Emirates have created a special facility state-of-the-art bin order to provide training to their
employees from checking them to serving them better. Airline normally offers a crew training
programme at no expense for seven weeks wherein each new hire are allowed to function in

different departments. At the end, they are instructed on the right posture, etiquettes etc. and thus
levied strict standards for the lipstick colour, hair shades for female attendants.
Analysis of vision
According to Tim Clark, the vision of the company is to become a global company by
expanding its presence across the world and thus make the entire world smaller by gathering the
people together. As per the given circumstances where their competitors like Singapore airlines
are providing enhance premium services to the customers, the vision of Emirates is still
applicable and are making efforts to extend their value chain across the entire world. Emirates
currently faced the challenge when their rival Etihad bought improvements in the first-class suite
in which Emirates had first stepped their foot (David and David, 2019). This challenge somewhat
hindered the operations of the company and hence decreased their customer base. In view of this,
their vision for expanding globally is still in use where they are highly focussed towards
providing world-class services to their passengers like personalized menu, noise avoiding
headsets. Development by their competitors has compelled Emirates to set apart by attracting
large and large customers through the adoption of cost leadership strategy. Their strategy to
provide customers quality services at much lower price has somewhere enabled them to invest in
new technology and built on their vision.
PESTEL analysis of Emirates
External forces are basically the forces which prevails outside the company and hence
impact them at a great extent. As emirates, is one of the renowned airlines in terms of its market
share and the customer base, thus there are various forces that might hinder their operations.
Political factors
These factors encompass political stability, foreign trade, tax rate, labour laws etc. This
international airlines operate across the six continents hence the political situation of different
countries might affect their operations (Hitt and Duane Ireland, 2017). The administration of
Trump has forced a ban on specific citizens of certain Muslim country which would decrease the
load factors of Middle Eastern airline thus would affect Emirates in a great way and would
reduce their passengers.
Economic factors
Economic factors include the exchange rate, inflation rates, economic growth, interest
rates etc. Being the international airlines, the revenues which are generated have multiple