'EasyJet the Web's Favorite Airline'

Essay by soniamarUniversity, Master's July 2003

download word file, 13 pages 4.1

Table of Contents

0. Introduction...................................3

Question A..Considering the business and competitive environment up to 1999, evaluate the overall attractiveness of the budget airline sector.4

1.1 Introduction.....................................................................................................................4

1.2 Industry trend for Airlines up to 1999......................................................................4

1.3 The competitive Environment in the Airline Industry up to 1999................................5

1.4 Understanding the overall attractiveness in the Airline Industry................................7

1.5 Possible Strategies for Further Success..........................................................................8

Question B Critically upraise the strategies pursued by Stelios

Haji-Ioannou over the period of the case, and assess to what extent they allow EasyJet to compete successfully in the airline industry.

.....9

2.1 Introduction ..................................................................................................................9

2.2 Understanding the Mission of EasyJet..........................................................................9

2.3.a Where are we now? ...............................................................................................10

2.3.b Where do we want to be? ......................................................................................11

2.3.c How are we going to get there? ............................................................................11

2.4 Identifying Key Success Factors..........................................................................11

2.5 Key Success Factors through Modelling Profitability........................ ........................13

Bibliography .......................................................................................................................14

Introduction

Stelios Haji-Ioannou, began operating EasyJet in November 1995 with only 2 airlines.

Stelios' strategy to model EasyJet after Sothwest airlines, together with the addition of his own spice to the theory, made the perfect combination for EasyJet, 'The webs favorite airline' to own and/or lease 18 Boeing 737-300's and to fly 27 routes in Europe, by 1999.

This report aims to fulfil the following objectives:

1-Evaluate the overall attractiveness of the budget airline sector.

2-Assess the strategies used by Stelios Haji-Ioannou to compete successfully in the airline industry.

The main findings of this report were generally positive for EasyJet, some suggestions were made as future changes in order to 'ensure long-term profitability and stability of the organisation.' (Slater,1990)

Question Considering the business and competitive environment up to 1999, evaluate the overall attractiveness of the budget airline sector.

a)

1.1 Introduction

This section will examine the overall attractiveness of the budget airline sector taking into consideration the business...