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Ryanair Internal Analysis Essay

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Financial analysis (internal analysis): Financial analysis shows increase in profit margins. Analysis showed that Ryanair airlines were still in profit even after cancelling the flights but their market share prices decreased. The cost of maintenance, marketing, distribution and rental aircrafts increased but there is a decline in operating margin which led to higher profit margins. Ryanair may face loss in profit in coming days if they refund the 400000 affected customers. External analysis: It is done to check the environment in which the company operates. It identifies various external factors like opportunities, threats and challenges which are affecting the firm. Macro environment analysis and industry analysis are two main analysis carried out in external analysis. Macro environmental analysis mainly focuses on decisions made by the company, performance of the company and strategies used by the company. Major factors that are …show more content…

Ryanair should upgrade their technology in order to store details regarding employee’s employment status. Management should play a vital role in managing all the predicted changes and should maintain a proper communication with all the members associated with the company. Working conditions should be improved for employees as well as benefits should be awarded to employees for providing good customer service. Meetings should be taken on regular basis in order to hear employee and customer problems so to act accordingly. Valid reasons should be given to customers in advance if any flight is getting cancelled and alternative arrangements of flights should be made to affected customers for better satisfaction. Refund policy should clearly describe the conditions for what all occurrences the refund will be provided in order to gain customer trust. Ryanair should always keep a backup plan ready for aircrafts or for migration of pilots and other

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