Thursday, May 9, 2019
STRATEGIC MANAGEMENT EUROPEAN AIRLINE CASE STUDY Essay
st prisegic MANAGEMENT EUROPEAN AIRLINE CASE STUDY - Essay ExampleThe above issues have unfeignedly affected the labor making airlines hard to survive and eventually leading to strategic alliances amongst the players in the indus generate. The macro instruction environment analysis refers to the analysis of the political, economic, technological, environmental and social environment factors in the business environment.The Government has do in very strongly to deregulate the European airline industry by opening up the skies .This follows an agreement that was signed up between the United States Government and the European Union. As a result, the airlines ar able to make more than frequent flights, they have be discern more flexible in their price and it has helped to enhance and heighten competition in the region. Although opening up the skies has had a positive impact on the growth of the industry, the airlines have not been spared the threat of terrorism in the world. The Unit ed Kingdom has also come up with the smoke free policy, whereby people are required to abstain from smoking while in the airplanes and this has created a clean and safe environment for two the passengers and employees in the industry (Kassim and Menon 1996).The social environment has had both a po... The citizens have benefited from the multicultural environment thus they are able to gain unsanded ideas and accordingly they have become more innovative. The rate of population growth is also increasing and thus new business trends are emerging and therefore the business is able to benefit from new management styles (Kassim and Menon 1996). frugal factors.The economic recession the industry has affected its rate of operation and has thus led to its slow rate of growth. The rise in the Gross Domestic Product has led to trade amongst the airlines very expensive. The rate of swelling has been high due to the high oil prices thus affecting the profit margins in the industry. The excha nge pass judgment have also affected the margins that are being made in the industry due to the monumental fluctuations (Kassim and Menon 1996).Technological factors.The emergence of the internet has led to the rapid growth of the industry. Online bookings have become possible thus eliminating the need for travel agents and eventually it has led to saving of time and money for the passengers. Genetic engineering and tonicity controls have improved and made the industry more innovative thus making the industry more effective and efficient (Kassim and Menon 1996).Environmental factors.The industry has made a negative impact on the environment. The industry has come under criticism due to emission of carbon into the environment, erosion of the zone layers and it has brought about the make of global warming. However, even with these negative effects the industry has become more innovative as they try to come up with new mechanisms to manage and control the negative
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