[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. EasyJet plc is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index. The primary driver of the cost is the re-registering of aircraft in an EU AOC jurisdiction. WJEC Level 3 Applied Certificate and Diploma Criminology C.A. 3.1.5 Credit terms 5 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. 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. Sociocultural impacts 7 EasyJet company 1 3 Marketing Mix (7Ps) 4 Stakeholder Engagement Given that the Company's principal activity is to operate an AOC and provide seat capacity to a fellow easyJet Group subsidiary and is part of the easyJet Group, to ensure an efficient and more effective approach much of the Company's stakeholder engagement takes place at a Group level. Southwest has an average fleet age of 11.9 years[49] whereas Ryanair's and EasyJet's average fleet ages are just a little over six years each. [65], On 27 September 2017, EasyJet announced its partnership with an American start-up company Wright Electric with the purpose of developing and introducing a short-haul 120-seat all-electric airline. Its strategy of success entails focusing on the economical strategy. EasyJets Business Model Analysis But its time that we took responsibility for the effect flying has on the environment. To achieve this we will develop our people and establish lasting relationships with our suppliers, Premium Political and Legal impacts 5 We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. Stakeholder, Stakeholder Expectations easyJet holidays was . What experience do you need to become a teacher? By clicking Accept All, you consent to the use of ALL the cookies. In addition to this average fare advantage, easyJet's highly dynamic revenue management system . [117], The airline had previously provided in-flight entertainment (IFE) in some aircraft, such as the ex-GB Airways fleet, using drop-down screens on some Airbus aircraft; by 2018, all use of IFE had been discontinued. [17], On 10 September 2021, the company claimed it had rejected a takeover bid from rival Wizz Air. Airline, INTRODUCTIONS They also want to create business opportunities that set them apart from competition and also to provide value for their stakeholders. Stakeholder . The cookie is used to store the user consent for the cookies in the category "Performance". Ryanair The cookie is used to store the user consent for the cookies in the category "Other. Low-cost carrier, WHO ARE YOUR STAKEHOLDERS? 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. The company's sustainable business model aims to make travel easy and affordable, while driving growth and . [60][61] Speaking at the time, EasyJet chief executive Andy Harrison commented that: "We have not developed a new concept. TABLE OF CONTENTS Its theory might affect the perception of air travel with the vision of building a customer focused brand. This was the first codeshare agreement for EasyJet; it was terminated when Transaero Airlines ceased to operate in October 2015. Lorem ipsum dolor sit amet, consectetur. References 16 Once Haji-Ioannou saw the results, he changed his mind and an e-commerce website capable of offering real-time online booking went live in April 1998; this was the first such website for a low-cost carrier in Europe. 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 To achieve this, the EcoJet was described as using propfan engines, as well as being constructed with extensive use of carbon fibre composite material. 5 Recommendations Guided by analysis of survey results, the report offers some key recommendations on areas for future work: Develop capacity-building and learning activities to support meaningful and inclusive stakeholder engagement, especially online engagement. GNA. Other executives of the airline saw the potential and approved a website trial involving putting a different telephone reservation number on the website to track success. During 2017, 'Air Time' was introduced on some EasyJet Switzerland flights, which enables passengers to connect to watch a selection of films and read books through an on-board WiFi network; this service is provided by Rakuten. Low-cost carrier These cookies track visitors across websites and collect information to provide customized ads. This had a negative impact on customers, EasyJet has . [26] By 2015, the company was flying routes to more than 130 destinations in 31 countries, operated 26 bases centred around Europe, and had a total of 10,000 employees. Lets take a closer look at, Premium But opting out of some of these cookies may affect your browsing experience. [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. Business Model Analysis Net profit also significantly increased by 60.8 % comparing to last year which is a healthy figure and mainly a result of improved total revenue figure and can result in any future investments in order to generate more profits. