MA in Management Strategic Analysis mental faculty Evaluating Strategies clear Page G.SAA Answers SAA 1 Evaluating the Suitability of EasyJets ashes EasyJets existing outline can be characterised as secondary price/ impoverished-pitched value added (route 1 on the strategy clock) concentrating on Luton and Liverpool hubs (not the of import UK dromes) and targeting routes with little direct competition from former(a) airline businesss (which pretends up elements of entryway and variety based positioning). EasyJet exploited the study environmental substitute that resulted from the initial liberalisation of the EU airline market. The attractiveness of this low embody strategic group at heart the market has brought in in the raw-made competitors (like BAs GO) so the industry organise is changing. EasyJets decision to buy forward-looking aircraft and open air new routes can be seen as an travail to pre-emptively protect and build on their current position. The deals with Geneva airport and TEA overly allow them to exploit an EU open skies agreement with Switzerland if finalised utilise the same strategic accession. The strategy is mostly expanding upon existing capabilities in operating a low cost airline.

Expanding the fleet of aircraft potentially offers cost efficiency advantages in equipment casualty of economies of scale and range of a function across a bigger number of routes. Standardising on new Boeing 737-300s and 737-700s should also armed service minimise operational costs as well as the purchase economies from the deal (discounts). Other part of the value concatenation a! re also consistent with this low cost approach headquarters at Luton rather than a more high-ticket(prenominal) location (although not mentioned in the spokesperson the HQ is pared drop to a minimum to reduce overheads. Aircraft attention is also undertake out). As EasyJet is privately owned thusly the massive subjoin in gearing implied by the finance of new aircraft is peradventure less unattractive to investors than would be the face if the company was public. Ideally, it would be helpful...If you want to get a dear essay, order it on our website:
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