Report: Competitive Analysis of Emirates Airline Business Strategy

This report provides a competitive analysis of Emirates Airline, examining its business strategies, profitability, and market position. It begins with an introduction to Emirates, its global success, and its growth over time. The report then delves into the airline's profitability, highlighting its clear strategy, strong management, and the support from the Investment Corporation of Dubai. It also discusses Emirates' competitive advantages, such as its flexible business model, cost-effective pricing, and long-haul flights. The report further analyzes Emirates' location in Dubai, which serves as a major hub connecting various regions and offering operational advantages. It also differentiates Emirates from other airlines, emphasizing its innovation in services and its large fleet of aircraft. The report concludes with a discussion of Emirates' competitors, highlighting the airline's ability to stay ahead through its business model and strategic approaches. The report references key academic sources like Porter and Barney to support its arguments.

Running head: COMPETITIVE ANALYSIS OF EMIRATES
Competitive Analysis of Emirates
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COMPETITIVE ANALYSIS OF EMIRATES
Table of Contents
Introduction..........................................................................................................................2
Profitability of Emirates......................................................................................................2
Emirates competitive advantage..........................................................................................2
Location of Emirates............................................................................................................2
Difference from other Airlines............................................................................................3
Competitors of Emirates......................................................................................................3
Conclusion...........................................................................................................................3
Reference List......................................................................................................................4

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COMPETITIVE ANALYSIS OF EMIRATES
Introduction
Emirates is an airlines company which is based in Dubai, United Arab Emirates. Emirates
airline id the fourth largest airline in the world and it is owned by The Emirates Group which is
owned by the Dubai government’s Investment Corporation of Emirates. Over the time the
company have been very successful in the field of business which has many ups and downs. The
main reason Emirates have been so successful over the years will be discussed in the report and a
detailed analysis of the competitive analysis will also be stated in the report. The various
competitors of the emirates who are a threat for the company will also be stated in the report.
Profitability of Emirates
Emirates is known for their clear strategy and focus which have helped them in becoming
the behemoth company they are in the present. There is a presence of good management in the
functioning of the company. Over the years Emirates have owned many hotels, airlines and many
other infrastructure which have added to the revenue of the hotel. Investment Corporation of
Dubai owns emirates which is one of the biggest reasons for its success in the past (Alcacer &
Clayton, 2014). The brand name of the company have helped it to gather more customers over
the years. Drawing on resource based theory it can be said that the competitive advantage of the
company have helped it in enjoying the strong profits it is acquiring over the years (Porter,
1996). In accordance to Porter’s theory it can be said that the main hub of the company, Dubai
have been very helpful for the company in the past to expand itself (Porter, 1996) (Porter, 2008).
Emirates competitive advantage
The flexible business model which is used by the company aids the company in gaining
the competitive advantage. The pricing strategy which is used by Emirates lets its passengers in
flying cheaper than other companies which gives it the edge over its competitors. Owing to the
cost effective advantage the customers of the company wants to travel with it rather than others.
There are a lot of long haul flights under Emirates which have made it successful over the years.
Owing to the long haul flights Emirates have not increased its fare price which attracts a lot of
customers. With the present business model the company will be able to sustain its competitive
advantage easily. Competitive advantage means a company is able to better quality products at
lower price (Barney, 1991). The view which have been stated by Barney regarding the
sustainable competitive advantage can be easily agreed upon as to have a competitive advantage
a company must rare and imperfectly imitable (Barney, 1991).
Location of Emirates
The main hub of Emirates which is Dubai have been an added advantage for the company
over the years. Since its origins the company have been following the mega-hub strategy of
Dubai. Along with the support of the government along with the geographical location the
company have attracted a lot of passengers over the years. Dubai is positioned in the nexus of the
Arabian peninsula which is the connector of many major trade routes and it also acts a major
connection between Europe, Africa, Oceania and Asia (Alcacer & Clayton, 2014). Dubai is also
far away from the congestion of European airspace which means the company can operate many
flights every day. Dubai also consist of good weather which has aided the company in
maintaining flights throughout the year (Alcacer & Clayton, 2014). Most of the airlines company
relied on large population of their main hub but Dubai did not let that factor come in between

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COMPETITIVE ANALYSIS OF EMIRATES
their profitability. The core passengers of the company is not only from the region rather than
from all over the region.
Difference from other Airlines
The biggest operator of both the types of plane is Emirates which makes the airline
company own 234 planes (Alcacer & Clayton, 2014). Over the years the company have
implemented innovation in the products and services to the customers. All the seats which are
offered by emirates are identical to each other. Among all the airline companies Emirates is the
one which provides its passengers with personal screens in every seat. The airline have been
operating in the Asian region for a span of 23 years. Over the years the services provided by the
company to its passengers have been very great which have made it favorite among the
customers all over the world.
Competitors of Emirates
The potential entrants in the airlines market might not be a problem for emirates. Over
the years there are many airlines like Emirates, Qatar Airways or Lufthansa have tried to topple
over Emirates but they have failed to do so. The flexible business which is followed by Emirates
have left its competitors behind and the company have been in the driving seat globally. In the
present scenario it can be said that the competitive advantage which have been gathered by
Emirates is not easy for other companies to topple over and make it obsolete. Although it might
be said that airlines like Emirates, Qatar have been in the business for a long time and they have
gathered a lot of experience and they might go past Emirates in the upcoming years. The inside-
out and the outside-in approaches which have been selected by Emirates will be keeping the
company ahead of its competitors and other companies is not going to be a threat for the
company in the future (Brandenburger & Nalebuff, 1995).
Conclusion
To conclude it can be said that Emirates have been flourishing over the years and have
gathered many loyal customers over the time. The flexible model which is followed by the
company have helped it in many ways in staying ahead of its competitors. The main advantage
of the company have been its competitive advantage which it have gathered over the years. With
the present business model the company is going to achieve many feats over the years and it will
be keeping ahead of its competitors.

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COMPETITIVE ANALYSIS OF EMIRATES
Reference List
Alcacer, J., & Clayton, J. (2014). Emirates Airline: Connecting the Unconnected.
Barney, J. (1991). Firm resources and sustained competitive advantage. Journal of management,
17(1), 99-120.
Brandenburger, A. M., & Nalebuff, B. J. (1995). The right game: Use game theory to shape
strategy (Vol. 76, pp. 57-71). Chicago: Harvard Business Review.
Porter, M. E. (1996). What is strategy? Harvard Business Review, 74(6), 61-78.
Porter, M. E. (2008). The five competitive forces that shape strategy. Harvard Business Review,
86(1), 78-93.