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor. Passengers occasionally had to wait longer for reimbursement of their expenses. Britain is isolated on geographical conditions across the sea with other countries in the European continents so the aircraft is the most convenient mode of transportation. must follow the employee/labor health and safety laws as some countries have strict regulations to ensure labor safety. [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 under fire as flight chaos exposes carrier's operating model. 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. Total revenue ( million) 2,362.8 1,797.2 31.5%. Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet. Executive Summary 1 This gives a load factor of 92.6%. Passengers can pay an additional fee for certain seats such as the front few rows and overwing seats (which have extra legroom). 3.1.1 Price List 4 DON SULL London Business School and Commentators Constantinos Markides Walter Kuemmerle Luis Cabral. How does EasyJet create value for the customer? 3.7.1 Management 11 EasyJet was founded by Stelios Haji-Ioannou, when he was just 28, in the year 1995. Easyjet stakeholders. PICTURE CONTENT v 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. [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". [11][31][33][34], On 18 June 2013, the airline announced an intention to acquire subject to shareholder approval 35 Airbus A320 aircraft, for delivery between 2015 and 2017, and 100 Airbus A320neo aircraft for delivery between 2017 and 2022. Trade union 3. http://www.britishairways.com/cms/global/microsites/ba_reports0809/pdfs/Strategy.pdf In fact as we will note again shortly a list of stakeholders that is too long actually may reduce the effectiveness of this important tool by overwhelming decision makers with too much information. They successfully bought 40% of Swiss charter operation Tea Basel AG in 1998. [124][125], On 6 November 2010, the airline started a venture with Low Cost Travel Group, to offer flights dynamically packaged with Low Cost Travel Group's accommodation through the EasyJet Holidays website. [22], EasyJet's aircraft cabins are configured in a single class, high density layout. In the UK the first restaurant opened in 1974 and now in the UK stores alone the chain serves 2.5 million customers daily. DEVELOPMENT SUGGESTIONS Competition 4 min. "Easy Jet" redirects here. The cookie is used to store the user consent for the cookies in the category "Analytics". 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. [22][100] Since then, all orders have been from the Airbus A320 family, and the Boeings have been phased out. To have happy customers a firm ha sto create expectations and meet them. The first strategy is believed to enable EasyJet to attain the student segment of the market and the second one should help to boost brand awareness (Bader 2015). Employment, Stakeholder 1: Owner as they have the biggest say on the company and its decision. Low-cost carrier Butterworths Company Law Handbook K. Walmsley. [51], Since the start of the COVID-19 pandemic until August 2020, EasyJet raised over 2.4 billion in new finance. Carbon dioxide, organization. The Company operates through two segments: Airline business and Holidays business. BMAN72801 Business ethics For example, a stakeholder can be the owner or even the shareholder. 2.6.2.1 Employee protection laws (discrimination and health and safety) Easyjet Plc. [121], On 14 December 2004, EasyJet and Hotelopia, a subsidiary of First Choice Holidays, launched the co-branded EasyJetHotels accommodation booking service. 725 Words; 3 Pages . Strategic management [16] They later closed three of their bases. This has also led to a class-action lawsuit against the company which 10,000 of its customers have apparently joined. 1. Thirdly with all the information we use them to answer 5 questions about the case-study in the text-book. We will write a custom essay specifically for you. British Airways Who are EasyJet stakeholders? Upon launch, it employed just 70 people; the company is based at London Luton Airport, which was traditionally used only by charter flights. 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. Flexi Fare[119] is a type of ticket that is usually more expensive than the regular fare and comparable to a business ticket with other airlines. Easyjet stakeholders.Then evaluate the other options which will bring to the fray better returns. 