Case on Emirates
Q 1: Vision Statement
“To be the best airline on every route we fly from”
Q 2: Mission Statement
“Emirates airline mission is to deliver the highest standards of service quality to support business in the
air transportation industry and to achieve complete customer satisfaction through innovation and
refinement of service levels.”
Q:3
PASTEL DEFINITION
POLITICAL Political factor defines the
scope up till that  government
can impact the economy of
country.
economical economical factors are
measures of degree economy’s
performance that influence a
corporation and have long
run signs.
REASONS
Emirates Airlines is upheld by
the Government of Dubai;
which is its sole proprietor by
giving foundation
advancements to build the
development of Dubai and
Emirates Airlines.
A potential issue for Emirates
Airlines is the current political
insecurity in the Middle East
locale which has the likelihood
to lessen for the extra
development of Emirates.
Emirates Airline has been
protected by the standards and
approaches made by the Dubai
government and different
nations where they are working.
Air travel request has
declined drastically. A few
significant carriers will cut
homegrown and worldwide
limit further in 2009 because
of a falloff of about 25%-30%
throughout the last quarter of
2009. The declining oil cost
is frequently viewed as a
positive improvement for

Social factor Social factors refine the
social setting of the market, and
set main components like
cultural trends, demographics,
and population growth
technological Technological factors percieve
to bring creativity in
technology which
will impact the operations of
the business
Environmental Environmental factor covers
all components which influence
or are found by the managing
setting
carriers, notwithstanding, it
likewise diminishes the
interest for premium travel to
Dubai (and to the Gulf area)
Advantages come from an
assortment of purchasers'
patterns in agreement to their
qualities, mentalities, schooling,
religion, and ways of life.
As a reality, stable incomers
make occasions yearly.
It is valid in European nations
where the vast majority have a
solid interest travel on yearly
occasions. Emirates have points
of interest working in objections
where the pattern of air travel is
socially improved.
The group should know about
social estimations of various
travelers
The innovation of video chatting
diminished the requirement for
vis-à-vis conferences which
consequences for the quantity
of business explorers and on the
deals of business tickets. In any
case, e-booking framework
reserves the spot simpler and
spare numerous costs, for
example, diminishing the
printed tickets.
Aircrafts significant concerns
are the natural changes.
The quick climate change and
atmosphere conditions impact
the believability of
administration. Along these
lines, aircrafts need to follow
procedures for the astounding
assistance.
The ecological elements can

Legal There are certain laws that
impact the business setting
during a definite nation while
there are certain strategies that
organizations keep up for
themselves
Q 4:
The Definition Identify/ Reasons…
Porter’s
Five
Forces Are
The can rivals  There were access barriers.
Threats of enter and  Emirates Airlines is the
New- leave the national airline in Dubai
Entrants market that would have a negative
impact on the entrance of
rivals in Dubai.
 Emirates' brand equity is a
popular and highly
regarded business player.
 Providers of aircraft can
easily anticipate prices to
be adjusted and/or lowered.
 Emirates Airlines is part of
the emirates group and so it
is easy to gain
incorporate the climate and
atmosphere issues, which may
wind up influencing the aircraft
business.
The approaches and guideline
permit the aircraft organization
to be more mindful in nearby
just as worldwide dealings.
The activities will be
masterminded in a legitimate
climate, which will guarantee
free from any danger venture
for the travelers
Level… Actions-
Strategies
Low… Maintaining the
services and
standards at higher
level will make
their place in the
market more
stable.
 capital and is important.
For most businesses,
raising capital would be
challenging.
 Trademark loyalty
established by customers.
 The national airlines of
Emirates Airlines and the
monopoly in Dubai give
government policies very
elastic.
The Product or  Trains are not available in Moderate Reducing costs
Threat of services that many countries like UAE, to High and offering
substitute could hence such carriers have a deals and offers
be substitute poor danger in the airlines on domestic
for our industry as they are not travel can work
product used in many other
countries for long distance
journeys
 Consumers are more likely
to replace and there are two
styles of businesses mostly
in the market, low prices
and luxury. This induces
major market variations.
Most passengers therefore
prefer to purchase cheap
tickets for
short distance flights.
The degree of  Supplier substitution costs High The
Bargainin control on because the change of preservation of
g power of its buyer by good business
suppliers the supplier suppliers is very costly; relations with
as they are only 2 (namely providers will
Boeing and Airbus) strengthen their
(namely Boeing and position.
Airbus.)
 The existence of
replacement inputs as
many suppliers have
substitutes, as over 100
airlines operate and most
of them plan for expansion.
 Limited suppliers have
market power due to the
enormous demand of their
products.
The Power of  Many tourists • (1.8 billion High Keeping quality
Bargainin purchasers annually), and price right
g power of to influence  Small switching costs and will enhance
customers their service several business options for customer's
decisions. passengers are available loyalty and
(ITAT). increase
 New technology for e- customer’s
ticketing gives customers switching costs.
the chance to search
for convenience in several
airlines.

