Emirates Airlines: Connecting the unconnected Harvard Case Solution & Analysis

Emirates Airlines: Connecting the unconnected Case Solution

Introduction

Under the successful launch of Boeing 777X, Tim Clark (President of Emirates Airline) was considering to introduce the new roots to implement the latest technology, increasing the equipment size, revitalize the human resource management as well as looking for new ways to manage the marketing and brand innovations. Therefore, the case illustrates the new ideas that would allow the company to boost its performance and stand in a competitive position against the rivals as well as overcome the future political and economic issues with in a selected location.

Background

Emirates Airlines was incepted on 25th of May, 1985 and considered to be the third largest Commercial Airlines of the world. It was established by the government of Dubai, which started operations with the flights moving to the Karachi and Mumbai. It acquired 40% financial stack and a management contract in 1998 for the use of Air Lanka project. Emirates received best Airline service award in 2001 and 2002. With all these achievements, the Airline industry still faces some external threats within a particular region and therefore looking for the re codifications of its strategic plan in order to survive in the future.

Industry Analysis

Michael Porter’s Five Forces

Threat of new Entry-Moderate

  • New entry is moderate due to vigorous economy of UAE.
  • Threat of a new ambitious airlines caused Emirates to under control the travel industry.
  • Can Lose the position due to the fact that UAE is ruled by a Constitutional Monarch, which have the power to allow the entrance of new Airlines.

Threat of Substitutes-High

  • Middle-income families could prefer the budget criteria instead of quality.
  • People would prefer to travel under the small distances and might require low cost facilities.

Bargaining power of Buyer-low

  • Buyers have the less power due to the fact that industry have few large players.
  • Due to the control of very few Airlines companies, buyers have no option to switch to others because they would not enjoy the services of other companies.

Bargaining power of Supplier-High

  • As jet fuel is the primary need of every Airline company, so under the case, suppliers possess more power under reasonable prices.
  • With change in government regulations, supplier would increase its profits under high prices offered to the companies.

Industry Rivalry-High

  • Due to the increasing competition in terms of brand ambassador programs, a high rivalry is facing among the market giants.
  • With only few players in the market, the competition is at the peak of the industry.

Industry under high profit margins

With the increase in the technological innovations in the past few years, it has been identified that Airline commercial industry is shifted towards high-profit margins in which only few players are controlling the industry in terms of high takeover of the premium travel services. Thus according to the size of the population, customers only prefer the existing services instead of taking the risk for shifting towards other.

Emirates Aviation Industry Case Solution

Trends in Airline Industry

  • Emirates flew only two aaircraft from Dubai under the lease of Boeing 737 and Airbus 300 B4 to Karachi and Mumbai....................
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