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. Born on 14th February 1967, in Athens, Greece, his father was a self-made Greek-Cypriot shipping magnate. Easyjet stakeholders. Internal stakeholders are people who are on the inside of the business that already serve the organisation these include staff managers board members etc. [52] In November 2020, EasyJet announced that, due to the pandemic and the lockdowns in many countries, it would scale back its reduced flying schedule to no more than 20 percent of capacity. Answer (1 of 4): A number of these stakeholders can be Identified. London Gatwick Airport. London Gatwick Airport Airline This was then followed by "[.] by easyJet", with "Europe by easyJet" and "business by easyJet" being the most widely used. Stakeholders can affect, Premium should consider the following legal factors when exploring a new market. [37], On 30 March 2020, EasyJet suspended all flights, grounded its entire fleet, and furloughed its crews due to travel restrictions imposed. 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. British Airways [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. A shareholder can be a stakeholder. Brand management, Despite an increase in operating costs in 2010 Easyjet has achieved a remarkable performance compare to 2009. It has seen an increase in customer loyalty in its core markets. In spite of the threats and risks associated with airline travel, this company should strive to accomplish its set objectives which will ensure that it thrives even amidst hostile environments (Ballesteros 2007). [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. A stakeholder can be a wide variety of people impacted or invested in the project. Maintaining high customer satisfaction ( low prices and high quality can be pursued together) [94], EasyJet has a reward miles sharing agreement with Emirates. EasyJet UK staff would continue to be based in Luton. Primary or secondary. Airline The two strategic choices offered include 1) expanding into new market segments and 2) modernization of brand image. easyJet is one of the largest airlines in the world, with 308 aircraft, operating 927 routes across 34 countries and 153 airports. (Jones 2007) In 1996 they replaced the leased aircraft by purchasing four second-hand aircraft. [7] EasyJet plc is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index. The Airline markets success or future lies through marketing because this sector is in competition with other modes of transportation such as bus high-speed train. Despite the global recession the Easyjet is making significant profits. Easyjet Plc PESTEL analysis is a strategic tool to analyze the macro environment of the organization. Branding 11 KLM London Gatwick Airport 3.3 Promotion 7 DALLAS - Esken, the owners of London's Southend Airport (SEN), could be put up for sale after the pandemic saw passenger numbers plummet by 90%. Motivational and inspirational [14], EasyJet was featured in the television series Airline, broadcast on ITV (19982007), which followed the airline's operations at London Luton and later at other bases. [53] It also announced its first annual loss during the 25 year history of the company. They are widely known with their, Premium [18], Early promotional activity focused on the airline's relatively low pricing compared to incumbent operators. The Airlines industry is quite highly sensitive to the environmental factors and is profoundly affected by the changes in the political social or the economic environment. They can consist of e-tickets, online booking and travel services. These aircraft have subsequently been transferred to Berlin-Brandenburg Airport. Powerful Essays. Low-cost carrier Creating a corporate culture implementing educating programs.Stelios, Premium Airline, Haji-loannou has founded the EasyJet Airline Company Limited in 1995. Easyjet is one of the FTSE250 companies and 3rd largest airlines ranked among 10 IATA listed airlines in terms of passengers carried [Ref.11, 12, FTSE, IATA (2010)]. Easyjet Plc. 4 How does easyJet affect the environment? Interviews by Ross Falconer. All three of the hub's main airlines Wizz Air, Ryanair and easyJet also scrapped flights in and out of the . Start a SWOT and Porter's 5 Forces Analysis for the company; Make a list of the issues/problems you face. Easyjet Plc's mission statement is also realistic, which makes it able to achieve various set goals and targets. This principle became a cornerstone of EasyJet's operations. [42], On 17 August 2020, EasyJet confirmed in a statement they would be closing three bases in the UK. EasyJet Plus is an annual subscription product targeted at frequent flyers,[120] both business and leisure. 's total fleet comprises entirely Airbus aircraft. EasyJet confirms, "The airline, along with subsidiary airline easyJet Switzerland, now operates over 200 aircrafts, mostly Airbus A319 5 ". 