 Companies providing
services and cost better or
cheaper. It actually allows
switching between
 different airline companies.
Consequently, several
companies have the air
miles program to attract
and maintain the interests
of consumers.
Q:5 SWOT

Opportunities:  “Strong per capita income growth in the UAE.

 The government's massive investment plan for the growth of its UAE
airports.
 Growth in the world community and also in the UAE .
 “Increased global tourist trend May set up low-cost airlines by
community of emirates”
Threats:  “Political uncertainty has an effect on production,
 “A rapid rise in the cost of operations due to aviation protection.
 “Recently, fuel prices have risen, which is also attributed to high costs
for operations.”
 “The recent arrival of low-cost airline firms...”
Strength:  Single Dubai Mega Center
 • Arab Alliance membership, known as the "Arab Commercial Airlines
Organization"
 The Arab world's first airline business to launch an e-booking scheme
 Self-check-in at the airports system provided by Emirates
 • These are some of the world's largest carriers.
 • Good quality of service.
 • The official carrier of Dubai modernity:
 The organisation is successful at improving the workforce:
 Variation of the approach to corporate management and multi-origin
personnel:
 • Ideal work atmosphere:
 • Solid plan for branding:
Weakness:  Strong costs, as opposed to other airline firms.
 Non-affiliation to some foreign alliances.
 High cost of operations due to massive investments in technology
 Strong turnover of workers due to low salaries
Q:6

Emirates continued the upper hand as their administrations like cutting edge innovation,
excellent degree of client assistance, prepared work force, enormous and imaginative armada,
progressed foundation, boundless organization and its promotion technique like games
sponsorship to pick up upper hand stay important as they were before, they are uncommon, and
they are by one way or another substitutable. Emirates benefits that are referenced above are
exorbitant to impersonate.

Q 7: Strategic Business Position

The strategic business position of Emirates is differentiation. To gain the competitive advantage over its
competitors and become unique in the market it provides highest quality services to its customers. That
makes it differentiated and distinct from other service providers. Despite having relatively high prices
company is able to attract the customers to its specially designed services. It was the first to offer TV
screen for all grades and first in the middle east to serve e-ticketing.

Q 8: Four Sustainable Criteria

Valuable: emirates have so many resources which are valuable specially its locations and cost benefit
because of its economies of scale.

Rare: emirate has human capital and geographical location as rare.

Imitate: emirates geographical location and cost economies is not easy to imitate.

Non-substitutable: all its resources are very difficult to find substitutes.

Q 9: Key Strategies

The key business strategies of Emirates are as follows:

 Expanding through strategic alliances

 Expanding into new routes
 Creating a strong brand equity
 Purchasing large planes
 Hiring most professional staff especially multinational

Q 10: Competitors

 Etihad

 Qatar airways

 Doha

Q 11:
Competitive rivalry:

Competitive rivalry is an array of measures a corporation takes in order to compete with the competitors
in the marketplace. Those businesses had suffered nearly from a similar region of advanced market; they
were struggling to obtain each other's larger client segments.

