Premium [54], EasyJet's head office is Hangar 89 (H89), a building located on the grounds of London Luton Airport in Luton, Bedfordshire; the hangar is located 150 metres (490ft) from EasyLand, the previous headquarters of the airline. 3.4 Place 8 Q1: How do easyJets marketing objectives and marketing mix strategy affect its pricing decision? Debt A stakeholder is someone who holds and interest in the company. In the UK the first restaurant opened in 1974 and now in the UK stores alone the chain serves 2.5 million customers daily. But opting out of some of these cookies may affect your browsing experience. The level of stakeholders depends on the political economic and social environment. Practical Legal Skills R. Hyams, S. Campbell. [84] In May 2018, EasyJet confirmed that it was very close to achieving the required majority EU27 share ownership and that the UK government will nevertheless continue to consider it as a UK airline. Table of Contents The business generated revenue per passenger of 58 compared with a cost per seat including fuel of 53. How does EasyJet contribute to the UK economy? As argued by Sharma & Starik (12) a stake holder is that which is affected by the operation of an organization entirely or can affect the organization directly. [105], On 20 July 2022, during the Farnborough International Airshow, EasyJet confirmed the placing of an order for 56 A320neo, including an upsizing of 18 A320neo from their original order to the longer A321neo model. EasyJetHotels offers accommodation products throughout the airline's network. The series, while not always portraying the airline in a positive light, did much to promote it during this time. What are various methods available for deploying a Windows application? Ryanair These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc. [75], In July 2011, the airline tried to refuse carriage of a boy with muscular dystrophy because he had an electric wheelchair. TABLE CONTENT ii Easyjet stakeholders. Ryanair, report is based on EasyJet founded in 1995 by Stelios Haji-Ioannou. In 2017, EasyJet Plc flew 80.2 million passengers on flights that carried 86.7 million seats. [22], EasyJet's aircraft cabins are configured in a single class, high density layout. The owner of the business can be role models for the employees. Total revenue ( million) 2,362.8 1,797.2 31.5%. Southwest Airlines Government guidance and assistance available to travel and tourism businesses. Organization, Stakeholders Strategic management, EASYJET 3. Having objectives in a business is very important because it brings goals that the business needs to reach and also allows the company to be united. Weaknesses. I/ Easy Jet : General Overview 1.1 Introduction. Strategic management Three investors in easyJet <EZJ.L> have thrown their weight behind the British airline's management in their battle with the founder and biggest shareholder Stelios Haji-Ioannou over a 4.5 billion . Government grants permission to purchase new Aircrafts. [22], On 5 November 2000, EasyJet was floated on the London Stock Exchange. Strategic management, Stakeholders [15 marks] Customers booking flights through the airline's website are provided with quotes for several hotels at their destination. Stakeholders can affect, Premium [63] The propulsion system is said to comprise a series of eight electrically driven ducted fans that are buried in the wings, which are powered by numerous battery packs distributed underneath the cabin floor; it is claimed to possess a range of roughly 335 miles, suitable for about one-fifth of EasyJet's current city routes, and facilitate zero-emission flights, as well as being 50% quieter and 10% less expensive to operate than conventional jet airliners. Strengths EasyJet has established a brand reputation for being the most economical airline in Europe. Future expansion 12 [62] However, there has been few announcements on the project since then. A shareholder, though, is someone who has invested in a corporation. All three of the hub's main airlines Wizz Air, Ryanair and easyJet also scrapped flights in and out of the . 4. http://www.london.edu/facultyandresearch/research/docs/CM_04-904.pdf EasyJet is a well-known low-cost airline which operates in several European countries and has been founded by serial entrepreneur Sir Stelios Haji-Ioannou in 1995. Customer service [28], Originally, much like Southwest, EasyJet did not allocate seats passengers took any available seats, with the option to pay for "Speedy Boarding", which allowed them to be first onto the aircraft. 1 Brief history of Easyjet 3 Customers - they would want cheap flights that are comfortable and safe. Its pilot training scheme was the subject of another ITV television series, easyJet: Inside the Cockpit, which premiered in August 2017. 