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Emirates Airlines Competitive Advantage - Assignment Example

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The source of Emirates Airline’s competitive advantage is their operation of an extremely unique production model, which is distinguished by a characteristic of being flexible. This has permitted Emirates Airline to deliver groundbreaking products, which are reasonably priced…
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Emirates Airlines Competitive Advantage
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Exercise Competitive Advantage What do you think is the source of competitive advantage? The source of Emirates Airline’s competitive advantage is their operation of an extremely unique production model, which is distinguished by a characteristic of being flexible. This has permitted Emirates Airline to deliver groundbreaking products, which are reasonably priced in a comparative manner, and only one of its kind to the marketplace. Emirates Airline has had pioneering ideas for trimming down the price structure so that many people can be able to afford to travel and utilized the most modern technologies so that they can efficiently run the company operations. 2. Emirates Airlines has managed to maintain its competitive advantage in air travel for over the last few years. Why, do you think, have rival firms found Emirates Airlines competitive position so difficult? Rival firms have found Emirates Airlines competitive position so complex because the company is by far-off the most determined and utilizes the building routes approach, which is aggressive to a large extent. This has made it able for the company to sustain its competitive advantage, in addition to its furthermost strides, which have come from constructing travel routes to nations that are still developing. Long-established carriers have neglected these nations for a long time, and Emirates offers a substitute to regional airlines. The company has also taken advantage of European routes, which have growing business hubs and increased travel necessities. 3. How will Emirates Airlines maintain its competitive advantage? The basis for long-standing competitiveness is Emirate’s Airlines capacity to build up continuously new-fangled generations of additionally advanced airline, along with aviation services. The airline has demonstrated the manner in which it has maintained itself in a free marketplace and has profitably steered clear of mergers, as well as alliances. This has also given it the capacity to continue being competitive within its pursuit to make exceptional and quality air travel services available. Exercise #2: Value Chain Analysis 1. What portions of the value chain does Emirates Airlines work on to create value for its customers? The portions of the value chain that Emirates Airlines work on to create value for its customers is research and development, production, and human resources. 2. Why these portions rather than the more significant costs like fuel? Research and development, production, and human resources create value for Emirates Airline customers because customers are persistently looking for high quality service. On the other hand, Emirates Airlines fuel cost is their major expense given that it consists roughly thirty percent, but the company’s major mission is to create customer value because they value individual affiliations, interactions, developing and delivering products that will increase customer value. These portions allow them not to overlook the actuality that the customers have more interested in the insubstantial, service-oriented facets of their trips. Therefore, Emirates Airline focuses more on the people compared to other costs such as fuel to create value based on consumers. Exercise #1: Competitive Advantage 1. What do you think is the source of competitive advantage The foundation of Emirates Airline’s competitive advantage is its effectual pricing strategy, which makes sure that travelers pay comparatively inexpensive airfares at the same time as enjoying their air travel. This has been the most important competitive advantage, which Emirate Airlines has taken pleasure in since its creation. This competitive advantage has offered the travelers a cost effective alternative in air travel and consequently the basis why they have a preference of flying with Emirates Airline. The airline has also been able to employ current technologies that travelers can use to access the airline services online and make efficient arrangements in regard to products they might need, as well as flight services. 2. Emirates Airlines has managed to maintain its competitive advantage in air travel for over the last few years. Why, do you think, have rival firms found Emirates Airlines competitive position so difficult? Rival firms have found Emirates Airlines competitive position so difficult because it has been able to fly routes that other airlines do not. For instance, instead of linking through European focal points such as London or Frankfurt, every Emirate Airline new course runs via Dubai. Emirates Airline, for example, provides184 flights every week from Dubai city to India, to capitals like Ahmedabad, which is the business hub within the Gujarat state. It takes to the air to 17 capitals within Africa and, within China, to Beijing, as well as other capitals. This approach has made it very hard for other airlines to keep up with their travels and flight fixtures, prompting a tough response from airlines such as Air France, along with Germany’s Lufthansa. 3. How will Emirates Airlines maintain its competitive advantage? The company will have to have access to additional marketplaces because of the advances being introduced within the aviation industry. Restricted capabilities that facilitate or even develop such collaboration will constantly make a distinction when it Emirates Airline will utilize its first-mover leads to maintain its competitive advantage. The opening to enter new growth marketplaces where internet implementation still has opportunity to go, controlling Emirates Airline’s communications production to maintain competitive advantage. Exercise #2: Value Chain Analysis 1. What portions of the value chain does Emirates Airlines work on to create value for its customers? The portions of the value chain that Emirates Airlines work on to construct value for its consumers are production, research and development, as well as human resources. 2. Why these portions rather than the more significant costs like fuel? Production, Research and development, along with human resources construct value for Emirates Airline consumers because the company has made the decision to concentrate on making sure that their customers receive goods and services that they appreciate and need not just for company. This will make them to prefer the company every time they want to fly without thinking twice since it is all about how people feel, and the entire experience that counts. Therefore, significant costs such as fuel does not have much to compete with n terms of giving customers value since it is only used as a way of reaching their destination and not what the clients actually want that adds value to them. Exercise #1: Competitive Advantage 1. What do you think is the source of competitive advantage? The basis of Emirates Airline’s competitive advantage is its operating effectiveness relative to supplementary flag carriers within the Emirates Airlines that augmented their competence and capability in longer air travels. They began by offering direct air travels to cities such as New York and included many other destinations. This implies that the Emirates Airlines thrived in offering quality, modernization, and effectiveness, which are believed to be competitive advantage building blocks. 