Competitive behavior:

Competitive behavior defines the collection of actions that companies take to shape and maintain
competitive advantages and position on the market. All these companies did their utmost to take all
competitors from the market to market leader.

Competitive dynamics:

Competitive dynamics is the collection of measures taken by companies for the success of the company.
As in the case of clusters, Olam renamed its new companies in nearby markets and transformed the value
chain into 'new core'.

Q:12

Emirates has a Dubai Airport servicing facility, Emirates offers great passenger facilities, their aircraft are
built as luxurious layouts, and a walk-up bar full-service. If they had to increase mainly tourist travelers,
Emirates had a collaboration with local tourism organisations to report Dubai as a tourist port,
marketing and sales activities of Emirates. They have had sponsorships for commercial purposes at the
Cricket World Cup. Which gives them access to branding. He used sports promotions to raise awareness
of the band. A quality chain is a collection of activities carried out by a company to create value for its
clients.

• Inbound Logistics: The Emirates' key suppliers are ports, fuel providers and jet providers.

• Operations: By using a range of airline types, Emirates Airline offers exceptional services. A varied fleet
of air buses is run by Emirates Airlines and Boeing aircraft are used by an all-body aircraft fleet. It also
provides cheaper long haul flight services and plans to extend its long haul flight services to various
destinations.

• Outbound Logistics: It delivers backup client facility, fright facilities etc

• Marketing and Sales: Emirates' marketing and sales efforts are targeted at rising the number of mainly
tourist travelers. Emirates works with local tourism organisations in collaboration. They also have
Champions Trophy sponsorships and other such events for marketing purposes, which offer them
marketing strategy and recognition.

Q 13. Competitive Profile Matrix (CPM)

Total Weight 1.00. Rating 1 to 4

Company Qatar Airways Etihad

Critical Success Weight Ratin Weighte Ratin Weighted Ratin Weighte
Factors g d Score g Score g d Score
Advertising 0.25 3 0.75 3 0.75 4 1
International 0.20 4 0.80 3 0.60 2 0.4
expansion
0.15 4 0.60 2 0.30 3 0.45
Financial position
0.15 4 0.60 3 0.45 3 0.45
Price competitiveness
0.10 3 0.30 2 0.20 3 0.30
Customer loyalty
0.10 3 0.30 2 0.20 4 0.40
Product quality
0.05 3 0.15 1 0.05 3 0.15
Market share
Total 1 3.5 2.55 3.15

Q 14:

Emirates Qatar airways Doha

Critical Success Weight Rating Weighted Rating Weighted Rating Weighted

Factors Score Score Score
Location 0.4 4 1.6 3 1.2 3 1.2

Brand name 0.3 4 1.2 4 1.2 2 0.6

High quality 0.2 3 0.6 1 0.2 2 0.4

Excellent service 0.1 4 0.4 3 0.3 4 0.4

Total 1 3.8 2.9 2.6

Q 15: External-Factor Evaluation (EFE) Matrix

Total Weight 1.00 and the Rating is from 1 to 4.

