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Essay / EasyJet Economic Factors Analysis - 832
5. Internationalization AnalysisEasy Jet has become internationalized to some extent. The “push” factors within its existing market are mainly the saturation of the European market and its strong competition. Statistics show that the number of people traveling by air has increased significantly in one year (Holloway, 2000). Asia and North Africa appear to be attractive new markets for EasyJet to expand and exert influence. EasyJet entered the European airline industry despite fierce competition. Competition factors and the attractiveness of the European market can be examined in more detail using Yip's internationalization engine. The YIP framework suggests that internationalization of the organization is influenced by the factors of globalization which are: market, government, costs and competitive considerations.5.1. Market drivers EasyJet's low-cost flight offering and its principle that “the earlier you book the ticket, the less you pay” give it the opportunity to target its customers. EasyJet also offers a number of aircraft at various airports, making their services easier to access; this acts as a driver of market control and competitive advantage. It also has the advantage of providing other services such as car rentals, internet services and restaurants (Saleem, 2010). The 'Easy Jet Europe' initiative has established a resounding, effective brand positioning in all major markets and improved visits to easyJet.com. EasyJet targets consumers through different channels that help them reduce marketing costs per sale. In 2001, EasyJet launched the 'easy Jet mobile application' which has been downloaded by over six million people, representing 5% of overall sales. Mobile boarding passes are available through the app and make it easier for the customer...... middle of paper ...... leader. Certainly, it must take into account the implications of completion on the part of direct and indirect competitors. This is why EasyJet focuses on cost management strategy and differentiation strategy (Hanlon, 2007). Through an analysis of EasyJet Airplane company strategies and performance, it is clear that it is ambitious and strives for the best. Not only do they survive in an extremely competitive industry, as Porter's Five Forces analysis shows, but they also succeed in providing their customers with the best value for money. The advantage this airline gains over its oligopolistic competitors comes from flexible ticketing and full access to all major routes. However, to sustain the airline industry, there is room for improvement and growth, as revealed by analysis using Ansoff Matrix..