1. Its main strength resides in the fact that it flies to more primary airports on the top 100 European routes than any other carrier. easyJet Political factors reflect the political stability of the region where Easyjet is operating. Management WHAT ARE YOUR RESPONSIBILITIES TOWARDS EACH OF THE STAKEHOLDERS? Finally we apply these experiences to our job in the future. [101] As part of the agreement, the airline will have purchase rights on a further 100 A320neo aircraft. Maintaining high customer satisfaction ( low prices and high quality can be pursued together) gold coast shark attack video; giant schnauzer service dog for sale They influence the companys decisions as they are the main say of it. DEVELOPMENT SUGGESTIONS It is more suitable for students and ordinary income people. Quality Glossary Definition: Stakeholder. The judgement that followed reprimanded the airline in April 2007 after it made comments that its aircraft created 30% less pollution per passenger than some of its rivals. Changes in the macro-environment factors can have a direct impact on not only the Easyjet Plc but . 342. Telephone easyJet shareholders voted to approve the purchase of 56 Airbus jets at an extraordinary general meeting on Wednesday. A person group or organization that has interest or concern in an organization. Additionally its total revenue per seat grew by 5.1&capacity measured in seat flown. Stakeholders are individuals who hold a particular interest in a business, they are affected by the activity of the business. Explore the key stakeholders of EasyJet and map in terms of their power and interest. The development prospects of low-cost airline like easyjet are promising the company is exploring in the dark becoming a good business success stories, Premium but lacking of traditional service. Low-cost carrier, EasyJet is originally discovered by a Greek named Sir Stelios - Loannou in 1995. Internal stakeholders are people who are on the inside of the business that already serve the organisation these include staff managers board members etc. Aviation is a strategically important sector making a vital contribution to Europe's overall economy and employment. [85], EasyJet serves 136 destinations (as of February 2019). 3.1.4 Payment period 5 Below are the introduction, body and conclusion parts of this essay. Out of the sum, 600 million came from the Covid Corporate Financing Facility provided by the UK government and over 400m was raised from placement of shares. [20] Within its first year, easyJet reportedly carried approximately 40,000 passengers. [25 marks] ( Sull Kuemmerle and Cabral199920-38) In the year 2000 easyJet succeeded, Premium [121], On 14 December 2004, EasyJet and Hotelopia, a subsidiary of First Choice Holidays, launched the co-branded EasyJetHotels accommodation booking service. Creating brand awareness ( 10% of Easyjet revenue were spent in advertising) Political Factors Popular books for Law and Public Services . Also the product that airlines serve is a somewhat typical service. Over 8000 employees are working for the company which contain 2000 pilots and 4500 cabin crew. Stansted, Southend, as well as Newcastle from the end of August due to low levels of air travel demand as a result of the COVID-19 pandemic. It has reinforced its position in short-haul travel aviation increasing its market share from 6.5% to 7.6%. Also, its recent vow to become the world's first major airline to operate net-zero carbon flights has been received by stakeholders with much enthusiasm. EasyGroup Holdings Ltd, the investment vehicle of the airline's founder, Greek-Cypriot businessman Stelios Haji-Ioannou,[8] is the largest shareholder with a 15.27% stake (as of September 2021). Airline Sort By: Satisfactory Essays. EasyJet's biggest shareholder, the . It is corporates, Premium The cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. The organization can be of any kind meant to realize certain goals by the society. Airline, Britain S0263-2373(98)00059-0 0263-2373/99 $19.00 0.00 Initially it used Boeing 737 aircraft exclusively, but in October 2002 it ordered 120 Airbus A319 aircraft, plus 120 options. Stakeholder groups vary both in terms of their interest in the business activities and also their power to influence business decisions. US Airways. Memmingen or "Munich West", which is about 1.5 hours west of Munich to be precise). This Case Study details the rapid growth of easyJet which started operations in November 1995 from London's . Who are EasyJet stakeholders? EasyJet the airline industry was founded in 1995 by Stelios Haji- Ioannou and from thence struggled to maintain their competitive position in the airline industry. Secondly we will do the SWOT analysis and find out the reasons for EasyJets success by making marketing mix. In other words, your project's stakeholders are the . Employees - they want to be . (It is) complete nonsense, easyJet CEO Johan Lundgren told Reuters in an interview. This website uses cookies to improve your experience while you navigate through the website. [21], Until October 1997, all of EasyJet's aircraft were operated by GB Airways, and subsequently by Monarch Airlines and Air Foyle, as EasyJet had not yet received its Air Operator's Certificate. Free EasyJet Essay Topic Generator. But its time that we took responsibility for the effect flying has on the environment. Early on, EasyJet operated as a paper airline, the aircraft themselves being flown and maintained under a lease. [112], The airline's main fleet, comprising Airbus A319, A320/A320neo and A321neo aircraft, carry up to 156, 180/186 and 235 passengers respectively, depending on layout. This company bases its competitive strategy in cost leadership approach (supply same service at lower cost) and is double the size of easyJet in terms of profit. 