Competitive analysis of Airlines in UK

The European domestic, especially short-haul journey are driven by five major airlines. These are Air France Airlines, IAG, Lufthansa, EasyJet and Ryanair. Out of the five airlines, EasyJet Ryanair is the two low-budget flights, which earns their maximum profits through short-haul trips. However, the company has some new emerging short-haul competitors in terms of Norwegian and Wizz Air. However, EasyJet is still way ahead because of its reputation and relationship with various European airports. EasyJet portfolio helps it to get early slots at highly crowded airports and hence make sure that the flight is on time on most of the occasions. The company has also gained customers because long-distance travelling flights such as Air France and Lufthansa has cut down their supply of aircraft for short-distance journey. The retrenchment business strategy applied by these legacy carrier airlines and by non-profitable making airlines on low-distance flights has helped EasyJet to generate more income and more profits.

Distribution of Cost incurred by various European airlines

To get rid-off financial issues the various business strategy applied by EasyJet. The company applies various theoretical concepts of business strategies into its day to day operation to boost its profit margin.

Strategic planning refers to formulating a strategy based on the current resource available at the vicinity of the company and the targets set by the company

Thus, it can be seen that EasyJet has been the leading low-budget flight in European market because of the cost effective and following the 4Ps of marketing mix effectively. However, the company might reach a slow growth rate in near future and should look for new market through expansion of business. In meeting the idea of expansion, a future strategy has been suggested to expand business from short-haul flights to medium and long-haul flights within Europe which will help in boosting growth rate of the company and will also increase the profit margins by considerable extent.