Understanding Customers and Competitors Essay Example | Topics and Well Written Essays - 3500 words

Understanding Customers and Competitors - Essay ExampleSince the terrorist attacks of September eleventh 2001 along with economic slowdown, the Iraq war and SARS, the aviation constancy has suffered a deep slump, particularly in swag airlines. Yet it raises opportunities for the low-fare carrier segment, such as Ryanair that is a rising star in the skies of Europe, having been performing vigorous post 9/11. The aim of this report is to analyse the overall performance of Ryanair in the fast-changing environment, and then few recommendations will be provided. Conclusions will be drawn at the end of this report.Irish-owned Ryanair, founded in 1985, began to introduce a low cost operating model in the early 1990s. The company primarily serves short-haul, point-to-point routes that target air commuters and leisure sparklers by offering low, multi-tier fare pricing and sngle-classs air transportation. Having overtaken EasyJet, Ryanair is now the largest low-cost carrier in Europe In J anuary 2000. (Doganis, 2001) The company offers approximately 475 scheduled flights per day serving 84 locations in 14 EU countries.The worldwide commercial aviation has suffered from terrorist attacks of 9/11. The tragedy dramatically decreases the number of passengers and pushed Airline industry facing deterioration in their financial positions. Similarly, impact of SARS and Iraq War reduce willingness of people to travel outside their countries. (Graeme, 2005, Siobhan, 2004)Since 1997, the European market has been completely deregulated. For example, any airlines holding a valid Air Operators credentials in the EU have right to operate on any route within the European Union, including flights wholly operating within an some other country. On May 1st 2004, ten new members conjugate the EU as part of EU enlargement. The era of single European sky related to Open-Sky Treaty, allowing point-to-point serve well between any EU countries is approaching and airline companies will bene fit from consolidation on the other hand, they