A Comprehensive Ryanair Case Study Analysis

Ryanair Holdings is an Irish low-cost airline founded in 1984 by the Ryan family. It is the largest airline in Europe both in terms of passengers carried and fleet size. Ryanair operates more than 2,000 routes across 31 countries, serving 186 destinations. The airline has a fleet of over 430 Boeing 737-800 aircraft. The company has been characterised by its ultra-low fares and the consequent elimination of all frills. It has also been criticised for its customer service and for its treatment of workers. In 2017, the company carried 130 million passengers and made a profit of €1.65 billion.

As you know, the airline was founded on 17 September 1984 by the Ryan family, it was originally based in Waterford, but moved to Dublin in 1986. In 1985, the airline began operations with a fleet of just one leased Boeing 737-200 aircraft and two employees. The company grew rapidly, and by 1990, it had a fleet of 10 aircraft. The airline's early years were characterised by its ultra-low fares and the consequent elimination of all frills. The company also developed a reputation for its poor customer service and for its treatment of workers.

The Expansion of Ryanair

In the early 1990s, Ryanair began to expand rapidly. In 1992, it became the first Irish airline to operate scheduled services to the UK. The following year, it launched its first international route. In 1994, the company also went public and raised £11 million through an IPO.

In September 1995, it opened its Belfast base at Alder grove, adding a number of new routes to the Irish network. The following year, Michael O'Leary joined Ryanair as deputy chief executive. Over the next two years, he transformed the airline's fortunes by making a series of changes that have become part of its DNA. This included improving customer service by introducing allocated seating and the one-step online check-in. It also involved outsourcing many functions to outside companies, which would later be brought in-house under a centre of excellence. In 1997, all IAA regulations were dropped as Ryanair went from an IATA carrier to an LCC.

In 1998, Ryanair acquired its first Boeing 737-400 aircraft and launched several new routes, including services to Amsterdam, Barcelona, Frankfurt and Paris. It opened its first base outside Ireland at London Stansted Airport the following year.

In 2002, the airline ordered 120 new Boeing 737-800 aircraft in a deal worth $15 billion. This was the largest order ever placed by an Irish company. The aircraft began delivery in 2004, and by the end of 2009, the airline's fleet had grown to over 200 aircraft. In 2006, Ryanair signed an agreement with Boeing to purchase up to 200 new Boeing 737 MAX 8 aircraft. Deliveries of these aircraft are due to commence in 2020.

Here’s the Ryanair Case Study Analysis

In 2008 and 2009, Ryanair was affected by the global economic downturn. Following a significant drop in consumer demand, the airline made two consecutive years of losses. However, in 2010, it returned to profit and opened new bases at Birmingham and Edinburgh airports. In 2011, there was further expansion as it announced plans to fly from London Stansted Airport to Dublin, with a launch date scheduled for 2014. This will allow passengers to connect between these two capitals without changing planes at London–Heathrow. The following year, it opened new bases in Lithuania and Malta. By 2013 its fleet had grown to over 300 aircraft and carried more than 81 million customers that year.

In 2017, Ryanair announced plans to close its base at Belfast International Airport and reduce the number of aircraft stationed there from six to three. This decision was taken due to the high cost of operating at the airport. In the same year, it carried 130 million passengers and made a profit of €1.65 billion.

Ryanair’s Boeing 737-800 Aircraft Faced Criticism from Many

Our mentors, who provide online case study help, say that the airline has been criticised for a number of reasons, including its ultra-low fares, which have led to the elimination of all frills; its customer service, which is often seen as poor; its treatment of workers, which has been described as "Dickensian"; and its decision to close its base at Belfast International Airport. It has also been criticised for its use of Boeing 737-800 aircraft, which are seen as being too large for short-haul flights.

The airline has a number of benefits, including its ultra-low fares, which have made air travel more affordable for millions of people; its customer service, which is often seen as being good value for money; its wide range of destinations which covers most of Europe; and its modern fleet of aircraft. It has also been praised for its decision to close its base at Belfast International Airport. This will allow the airport to focus on more long-haul services.

How Has Ryanair Changed Over The Years?

The airline has changed a great deal over the years. In particular, it has:

• Introduced allocated seating and one-step online check-in; outsourced many functions to outside companies, which have since been brought in-house under a centre of excellence.
• Dropped all IAA regulations in 1997 to become an LCC.
• Ordered 120 new Boeing 737-800 aircraft in 2002.
• Opened new bases outside Ireland at London Stansted Airport in 1999 and at Birmingham and Edinburgh airports in 2008; signed an agreement with Boeing to purchase up to 200 new Boeing 737 MAX 8 aircraft in 2006; carried 130 million passengers by 2013.

It has also been criticised for a number of reasons, including its ultra-low fares, which have led to the elimination of all frills; its customer service, which is often seen as poor; its treatment of workers, which has been described as "Dickensian"; and its decision to close its base at Belfast International Airport. It has also been criticised for its Boeing 737-800 aircraft, which are seen as too large for a short-haul flight.

Summing Up

Ryanair is a low-cost airline that has changed a great deal over the years. It has been criticised for a number of reasons, including its ultra-low fares, poor customer service and Dickensian treatment of workers. However, it also has a number of benefits, including its good value for money customer service, a wide range of destinations and modern fleet of aircraft. It has recently been criticised for its decision to close its base at Belfast International Airport.

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