2. Emirates Airlines has managed to maintain its competitive advantage in air travel for over the last few years. Why, do you think, have rival firms found Emirates Airlines competitive position so difficult? Rival firms have found Emirates Airlines competitive position so intricate because the company is an excellent illustration of a service company that has been able to pursue a distinguished analyzer approach. Emirates Airlines distinguished itself with advanced service within competitive marketplaces while having the aptitude of developing new-fangled travel routes between Asia and American States to obtain new customers within that quickly growing subdivision of the commercial travel marketplace. 3. How will Emirates Airlines maintain its competitive advantage? Emirates Airlines will maintain its competitive advantage by embracing advanced technology that has additionally offered it a competitive edging in opposition to its competitors within the marketplace. The development of reflecting on the pioneering technology, as well as internet market moreover will illustrate cases of novel prospects for the business. Emirates Airline will do this by integrating the most modern technology within booking flights. This will allow the customers to get better service delivery. Through this strategy, customer fulfillment will increase, there will be improved communication, and numerous customers will be able to shift from supplementary carriers. Exercise #2: Value Chain Analysis 1. What portions of the value chain does Emirates Airlines work on to create value for its customers? The portions of the value chain that Emirates Airlines work on to generate value for its clients are human resources, research and development, and production. 2. Why these portions rather than the more significant costs like fuel? Human resources, research and development, and production generate value for Emirates Airline customers because customers have precise requirements, which have to be met when they make a decision to fly. Most of these requirements are mostly indescribable since some just require good customer care, good delivery of services, and finding ways that add value to customers. No matter how much fuel costs rank highly within the value chain, customers only get to comprehend that fuel is used to transport them to wherever they are going, however, what they come into contact more often are people who work for the airline and the services they receive. Therefore, Emirates Airline needs to generate more value to customers compared to significant costs such as fuel. Small Group Exercise #1: Competitive Advantage 1. Pick a company with a competitive advantage. What industry is it in? The company chosen that has a competitive advantage is Coca Cola, which is within the beverage industry. 2. What is this company good at (competencies)? Two of Coca-Cola’s most helpful capabilities includes there organization proficiency, and marketplace headship. The Coca-Cola Corporation provides the business with decision-making familiarity through a lot of administration training plans to help build up executives capacities, know-how, as well as experience. Coca-Cola’s marketplace leadership is a rare aspect that exists within the beverage industry. Literally, every individual knows the Coke brand name and having the results of the brand name being known everywhere within the globe is a major competence. The brand of Coca-Cola is quite hard and expensive to imitate. Coca-Cola continuously modifies the manner in which to market so that it can have the aptitude to serve certain customers in an improved way. From contemporary supermarkets to mother and father retail storehouses, Coca-Cola contains the old bottles that are throw back, which every individual is aware of and adores but moreover can deliver Coca-Cola products within a novel existing way also. 3. Based on your answer to question 2, what resources and skills are needed to maintain competencies (or what it is good at)? The resources and skills are needed to maintain competencies within Coca-Cola take account of the secret formula that questionably has better taste when measured up to whichever other cola beverages. Coca-Cola has the capacity to go on coming up with novel products and re-formulate old products. This is because, at the moment, Coca-Cola offers more than four hundred brand within two hundred marketplaces globally. The globe’s most wide-ranging system of distribution has allowed Coca-Cola to be reached by billions of consumers easily globally. Coca-Cola is constantly available in abundant to consumers within regions where additional consumer goods corporations would never think of having their goods delivered. The Africa as a continent is an exceptional example since it is fairly widespread to see a tiny shop putting cold Coke up for sale in a place where not so many people reside. Coca-Cola methods of production are very well built up that it charges a portion of the selling cost to manufacture Coca-Cola products, ensuing in high revenue margins. 4. How easily can the competition imitate this company? Competition can easily imitate Coca-Cola through four major ways, which are differentiation, differentiation focus, cost leadership, as well as cost focus. A competitor can easily imitate Coca-Cola by using the marketing approach of differentiation. This is where the rival company produces unique goods, which are dissimilar from those that Coca-Cola is offering. A competitor can utilize differentiation focus by making sure it finds a way of producing dissimilar products simply within a marketplace section that is narrow. A competitor can also utilize cost focus by charging low down prices on similar products within a number of market sections. Finally, a competitor can utilize cost headship by producing its goods at a cost that is extremely low so that it can have the capacity to make the most of the production cost. References DOGANIS, R. (2002). Flying off course: the economics of international airlines. 3rd ed. New York: Routledge. DOGANIS, R. (2006). The airline business. 2nd ed. New York: Routledge. GOLDMAN, G., & NIEUWENHUIZEN, C. (2006). Strategy: sustaining competitive advantage in a globalised context. Cape Town, Juta. HOSKISSON, R., HITT, M., IRELAND, D., AND HARRISON, J. (2012). Competing for Advantage. 3rd ed. Cengage Learning. KLEYMANN, B., and SERISTO, H. (2004). Managing strategic airline alliances. Washington: Ashgate Publishing, Ltd. PALMER, R., ET AL. (2006). Managing Marketing Performance. Edinburgh: Butterworth- Heinemann. PERREAULT, W.D. (2003). Basic Marketing Applications Manual: Supplement 2003-2004. 15th ed. Sydney: McGraw-Hill/Irwin. SHAW, S. (2012). Airline Marketing and Management. Ashgate Publishing, Ltd. THE ECONOMIST INTELLIGENCE UNIT. (2013). Sustainability Insights: Learning from Business Leaders: A Coca-Cola Enterprises report. The Economist Intelligence Unit. Read More
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