Passengers can pay an additional fee for certain seats such as the front few rows and overwing seats (which have extra legroom). The airline was renamed EasyJet Switzerland and commenced franchise services on 1 April 1999, having relocated its headquarters to Geneva International Airport. BMAN72801 Practical Legal Skills R. Hyams, S. Campbell. Brand Henderson, L. Neasham . The Airline business segment operates its route network. London Gatwick Airport EasyJet is offering shareholders 31 new shares for every 47 already held, at a price of 410p. The new airline is headquartered in Vienna and will allow EasyJet to continue operating flights across and within European countries after the UK leaves the EU. Interviews by Ross Falconer. Pricing Airline It has reinforced its position in short-haul travel aviation increasing its market share from 6.5% to 7.6%. [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. Shareholder [7] EasyJet plc is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index. Airline, MARKETING RESEARH PROJECT Low-cost carrier A2 US Government and Politics A.J. Low-cost carrier Ryanair, report is based on EasyJet founded in 1995 by Stelios Haji-Ioannou. 1.4 Research objectives. Mainstream airports (mostly): One of the main complaints I have about budget airlines in Europe is often they fly out of the most random little airports that are actually miles and miles away from the actual city they claim to be in (e.g. These cookies will be stored in your browser only with your consent. An example of this is when ''Go'' a budget airline owned by British Airways was taken over by EasyJet in 2002. 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. London Gatwick Airport, despite a significant increase in passenger taxes and economic instability around the world. Ways of Working Strategy. However their expectations are plenty. Which two stakeholders will this cause conflict between? Identifying all of a firms stakeholders can be a daunting task. 342. Undoubtedly one of the key players in this progression was easyJet. The airline's loyalty programme is called Flight Club. 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). Initially they started off with two leased aircraft that only flied from Luton to Edinburgh and Glasgow. [113][114][115], EasyJet does not provide complimentary meals or drinks on its flights (except for some occasional charter flights operated by the airline). [85], EasyJet serves 136 destinations (as of February 2019). II/ Comparison, Premium This service offers free allocated seating (including extra legroom), priority check-in, fast-track security, speedy boarding and extra cabin baggage. Powerful Essays. [44], EasyJet, like Ryanair, uses a business model pioneered by Southwest Airlines. easyJet is a European airline that uses its cost advantage and favorable network positions in strong markets to deliver low fares and operational efficiency on point-to-point routes, while offering friendly service to customers. 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%. Upon launch, it employed just 70 people; the company is based at London Luton Airport, which was traditionally used only by charter flights. and Analytical cookies are used to understand how visitors interact with the website. Stelios and his family members are the highest stakeholders in EasyJet and own about 34% of shares, which are calculated worth 6.8bn as of 2015 . It covers the main destinations of Europe offering around 27 different countries and main cities in, Premium [22][100] Since then, all orders have been from the Airbus A320 family, and the Boeings have been phased out. Easyjet stakeholders.Then evaluate the other options which will bring to the fray better returns. It is more suitable for students and ordinary income people. Lorem ipsum dolor sit amet, consectetur. Airline Best Essays. Premium At the time, EasyJet stated that it intended to introduce electric aircraft into revenue service within 10 years. To achieve this we will develop our people and establish lasting relationships with our suppliers, Premium Easyjet stakeholders Rating: 9,5/10 1687 reviews EasyJet is a low-cost British airline that was founded in 1995 and has since become one of the largest and most successful budget . They successfully bought 40% of Swiss charter operation Tea Basel AG in 1998. I have found this less to be the case with easyJet, and most of the . 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. Emissions trading EasyJet has announced plans to cut up to 30% of its workforce, or 4,500 employees, as it prepares for lower customer demand . 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.". Stakeholder London Gatwick Airport [35], In July 2017, EasyJet announced it would open a new European headquarters in Austria to enable it to operate after Brexit. A typical Airbus A319 carries 150 or 156 passengers depending on layout in a single-class configuration, but as the airline does not serve meals on its shorter flights, it opted for smaller galleys and had a lavatory installed in unused space at the rear of the aircraft. Thomas Reynaert, Managing Director, Airlines for Europe (A4E) References 16 Income statement but lacking of traditional service. 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. Charitable organization [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. London Gatwick Airport Stakeholder This method is incorporated into a strategy map that will form the basis for the development of a . This cookie is set by GDPR Cookie Consent plugin. EasyJet had a permanent base at London Southend Airport before the first Covid-19 lockdown . Strategic management 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. For example, a stakeholder can be the owner or even the shareholder. [64] In late 2015, EasyJet started making use of artificial intelligence (AI) and big data for the purpose of improving efficiency, cutting costs, and enhancing the customer experience. This website uses cookies to improve your experience while you navigate through the website. 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. 