1 minute read. This ticket offers additional flexibility, including unlimited free date changes within a set period, free route changes, complimentary checked baggage (1x20kg), an increased carry-on baggage allowance, and a 7.50 on-board refreshment voucher. BTEC Level 3 National Public Services Student Book D. Gray, T. Lilley. "Stakeholders of easyjet" Essays and Research Papers. Income statement This company bases its competitive strategy in cost leadership approach (supply same service at lower cost) and is double the size of easyJet in terms of profit. Hangar 89, built in 1974, has 30,000 square feet (2,800m2) of office space and can house three aircraft the size of an Airbus A319 at one time. The airline operates on a low cost budget, flying more than 15 million people a year and offers services for leisure and business passengers and it flies to 100 top European routes . The airline offers headphones for purchase, along with a travel pillow and eyeshades, subject to stock. 1.Introduction At the time of the announcement, it was stated that the first flight was scheduled to occur sometime during 2015. [17], EasyJet has its roots in the business activity of Greek-Cypriot Stelios Haji-Ioannou, who reportedly gained an interest in the aviation business after being approached as a potential investor in Virgin Atlantic's Greek franchisee. Click on the link below to read more.--> We have a clear focus on building strong relationships with customers to create more sustainable, long-term revenues leveraging quality, innovation and digital. This service offers free allocated seating (including extra legroom), priority check-in, fast-track security, speedy boarding and extra cabin baggage. [66][67], Since November 2019, easyJet has offset the carbon emissions from all of its flights using carbon offsetting projects that meet either the Gold Standard or Verified Carbon Standard (VCS) accreditation. The airline's loyalty programme is called Flight Club. Easyjet is a low-cost airline with headquarters in Londons Luton Airport. [18][20] Competitors responded to the emerging EasyJet in different ways; while BA was largely indifferent, KLM allegedly chose to respond with a predatory pricing strategy that led to an investigation by the European Union over unfair competitive practices. London Gatwick Airport Although the main threat in terms of competition for easyJet is the low-cost Irish company named Ryanair. for only $11.00 $9.35/page. Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features. Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors. This Case Study details the rapid growth of easyJet which started operations in November 1995 from Londons Luton airport. EasyJet is offering shareholders 31 new shares for every 47 already held, at a price of 410p. [116] Onboard sales are an important part of the airline's ancillary revenue; gifts such as fragrances, cosmetics, gadgets as well as duty free cigarettes, rolling tobacco and a large selection of spirits. We have taken ideas from Boeing, Airbus and the engine manufacturers and put them together." Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. An aerial view of SEN. Easyjet was able to offset half the impact of higher fuel cost and deliver pre-tax profits of 123m. Upon launch, it employed just 70 people; the company is based at London Luton Airport, which was traditionally used only by charter flights. This method is incorporated into a strategy map that will form the basis for the development of a . 's total fleet comprises entirely Airbus aircraft. Groups / individuals that are affected by and/or have an interest in the operations and objectives of the business Low-cost carrier, WHO ARE YOUR STAKEHOLDERS? Technological impacts 8 Most businesses have a variety of stakeholder groups which can be broadly categorised as follows: We also use third-party cookies that help us analyze and understand how you use this website. As the employees watch the owners behaviour all the time. Global warming, As mentioned before Europe has around three thousand short-haul airlines meaning that the competition of easyJet can be very wide. One of the largest airlines in the United Kingdom and Europes leading airline operating on over 600 routes across more than 32 counties. Stakeholder We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. Internal stakeholders are those from within the, Premium Offsetting can however only be an interim solution, while the zero-emissions technology that we need is developed to reinvent aviation. EasyJet Brand Charitable organization and therefore a decline in fuel prices mean an opportunity to earn big profit margin (Flattou et al 2015). [4], Since its establishment in 1995, EasyJet has expanded through a combination of acquisitions,[10][11] and base openings fuelled by consumer demand for low-cost air travel. [6] It operates domestic