Case Analysis: Emirates Airways ‘Connect the Unconnected’

This case study provides a comprehensive analysis of Emirates Airways, a prominent airline company based in Dubai. It begins with an executive summary and an introduction outlining the importance of business analysis. The study then summarizes the company's business and industry, followed by a PESTLE analysis to evaluate political, economic, social, technological, legal, and environmental factors affecting the airline. A VRIO analysis assesses the company's resources and capabilities. The report further explores both long-term and short-term strategies, business and corporate strategies, and provides future recommendations. The analysis concludes by highlighting Emirates' competitive advantages and potential areas for improvement, supported by references to relevant research and industry publications. The case study underscores Emirates' success in the market and offers insights into sustaining and enhancing its competitive edge, emphasizing the importance of cost efficiency, operational effectiveness, and customer satisfaction.

CASE ANALYSIS: EMIRATES AIRWAYS ‘CONNECT THE
UNCONNECTED’

Table of contents
Executive summary.........................................................................................................................3
Introduction......................................................................................................................................4
Summary of business and industry..................................................................................................4
PESTLE analysis.............................................................................................................................4
VRIO analysis..................................................................................................................................6
Long term and short term strategies................................................................................................7
Business strategy.............................................................................................................................8
Corporate strategy............................................................................................................................8
Future recommendations.................................................................................................................8
Conclusion.......................................................................................................................................9
References......................................................................................................................................10
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Executive summary
The following report is a case analysis of Emirates Airways which is considered to be an
prominent Airway company in the Middle east. The strategy and the strengths of the company
has been discussed whereas as weakness and threats have also been identified through the use of
the case represented in regards of the firm.
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Introduction
Analysis of business and various factors which are related to the business helps in determining
the performance of the company. This is also important to know the shortcomings and strengths
of the firm which can mitigate and used respectively in order grow the business. In this report
there will analysis over Emirates Airways to analyze external and internal factors of the company
as well as the strategies based on which future recommendation will be made over the business.
Summary of business and industry
Emirate Airlines is Dubai Based Airline Company which is subsidiary of the Emirate Group. The
Fleet size of the company is 258 and it travels to 161 destinations. The company operates in the
Airlines industry and is considered as a giant within the industry. The airline operates in both
domestic and international circuits of Airways. The company is known for its efficiency in
terms of cost and optimization of Air routes towards different destinations. The Emirates is also
known for rendering high quality of service to their customers and is known for luxurious trips as
well which its offers to there customer on demand. The company has low amount of competition
in the Gulf region but there are international competitors which compete with Emirates on the
international market. The company is considered as to be the largest Aviation company in
Kuwait and operates in both domestic and international sector (Barros and Wanke, 2015).
PESTLE analysis
Political The political factors will tend to affect any airline company as Emirates
Airlines as they are very prone to such aspect within an country. It can be
said that the political changes in Kuwait in which Emirates will tend to
affect the company as change in government regulations will affect the
operations of the company. Political instability within Asia will affect the
country in a huge way.
Economical Economic instability within the market or economy of any country in which
the company is working and will effects it financial operations. Recently the
increase in Oil Prices has had an huge impact over the cost of service as it is
directly related to the fleet services of the firm. This is important to consider
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the Oil based economy within the Gulf region will directly affect the
company economic and financial stability.
Social It can be said that Emirates has been very focused on being socially involved
within the promotion of various social activities of Kuwait this has made its
brand image increase. Overall the accessibility of the fleet service is diverse
which makes its valuable to diversified range of population increasing its
overall customer base (Forsyth, 2014). Although in some countries the
pricing of the company's service price has affected its demand as the price
seems to be high which limits the service to only one section of population.
Technological In term of technology the Airline companies in the intense competition have
focus on effect of their fleets. Hence in the coming days technological
advancement within the fuel and operational efficiency of fleets will increase
or decrease the demand of emirates. Although the company has effective
Research and development team which has helped the company to be
efficient and to attract demand and it is forecasted that the following will be
done in the future as well.
Legal It has been seen that through the enormous growth of gulf aviation industry
with companies like Emirates, Etihad and Qatar Airways European countries
have focused on creating regulations to limit the number of these carrier in
there domestic circuit which can affect the operational and well as financial
