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Ryanair Strategy

In: Business and Management

Submitted By lisa06204
Words 1638
Pages 7
3.1 Competitive Strategy:
It is a fact that the competition in global airline industry has increased to the greater extent. As a result, airline companies have to develop and maintain the competitive advantages to attract and maintain the customer portfolio. While reviewing and analysing the competitive strategy of Ryan Air, it is observed that the company is offering the low cost products to its customers (Ryan Air, 2012). In other words, the Ryan Air believes that the low cost services and products is the key ingredient of its success as yet. This product strategy also defines that the company has applied and executed the cost leadership strategy as suggested under the Porter’s Generic Strategies. The aim of Ryan Air through low fare is to stimulate the demand. As a result, it helps the company to attract the travellers those are price conscious, rather than quality (Kahawatte, 2010). However, it does not mean that Ryan Air does not comply with the health & safety regulations, but it only focuses on the basic necessities to avoid extra costs. In addition to the above, the Ryan Air does not bind its customers to book two way tickets which also motivate customers.
3.2 Product Strategy:
Developing and executing the appropriate product and service strategy has always been one critical area for Airline companies. Ryan Air, being the cost leadership in the global Airline industry promises to offer the excellent customer services which help it to satisfy the customers’ demands and expectations (Mennan, 2005). However, the prices are set in accordance with the demand which eventually fluctuates and the price list always fluctuates. This has helped the Ryan Air to create its demand, increase its market shares and attract cost conscious customers to ensure its sustainability.In addition, the Ryan Air also focuses on the short haul routes through providing frequent point…...

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