and international scheduled services on 927 routes in more than 34 countries via its affiliate airlines EasyJet UK, EasyJet Switzerland, and EasyJet Europe. Therefore it has to be differentiated with marketing processes. Describe the product; you need to cover all the elements (core benefit actual product and augmented product) 1. Shareholders . The international standard providing guidance on social responsibility, called ISO 26000, defines a stakeholder as an "individual or group that has an interest in any decision or activity of an organization." Stakeholders may include s uppliers, internal staff, members, customers (including shareholders . Management There is no incentive for travel agents to book flights on the airline because it does not pay commissions, which is an industry-standard practice for low-cost carriers. [44], EasyJet, like Ryanair, uses a business model pioneered by Southwest Airlines. [102] The company took delivery of the first A321neo on 18 July 2018 at the Farnborough International Airshow. "The board has concluded that it is in the best interests of all stakeholders to secure the long-term . EasyJet was strategically located, Premium Stake holders are tenet to the development and performance of the organization without which the organization either cease or collapse completely. These developments high leveled competitive market and the never-ending demand on faster transportation reduced the plane ticket prices. The airline was renamed EasyJet Switzerland and commenced franchise services on 1 April 1999, having relocated its headquarters to Geneva International Airport. For this task I will be looking at two organisations and will be looking at who their stakeholders are and how much influence they have and also what they want from the company. Introduction It was estimated the airline could save 12% annually, equating to a 14 million reductions in fuel costs. Ryanair 5. Introduction Butterworths Company Law Handbook K. Walmsley. Between 2003 and 2007, it opened additional bases in Germany, France, Italy, and Spain, establishing a presence in continental Europe. ACKNOWLEDGEMENT vi [99] The then-CEO of EasyJet, Carolyn McCall, stated of the change: "bigger planes would help EasyJet increase capacity in slot-constrained airports at peak times, such as Geneva, Amsterdam and London Gatwick". 3.3 Promotion 7 You also have the option to opt-out of these cookies. Airline, Haji-loannou has founded the EasyJet Airline Company Limited in 1995. The first aircraft, an Airbus A320, was re-registered as OE-IVA. Afrikaans; ; Asturianu; ; Catal; etina; Cymraeg; Dansk; Deutsch; Eesti; ; Espaol; Euskara; . Equally, EasyJet strives to maintain the same standard of fundamental human rights in respect of its customers and is committed to the responsibility of the equal treatment of all passengers regardless of their personal characteristics or social status. The cookie is used to store the user consent for the cookies in the category "Performance". This cookie is set by GDPR Cookie Consent plugin. Initially they started off with two leased aircraft that only flied from Luton to Edinburgh and Glasgow. In addition, Marketing Analysis of easyJet The airline's monthly inflight magazine is called The Traveller. The development prospects of low-cost airline like easyjet are promising the company is exploring in the dark becoming a good business success stories, Premium The marketing decisions of the industry are to an extent based on political decisions. In the sense these parties anticipate many from the organization. This principle became a cornerstone of EasyJet's operations. Stakeholder, principles followed by Easyjet can be emulated and how. Although the main threat in terms of competition for easyJet is the low-cost Irish company named Ryanair. About easyJet. The cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional". This is particularly shared among young travellers and several business travellers. ( Sull Kuemmerle and Cabral199920-38) In the year 2000 easyJet succeeded, Premium [24] However, in April 2006, the threat of takeover receded as FL sold its stake for 325million, securing a profit of 140m on its investment. [111] Internet bookings were priced cheaper than booking by telephone to reflect the reduced call centre costs; as a further means of encouraging the use of the website, aircraft were repainted with the web address. but lacking of traditional service. [18], Early promotional activity focused on the airline's relatively low pricing compared to incumbent operators. [18] While studying various business models in the industry, Stelios took a significant interest in the American operator Southwest Airlines, which had successfully adopted the practice of price elasticity to be competitive with traditionally cheaper buses and attract customers that wouldn't normally have considered air travel. Easyjet stakeholders. The authors' study argues that the social . [20], In April 1996, the first wholly owned aircraft was delivered to EasyJet, enabling the company's first international route, to Amsterdam, which was operated in direct competition with rival airlines British Airways (BA) and Dutch flag carrier KLM. Based on the performance indicators outlined in Easy Jet's yearly report, the Kaplan and Norton method is chosen to classify airline's strategies. Executive Summary 1 [63] In October 2018, EasyJet stated that progress was being made on its electric ambitions and that the partnerships planned to test a nine-seater electric plane as early as 2019. BMAN72801 Updated: Feb 28th, 2023. History of the Internet, look of easyJet and will also discuss an analytic research that was made to demonstrate aspects of the history of the airline along with the marketing strategy and brand strategy used and implemented by the low-budget airline. easyJet. The Holidays business segment sells holiday packages. This gives a load factor of 92.6%. Despite the global recession the Easyjet is making significant profits. Branding 11 1st Business: Nike By clicking Accept All, you consent to the use of ALL the cookies. The UK alone is a 13bn market and has grown by 6% annually," according to a company spokesperson. Name: Doancan Yksel [94], EasyJet has a reward miles sharing agreement with Emirates. [16] This came after the company had flown 650 'rescue flights', taking 45,000 people back home. [37], On 30 March 2020, EasyJet suspended all flights, grounded its entire fleet, and furloughed its crews due to travel restrictions imposed. These cookies ensure basic functionalities and security features of the website, anonymously. Easyjet Plc PESTEL analysis is a strategic tool to analyze the macro environment of the organization. Which stakeholders are critical to the business? The space saved by having smaller galleys allowed for the installation of 156 seats. These cookies will be stored in your browser only with your consent. 3.7 People 11 3.1 Price 4 Marketing Identify the key stakeholders of EasyJet and their strategic influence in two steps: a) Map the key stakeholders of EasyJet in terms of their power and interest using an appropriate framework. easyJet is one of the world's most successful low-cost airlines. Shareholder Low-cost carrier Easyjet and its rivals are not exception and have been communicating to their stakeholder mainly through their websites. Business Model Analysis 3.1.5 Credit terms 5 This gave the airline some time to evaluate the feasibility of operating these larger aircraft. Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet. Low-cost carrier EasyJet Marketing and Management in the Airline Industry Case Study Analysis discusses that This is a competitive world, mainly, for business as it has to face competition from its rival in its market industry while giving stiff competition to others. This will secure the flying rights of the 30% of EasyJet's network that remains wholly within and between EU states, excluding the UK. Each of the types of stakeholders in a business are categorized in 3 ways: Internal or external. [95], EasyJet plc. Pricing Haji-Ioannou's reply was: "The Internet is for nerds, it will never make money for my business!" 3.7.1 Management 11 Here is a useful summary: Local community and pressure groups. Start a SWOT and Porter's 5 Forces Analysis for the company; Make a list of the issues/problems you face. According to the Project Management Institute, project stakeholders are defined as: "Individuals and organizations who are actively involved in the project, or whose interests may be positively or negatively affected as a result of project execution or successful project completion.". Carbon dioxide, organization. "The total European package holidays market is worth around 61bn per year we know customers want holidays with various durations and not the traditional seven and 14 nights. 2008 2007 Change. Airline It urged travellers to cut out the travel agent. May / 15 2013. [10 marks] b) Explain the positioning of each stakeholder and the strategic implications for EasyJet. While various amounts held determine their actual control of the business, Premium As a result, it is the first major airline in the world to operate net-carbon-zero flights across its entire network. [18] EasyJet initially operated a pair of wet leased Boeing 737-200 aircraft, capable of seating 130 passengers. The group, along with associate companies EasyJet UK, EasyJet Europe and EasyJet Switzerland, operates 308 aircraft. Easyjet also managed to lower its underlying pre-tax loss increasing its cash-flow by million to million The Haji-Ioannous have sold 76.3 million nil paid rights at 1.65, a 15 per cent discount to the closing price of the rights on Thursday, said the source. [25], In March 2013, EasyJet was promoted to the FTSE 100; during the same month, the company launched its 100th route from Gatwick Airport, offering flights directly from London to Moscow. See Answer. Stakeholders are individuals (or groups) that can either impact the success and execution or are impacted by a product. It may have little or nothing to do with the products market price and depends on the products availability to satisfy his or her needs or requirements1 Easyjet is really focusing on this aspect because they are expanding and they are already flying to 129 destinations, Premium