5. Profit before tax - underlying ( million) 123.1 191.3 (35.7)%. Political and Legal impacts 5 Interpersonal relationship, EasyJet has a unique geographical location because it was born in England. The first "upstream" category includes everyone who must contribute to or approve the activities required to design, build, and bring the product to market. A Market Leader As Europes fourth largest airline car- rying more than 68 million passengers annually, easyJet has been highly suc- cessful in an increasingly competitive European travel market. Air France Also the product that airlines serve is a somewhat typical service. Premium 1. ", "EasyJet paint job makes fuel bills less of a drag", "EasyJet looks to AI to cut delays and deliver its bacon butties", "easyjet will launch first electric plane in 2019", "EasyJet makes progress with electric aircraft plan", "EasyJet to offset carbon emissions from all its flights", "Sustainable flights, easyJet and Airbus work on zero-emission aircraft | SmartGreen Post | news from the environment", "EasyJet urges new tax to replace air passenger duty as part of green push", "EasyJet ads criticised over green claims", "EasyJet discriminatory wheelchair policy", "EasyJet accused of discriminating against disabled passengers", "EasyJet loses disability discrimination case in France", "French court fines easyJet over refusal to let disabled passenger board", "EasyJet threatens not to let passenger board after he criticises airline on Twitter", "Passenger sues easyJet after crew told her to move seats to satisfy ultra-Orthodox Jews", "EasyJet Europe nimmt Betrieb mit sterreichischem AOC und Betreiberbewilligung auf", "EasyJet confirmed as UK airline, despite EU ownership", "Transaero Airlines and EasyJet Sign Commercial Agreement Press Statement", "Transaero to Cease Operations October 26", "EasyJet to Halt Moscow Flights on Slumping Demand", "easyJet (Group) Fleet Details and History", "Pictures: EasyJet's first A321neo makes Farnborough debut", "Snub for Boeing as Airbus lands EasyJet deal", "EasyJet's losses widen on sterling weakness", "easyJet takes delivery of first A321neo", "EasyJet orders 12 more Airbus A320neo aircraft", "easyJet confirms order for a further 56 A320neo Family aircraft | Airbus", "easyJet Firms Order For 56 Airbus A320neo And Upsizes 18 To A321neo", "Q&A with easyGroup's Stelios Haji-Iaonnou", "EasyJet wins reservation system copyright case", "EasyJet Boosts Order For Airbus A319s By 52 Aircraft", "EasyJet launches EasyJetHotels with Hotelopia as its new exclusive accommodation partner", "The death of traditional, inflexible package holidays EasyJetHolidays gives total flexibility of hotel and low-cost flight combinations", "Financial Protection for package holidays booked with EasyJet", "EasyJet relaunches package holiday business", https://en.wikipedia.org/w/index.php?title=EasyJet&oldid=1141591126, Older aircraft are to be retired and replaced by A320neos, In the Airbus Cabin Flex (ACF) configuration, Both aircraft (G-BECG/G-BECH) were transferred to, This page was last edited on 25 February 2023, at 20:51. [104], On 19 November 2019 EasyJet ordered an additional 12 A320neo, taking the total neo orders, including the A321neo, to 159. [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. [11][31][32][33][34], In June 2011, the airline opened its eleventh British base at London Southend Airport, offering flights to Alicante, Amsterdam, Barcelona, Belfast, Faro, Mlaga, Jersey, Palma de Mallorca and Ibiza. TABLE OF CONTENTS EasyJets Business Model Analysis Airline Recognising a vacant niche in the market, Stelios decided to examine the prospects for launching his airline, having secured a commitment of a 5 million ($7.7 million) loan from his father. This Case Study details the rapid growth of easyJet which started operations in November 1995 from Londons Luton airport. By introducing the no-nonsense theory to the European market after its deregulation in 1992 easyJet did prove power by increasing the size of the low-cost market and winning passengers from prominent traditional airlines, Premium In two years it was widely regarded as the model low-cost European airline and a strong competitor to ag carriers. [58] The airline has used a number of slogans since its establishment, including "The Web's Favourite Airline", "Come on, let's fly" and "To Fly, To Save" (a parody of British Airways' slogan "To Fly, To Serve"). [22] By 2007, EasyJet was claiming to be operating more flights per day than any other European airline. By September 2000 85% of total, Premium 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 It has seen an increase in customer loyalty in its core markets. 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. [25 marks] Its strategy of success entails focusing on the economical strategy. [62] However, there has been few announcements on the project since then. [89][90], In 2013, EasyJet entered a commercial agreement with Transaero Airlines to set up a codeshare agreement,[91][92] whereby Transaero acquired the right to sell a certain number of seats on EasyJet's Moscow (Domodedovo) London (Gatwick) route. folder_openmexicali east border crossing She added that the A321neos would help to cut costs by 9 per cent. Severe disruption hits airline, with a major factor being its reliance on capacity-constrained airports such as Gatwick . Early on, EasyJet operated as a paper airline, the aircraft themselves being flown and maintained under a lease. [72][73], EasyJet has campaigned for the UK to replace air passenger duty (APD) with a new tax that would vary depending on distance travelled and aircraft type. The organization can be of any kind meant to realize certain goals by the society. The first aircraft, an Airbus A320, was re-registered as OE-IVA. Easyjet also managed to lower its underlying pre-tax loss increasing its cash-flow by million to million [83], EasyJet announced that the transition would result in no job losses in the UK, as the staff to be employed by EasyJet Europe are already based in the EU27. Table of Contents 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. Stake holders are tenet to the development and performance of the organization without which the organization either cease or collapse completely. 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. Global warming, As mentioned before Europe has around three thousand short-haul airlines meaning that the competition of easyJet can be very wide. [101], On 15 May 2017, EasyJet announced the conversion of 30 A320neo orders into A321neo aircraft to be used on busier routes. Stakeholder Total revenue ( million) 2,362.8 1,797.2 31.5%. They contracted to buy 12 brand new 737s from Boeing in 1997. 3.1.3 Discounts 4 [74], In July 2008, the United Kingdom Advertising Standards Authority (ASA) criticised a press campaign by the airline, over a misleading environmental claim that its aircraft released 22% fewer emissions than rival airlines.