Emirates Airlines: Macro-Environmental Analysis

EMIRATES AIRLINES
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Table of Contents
TOC \o "1-3" \h \z \u Introduction PAGEREF _Toc502671399 \h 4
1.Part I- External Analysis PAGEREF _Toc502671400 \h 4
1.1.Macro-Environmental Analysis (PESTEL Analysis) PAGEREF _Toc502671401 \h 4
1.1.1.Political Factors PAGEREF _Toc502671402 \h 4
1.1.2.Economic Factors PAGEREF _Toc502671403 \h 5
1.1.3.Social Factors PAGEREF _Toc502671404 \h 5
1.1.4.Technological Factors PAGEREF _Toc502671405 \h 5
1.1.5.Environmental Factors PAGEREF _Toc502671406 \h 6
1.1.6.Legal Factors PAGEREF _Toc502671407 \h 6
1.2.Industry Analysis (Porter’s Five Forces Model) PAGEREF _Toc502671408 \h 7
1.2.1.Threat of New Entrants PAGEREF _Toc502671409 \h 7
1.2.2.Rivalry among Existing Firms PAGEREF _Toc502671410 \h 7
1.2.3.Bargaining Power of Customers PAGEREF _Toc502671411 \h 8
1.2.4.Bargaining Power of Suppliers PAGEREF _Toc502671412 \h 8
1.2.5.Threat of Substitute Products/ Services PAGEREF _Toc502671413 \h 8
1.3.Opportunities and Threats (Partial SWOT Analysis) PAGEREF _Toc502671414 \h 9
1.3.1.Opportunities PAGEREF _Toc502671415 \h 9
1.3.2.Threats PAGEREF _Toc502671416 \h 9
2.Part II – Internal analysis PAGEREF _Toc502671417 \h 9
2.1.Analysis of Emirates’ Resources & Competencies PAGEREF _Toc502671418 \h 9
2.1.1.Identification of the Resources & Competencies PAGEREF _Toc502671419 \h 9
2.1.2.Distinction between Threshold and Distinctive Resources & Competencies PAGEREF _Toc502671420 \h 10
2.1.3.Appraisal of the Resources & Competencies PAGEREF _Toc502671421 \h 11
2.2.Strengths and Weaknesses PAGEREF _Toc502671422 \h 12
3.Part III - Description of Emirates current corporate and business strategy PAGEREF _Toc502671423 \h 13
3.1.Emirates’ Corporate Strategy PAGEREF _Toc502671424 \h 13
3.2.Emirates’ Generic Strategy (Porter’s Generic Strategies Model) PAGEREF _Toc502671425 \h 14
4.Part IV- Emirates Issues and Challenges PAGEREF _Toc502671426 \h 14
5.Part V – The Selection of Strategic Options PAGEREF _Toc502671427 \h 15
5.1.Generating Strategic options PAGEREF _Toc502671428 \h 15
5.2.Evaluating the Strategic Options PAGEREF _Toc502671429 \h 16
5.3.Implementation PAGEREF _Toc502671430 \h 16
Conclusions PAGEREF _Toc502671431 \h 17
Reference List PAGEREF _Toc502671432 \h 18
Appendices PAGEREF _Toc502671433 \h 20
Appendix 1 PAGEREF _Toc502671434 \h 20
Appendix 2 PAGEREF _Toc502671435 \h 21
Introduction
This report seeks to examine the strategic issues surrounding Emirates Airlines. The report begins by carrying out the external and internal analysis of the company to unearth the issues present in its business environment. This report also evaluates Emirates’ corporate and business strategy, issues and challenges, and strategic options. Emirates is a Dubai-based airline company that provides in-flight and flight entertainment systems that include business, economy, and first classes. It is one of the fastest growing firms in the world, and as noted in the case by Alcacer & Clayton (2014), it took the company just twenty-five years to grow and become the t...