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 An example of this is when ''Go'' a budget airline owned by British Airways was taken over by EasyJet in 2002. [41], On 19 May 2020, the company revealed that it had been the subject of a cyber-attack resulting in the release of the personal information of 9 million customers. Designing the workspace to have a nice environment for the employees to work well in this will increase the efficiency of the company. 2. TABLE CONTENT ii Southwest Airlines Identifying all of a firms stakeholders can be a daunting task. Based on this evaluation, EasyJet exchanged 25 A319 orders for A320s in July 2008 and later removed the A321 aircraft from the fleet. Corporate Social Responsibility (SCR) Decisions should be made in a way that takes into account all stakeholders' interests. With number 1 and 2 market share positions in key airports across Europe this year EasyJet have been voted one, Premium "Stakeholders of easyjet" Essays and Research Papers. EasyJet was founded by Haji-Loannou in 1994. It was estimated the airline could save 12% annually, equating to a 14 million reductions in fuel costs. [22], In December 1997, one of EasyJet's design and advertising agencies suggested to Stelios Haji-Ioannou that he should consider trialling a website for direct bookings. It is corporates, Premium Within a year, over 50% of bookings were made using the website; by April 2004, the figure had reportedly jumped to 98%. 342. 10. The group, along with associate companies EasyJet UK, EasyJet Europe and EasyJet Switzerland, operates 308 aircraft. and therefore a decline in fuel prices mean an opportunity to earn big profit margin (Flattou et al 2015). This gave the airline some time to evaluate the feasibility of operating these larger aircraft. A press release issued by KCC, and copied to the Ghana News Agency, in Accra, said the . [22] In 2002, rival airline Go Fly was purchased for 374 million; the airline inherited three new bases from Go, at Bristol Airport, East Midlands Airport and London Stansted Airport; the acquisition of Go almost doubled the number of Boeing 737-300 aircraft in the EasyJet fleet. 3.2 Product and services 6 The Annual General Meeting will be held on Wednesday, 23 December 2020. We use our cost advantage, operational efficiency and leading positions in primary airports to deliver low fares, seamlessly connecting Europe with the warmest welcome in the sky. Strategic Management Essays, Term Papers & Presentations . 4.1.1. When the companies merged EasyJet ''power branded'' this means that all of the logos and names that Go had used previously where replace by the EasyJet name and logo. 3. It has reinforced its position in short-haul travel aviation increasing its market share from 6.5% to 7.6%. Sort By: Satisfactory Essays. US Airways. 1.1 Introduction. From the annual report 2008 of Easyjet, it can be found that its total revenue is increasing for example- in 2008 Easyjet's total revenue was 2,362.8 million and in 2007 was 1,797.2 million but for recession it may reduce this year. [22] The specific color that EasyJet uses closely resembles that of the telecommunications corporation Orange and was a subject of dispute between the two companies in 2004 when easyGroup launched a mobile phone subsidiary, easyMobile. Geneva was EasyJet's first new base outside the United Kingdom. EasyJet plc is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index. Organization, Stakeholders They also offer other advantages to business passengers as for example: boarding the plane among the first, going through fast-track . "The board has concluded that it is in the best interests of all stakeholders to secure the long-term . It urged travellers to cut out the travel agent. Low-cost carrier, MATCH TO EVVIRONMENT & DEVELOPMENTS Government grants permission to purchase new Aircrafts. Ansoff's Matrix. Pricing.In competing against legacy carriers, easyJet's main advantage is its price structure, which sees its average fares somewhere around 50% lower than those of the major carriers on short haul routes and 20% to 40% below those of most other lower cost competitors. The other kind is more responsible where profit maximization is subject to ethical restraints, appropriate discharge of the company's social responsibility, and a balanced concern for the needs of all the stakeholders, not just the promoters. 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. [106][107], EasyJet has previously operated the following aircraft:[108], Initially, booking was by telephone only; as a means of promoting this, all of the airline's aircraft were painted with the booking telephone number. It covers the main destinations of Europe offering around 27 different countries and main cities in, Premium They Include * Government in its role as guardian of the national economy * Government in its role as regulatory authority * Government in its role as shareholder * Shareholders of airline companies * Managements of airline . Global Politics A. Heywood. INTRODUCTION