growth of Emirates in these markets.
Environmental Carbon emission and usage of Oil resources is one of biggest environmental
barriers which can affect the company's operation n the near future as the
environmental factor are being considered widely within all countries
(Squalli, 2014).
VRIO analysis
Value
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It is noticeable that Emirates airline creates value for its customer it creates value through
rendering high quality service which is very much needed by an company in order to make sure
that consumer are satisfied through the service of the company. It can be be said that through the
use value human resources and effective financial stability the company is able to build value for
its brand and its customer service in Kuwait which helps the company in rendering high quality
service and promote the following.
Rareness
The strategic location of Emirates is very rare to see this is because it is located in the Gulf
region where the the resources of human capital is good and the region s widely populated which
enable the company to get huge demand. Kuwait has other option as well but by look the rarity
of class and quality of money service rendered by Emirates they tend to use this Airline only.
Imitability
Now the capital of financial stability of Emirates is a factor which cannot be be imitated by other
Airlines In Kuwait this why Emirates enjoys good demand within this country. The capital is
high which way the company is able to render top quality service which i not immutable by other
airline within this circuit (O’Connell and Bueno, 2018).
Organization
Overall the organization is very much focused on copying the maximum number of customers in
Kuwait through cost cutting, operational efficiency and top standard service. This is because all
of this will help the company in rendering high quality service which will help the company to
gain customers.
Through the application of the VRIO analysis it can be said that Emirates has good amount of
competitive advantage over other companies within Kuwait and this will help the firm in
building effective customer base within this reason.
Long term and short term strategies
In order to grow the business of the firm in this market are some short term strategies which the
company will has to take which include short term promotional activities. Under the short term
promotional activities the company will have to use Discounting promotional activities in which
consumer will get discounts on taking services of the firm which will increase the consumer base
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of the firm and will promote the service rendered by the company. In this way the company will
earn a short term growth in the market and will gain more consumer.
The long term strategy which the company will undertake is to get cost efficient in order to make
sure that the company is able sustain its financial stability by optimizing cost and increasing the
operational deceit of the company in an evident manner. It is to be mentioned that through the
use of this long term strategy the company will be able to increase the financial size and
operational efficiency as well to set price for gathering more amount of customers (Hagmann et
al. 2015).
Business strategy
The business level strategy of the firm in the current scenario is to be efficient in term of fleet
operations and to decrease the cost to an optimal level without affecting the overall service
quality. The company has internal capabilities like technological as well Research and
development department which helps the company to follow such strategy. The Threats which
can be seen is that in future fuel prices will increase which can affect the strategy as the
operational cost will directly increase affect the strategy in direct fashion (Arjomandi and
Seufert, 2014).
Corporate strategy
The corporate level strategy of the company is to emerge as an leader out of its competitors in
the Middle East which are Etihad and Qatar Airways. The company has looked upon strategy of
effect in service as model through which it will emerge as an leader whereas the diversification
of the service in different parts and new locations around the world is another strategy which is
followed by the company. Through such strategy the company looks to grow its financials and
operational size which will beneficial for its future existence in the highly competitive market.
Future recommendations
Future recommendations which are to be given to the company are as follows:
1. The company will have to go for economy class which is more price friendly to lower
middle class people which will help the company in targeting one more segment of
people. The organization is capable continue its money related dependability by
enhancing cost and expanding the operational misleading of the organization in an
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apparent way. It is to be referenced that using this long haul procedure the organization
will probably build the budgetary size and operational effectiveness also to set cost for
social event more measure of clients.
2. The company will also make sure that the feets in Kuwait are increased to make an
prominent availability of flight which will increase dependability of the company within
the customers of the country.
Conclusion
Concluding in the light of above context it can be said that Emirates has done well in increasing
the consumer base In Kuwait but can even increase the following through using its competitive
advantage over others in the market. This can be done through use of an efficient business and
corporate strategy.
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References
Arjomandi, A. and Seufert, J.H., 2014. An evaluation of the world's major airlines' technical and
environmental performance. Economic Modelling, 41, pp.133-144.
Barros, C.P. and Wanke, P., 2015. An analysis of African airlines efficiency with two-stage
TOPSIS and neural networks. Journal of Air Transport Management, 44, pp.90-102.
Forsyth, P., 2014. Is it in Germany's economic interest to allow Emirates to fly to Berlin? A
framework for analysis. Journal of Air Transport Management, 41, pp.38-44.
Hagmann, C., Semeijn, J. and Vellenga, D.B., 2015. Exploring the green image of airlines:
Passenger perceptions and airline choice. Journal of Air Transport Management, 43, pp.37-45.
O’Connell, J.F. and Bueno, O.E., 2018. A study into the hub performance Emirates, Etihad
Airways and Qatar Airways and their competitive position against the major European hubbing
airlines. Journal of Air Transport Management, 69, pp.257-268.
Squalli, J., 2014. Airline passenger traffic openness and the performance of Emirates
Airline. The Quarterly Review of Economics and Finance, 54(1), pp.138-145.
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