Strategic Development Approaches in Ryanair

Strategic management is the process of making any organization more competitive by setting organizational goals and objectives with different procedures. First, an organization needs to set some strategies and proper plans for the execution of those strategies. Any organization to analyze its operational activities for making further improvement but all important factors, which influenced operational activities, are needed to be analyzed. This assignment is focused on a case study: “The low fares airlines of Ryanair”. Ryanair is a European country-based airline company that has done remarkable growth and success by its low–cost business model with tremendous operating and financial performance. The illustration of this case study describes how Ryanair analyzes its operational activities and utilizes its internal resources and capabilities to meet the perceived value of customers. Every organization needs to manage its customer at their satisfactory level; thereby sustainable competitive advantages are required mostly by any organization. The CEO of Ryanair estimated the profit growth over 20 percent in the year 2014 with a high share record of €14. 66 and the customer ratio in France increased over the year. In the early period of Ryanair was closely stuck with the low-cost/ low-fare model and one analyst compare Ryanair with other companies. Ryanair ranking was in the number one position for its highest international customers with its less operating costs, which are reduced by five percent. Ryanair's strategic decision is to reduce its cost by different costs disciplines excluding exceptional items. The approaches Ryanair adopted in this case study are the classical approach and by this approach, Ryanair examined their external and internal environment for getting sustainable competitive advantages. At the bellow different approaches in Ryanair are given by focusing on the case study: Fair and Route Policy: Making high competitive pricing policy, which is significantly lower than other carriers. The budget model introduces Ryanair to a new route with different facilities such as free-flight meals including baggage transfer. In the winter season of 2014, Ryanair planned to deploy 40 aircraft due to lower fuel costs and higher demand. Airport Costs: Ryanair deployed several decisions in its strategic decision making and that is directly associated with various airport costs and as a result increasing customers throughput.