The UK aviation industry market is oligopolistic with both legacy airline carriers like British Airways, Virgin Atlantic, and Air France operating at the higher end of the market and low-end airline carriers like Ryan Air and Norwegian Air operating at the lowest end of the market. One of the biggest issues that is changing the nature of competition in the UK airline industry is the introduction of no-frills packages by legacy premium carriers such as British Airways as they attempt to reposition themselves to curtail the challenges of competing with lost cost carriers. This has the airline industry less attractive and competitive behaviour drives the service towards commoditization and low profit margins. Using Michael Porter’s five forces analysis framework, this report examines the UK airline industry and EasyJet to understand the major points at which EasyJet is affected by the five forces.
Magezi, K. Prudence (2019) "Porters five forces analysis of Easyjet" 123 Writing [Online] at https://www.123writing.com/sample/easyjet-porters-five-forces-analysis-2018
APA
Magezi, K. Prudence. 2019. Porters five forces analysis of Easyjet. 123 Writing. Retrieved from https://www.123writing.com/sample/easyjet-porters-five-forces-analysis-2018
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Easyjet Porters Five Forces Case Study
Key Learning Outcomes
- Use Porters five forces model to analyse an industry on the basis of the five competitive forces.
- Analyse the UK airline industry industry and how the five forces have affected Easyjet and rival firms like Ryanair, Norwegian Air, British Airways etc. and the impact on industry structure, attractiveness, and profitability.
- Understand how Easyjet has managed to defend against intense competition from Ryanair, and Norwegian Air and the strategies it uses to create 'blue oceans' that are defensible, helping it capture market share and maintain competitive advantage.
Using a Porters five forces framework, analyse EasyJet's competitive environment.
- See also, Easy Swot Analysis 2018
- See also, Easyjet Pestel Analysis 2018
- See also, EasyJet Value Chain 2018
- See also, Easyjet Vrio Analysis 2018
1.0 INTRODUCTION
In March 1995, businessman Stelios Haji-Loannou founded Easy Jet airlines. The aircraft used during the first year of the company’s operation was leased by British Airways. In 1996, the company bought the first of its own planes (Dortmund-airport, 2020). Over the years, the airline has expanded its operations in Europe.
Using Michael Porter’s five forces analysis framework, this report examines the UK airline industry and EasyJet to understand the major points at which EasyJet is affected by the five forces.
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