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PESTLE analysis Airplane industry
Transcript of PESTLE analysis Airplane industry
Political organisations (OPEC)
Deregulation and Liberalization --> 'Open Skies Agreements'
Environmental regulations and tax
Health & Safety
World Economy +Recession +Inflation
Technological and Environmental Factors
New Technological changes
Costly investments in new airplanes
Advances in aircraft safety
Pollution and Noise
Political and Legal Factors
PESTLE analysis of the Airline Industry
PESTEL Analysis of the Airline Industry
Strategic opportunities and dilemmas in the perspective of ‘Ryanair’
Thank you for listening!
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From Ryanair´s perspective
'Open Skies Agreements' - facilitates for transatlantic flights
New addition of countries in the EU creates opportunities and a bigger market
Globalization can increase the need for cheap transportation as people find jobs across borders
Low cost strategy have demonstrated to work well in difficult economic times ( Net profit 2013; 569M Euro)
Fuel hedging agreements; reduce the level of risk related to their biggest cost
Good use of technology which decrease costs; new planes, self service at airports, ticket purchasing online
From Ryanair's perspective
In regards to expansion both in Europe and transatlantic;
higher taxes (aviation and environmental)
increased passenger compensations
higher fuel costs
'Open Skies Agreements' & allowing more cabotage- introduced more competition
Increasing competition and costs- more difficult to maintain low prices?
Possibly lower demand in the future due to demographic changes, older people prefer land transportation