 Key External-Factors Weights… Ratings… Weighted
-Score
The Opportunities…

 Distinct diversification 0.14 4 0.56

 Innovation, research & development 0.12 4 0.48

 Supporting the core business economies 0.12 4 0.48

 the product-development 0.10 4 0.40

 the Retrieval of global economy 0.10 3 0.30

The Threats…

 The Local rivalry. 0.06 2 0.12

 The Rivalry from organized 0.10 2 0.20

companies.
 The Rapid increase in raw material cost 0.08 1 0.08

 The Legal, -political and regulatory 0.08 2 0.16

factors of host-Country.
 The Imitation of products. 0.10 4 0.40
TOTAL 1.00 3.18

Q 16: IEE Factor

Key Internal Factors Weigh Ratin Weighted

t g
Score
Strengths
1. Shopping under one roof 0.15 4 0.60
2. Customer-oriented 0.13 4 0.52
3. Financial position 0.10 3 0.30
4. Brand Image 0.13 4 0.52
5. Wide range of services 0.11 4 0.44
Weaknesses
1. Lack of formal mission statement 0.08 2 0.16
 2. Slowing speed of the depart lines 0.10 2 0.20
3. Don’t have any research and development 0.05 1 0.05
facility
4. Walmart’s top management is dominated 0.07 2 0.14
5. Undifferentiated products and services  0.08 2 0.16
TOTAL 1.00 3.09
Q:17

Strategic Alternatives
Add 12 decreasing
B17s to Life of
Key Internal Factors                                                    Fleet present
Weight Planes in Use
Acquire
competitor Expand
internally
Strengths AS TAS Weigh AS TAS
t
1. Unique product 0.11 2 0.22 0.08 1 0.08
2. Location of business 0.09 3 0.27 0.06 2 0.12
3. Worker’s skill set 0.15 1 0.15 0.13 4 0.52
4. Quality of product 0.11 4 0.44 0.15 4 0.60
5. Increasing work productivity 0.09 0 0 0.12 3 0.36
Weaknesses
1. Lack of quality and customer service 0.10 4 0.4 0.13 3 0.39
2. Poor marketing and sales 0.15 2 0.30 0.10 1 0.10
3. Undifferentiated products 0.08 3 0.24 0.17 0 0.00
4. Negative sense to globalization  0.12 1 0.12 0.06 1 0.06
SUBTOTAL 1.00 2.14 2.23

Q:18

The Internal-External (IE) matrix Another strategy formulation instrument used to assess the

workplace practices and strategic role of an organisation is another strategic management tool.
The Internal External Function is based on an interpretation of internally and externally market
variables that are incorporated into one suggestive model.
The IE matrix is a continuance of the EFE matrix and IFE matrix models.

IE Matrix:

Strong Average Weak

3 To 4 2 to 2.99 1 TO 1.99
High i) Grow ii) And iii) Build
Madiam iv) Hold v) and vi) maintain
Low vii) Harvest viii) or ix) Divest

EFE Scores
4
Strong Average Weak
EFE 3 To 4 2 to 2.99 1 TO 1.99
I)                   
2.46 High Grow( EMIRATES) II)                   And III)                 Build
Madia
m IV)                 Hold V)                  and VI)                 maintain
IX)                
Low VII)               Harvest VIII)              or Divest
1
IFE
4 2.79 1 IFE Scor

Q 19: QCPM

Strategic Alternatives

Key Internal Factors Strategy Option #1 Strategy Option #2

Strengths Rank Total Rank Total

(1-4) Weightage (1-4) Weightage
Weight
1. Economies of scale 0.3 3 0.9 4 1.2
2. Operational scope 0.4 4 1.6 3 1.2
3. Geographical location 0.2 4 0.8 2 0.4
Weakness
1. Less innovation 0.05 2 0.1 1 0.05
2. Unfair competition 0.05 2 0.1 1 0.05
SUBTOTAL 1.00 3.5 2.9

Key External Factors Strategy Option# 1 Strategy Option # 2

Emirates should They should increase

increase their customer experience.
growth through
innovation

Opportunities Rank Total Rank Total

(1-4 Weightage (1-4 Weightage
Weight
1. Explore new markets 0.2 3 0.6 2 0.4
2. Grow in Pacific. 0.2 3 0.6 2 0.4
3. Free trade agreement 0.2 3 0.6 2 0.4
Threats
1. Lower demand globally 0.2 2 0.4 3 0.6
1. Restrictions in countries. 0.1 3 0.3 2 0.2
2. Fuel prices. 0.1 2 0.2 3 0.3
SUBTOTALs 1.00 2.7 2.3
SUM TOTAL ATTRACTIVENESS SCORE 6.2 5.2

Recommendations
Emirates invest in innovation to grow in long term