Ryanair Case Study Questionnaire Answers

Case question 1.1

a. Ryanair’ strength are its resources and capabilities that can be used for
developing a competitive advantage:
. It takes advantage of the internet,90% of the booking is done online which
offers huge potential. It eliminated intermediaries and distribution coast.
. It has an aggressive and innovative leadership managed by Micheal O ‘leary
which made a lot of positive changes and publicity
. Time- Ryanair uses time and circumstances to their advantage, applying
dynamic pricing technique.

b. Rather than closing down the airline, Tony Ryan and Micheal o’Leary
decided to use a “No Frills Operator” model. This meant that, conventional
features of air travel like free food, drinks, newspapers and allocated seats
were removed. This ensured that the airline would provide functional and
efficient services.
. Micheal o’Leary applies a strategy that helped capitalize on extra services
such as checking baggage into the hold, booking by credit card, selling
insurance, priority boarding and refreshments. Each time a passenger books a
hotel or rents a car through the Ryanair website, it turns a commission.
.Managers saw potential of the internet and decided to add it to their business
model in order to increase their marketing and accessibility to the general
public which maximised sales.

Case question 1.2

After careful analysis the following individuals were identified in relevance to
Mintzberg’s roles of management classification.
. Entrepreneur- Tony Ryan an Irish businessman alongside others founded
Ryanair, one of the largest European airlines in 1936
. Liaison- Michael O’ Leary, financial advisor to Tony Ryan and chief executive
was in charge of procurements of agreements with airport operators and
aviation authorities.
. Disturbance handler-Micheal O’leary takes a deliberately aggressive stance
against disputes with airport operators and the European Commission that are
inconsequential in nature.

Case question 1.3

Ryanair’s successful strategic management position is reflected in optimization
of its internal processes offering value to customers whilst eliminating waste.
. Planning- Plans a basic service model with no essential or unnecessary details
or service (No-frills service), offering a point-to-point service and short haul
routes to secondary and regional airports whilst offering cheap rates on ticket.
. Minimizing staff coast by introducing productivity based incentive payments
. Organising- Allocating tasks to cabin crews to minimize extra clean-up coast
. Leading- Took a resourceful approach to maximizing the sale of tickets
utilizing the internet and minimized labour and running coasts.