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Comparing Etihad and Emirates Airlines: Strategies, Operations and SWOT Analysis
1. Presentation .no .1
Class:
M.COM -1
Subject:
MARKETING &MANAGEMENT
Topic:
ETIHAD VS EMIRATES AIRLINES
Submitted to:
Miss Urooj Zulfiqar.
Submitted by:
kanwal Abubakar Kamil Mahnoor Zumair
Date of submission:
21-02-2016
2. Brief introduction
Emirates Airline and Etihad Airways are two premium airlines of the Arab
world operating out of UAE. While Emirates is based in Dubai, Etihad is based
in Abu Dhabi. It is difficult to directly differentiate between two of the major
airlines from United Arab Emirates (UAE), especially when they consider each
other a bitter rival, let us first know a bit about both of them. Though
Emirates was considered to be the superior of the two, Etihad has grown
rapidly and has managed to bridge the gap in recent times. While Emirates
has a world class airport base in Dubai, the base of Etihad at Abu Dhabi is
pathetic in comparison.Etihad’s cabin layout and
design is better than that of Emirates.Etihad provide more leg space, and
their 3-3-3 spacing is considered better than 3-4-3arrangement of Emirates.
Emirates was once a top notch airline now falling in standards while Etihad is
rising in statureall the time.
Etihad VS EMIRATES
3. FLY EMIRATES & ETIHAD
Mission
To make Arabian hospitality closer.
To deliver the world’s best in-flight experiences.
Vision
To make civil aviation safe, leading and sustainable.
To deliver an effective transport system that contributes to the economic
growth, quality of life.
Goals
Emirates goal is to reach on top by excelling at what we do.
Etihad goal is to sustainable development their world-Wide
operations.
Mission, Vision and Goal:
4. Slogan & Logos of Etihad & Emirates :
Slogan of Etihad:
Etihad airline has used two main slogans:
“From Abu Dhabi to the world”
“The world is our home”
Slogan of Emirates:
Emirates airline has used two main slogans:
“Be good to yourself”
“Keep discovering”
“Meet Dubai”
POSITIONING STATEMENT:
“The finest in the sky”
5. 4p’s of company
Product strategy
Etihad diamond first class & pearl business class
Luxurious air transportation and latest technology
Price strategy
Etihad use price penetration. (increase market share)
Emirates use price skimming.
Place strategy
Emirates has 11 travel shops and 122 branches
Etihad Increasing sale in Asian region
Promotion
Etihad use direct marketing ,Printed ads, broachers etc
Emirates also use direct marketing ,websites,
sponsorship etc
6. SWOT Analysis
Strength
Etihad has strong brand image
Emirates has strong hub in Dubai
Weakness
Required heavy investment
High cost & limited shares
Opportunity
Etihad launched 5 new routes
More international destinations
Threats
Air service becoming more competitive
Increasing fuel cost and changing Got polices
7. PESTEL Analysis
Political:
Support of sheikh & total instability.
Economical:
Highly developing city & cheaper cost.
Social:
Plenty of wealth people & huge population.
Technological:
Development in online device services & better facilities.
Environmental:
Tough hot environment & sounds and other restriction
challenges.
Legal:
High cost of VISA & limited labor force & low tax regime.
8. CPM Analysis of global airlines service
:
Emirates airline Etihad airline
Rates scores Rates Scores
Advertising 3 0.60 4 0.80
Quality of service 3 0.30 3 0.30
Price competitiveness 4 0.40 3 0.30
Management 3 0.30 3 0.30
Financial position 3 0.45 4 0.60
Global expansion 4 0.80 2 0.40
Customer loyalty 4 0.40 3 0.30
Market share 3 0.15 2 0.10
Total 3.40 3.10
4= Major strength , 3= Minor strength
2=Minor weakness, 1= Major weakness
9. Long & short term objectives
Short term objectives:
Decrease cost .
Increase yield.
Maintain company’s status.
Long term objectives:
Maintain and increasing profit .
Increase customers level of satisfaction
Market segmentation:
• NO discrimination of gender, religion
and color.
• Purpose of passenger’s journey
• Their country of culture origin
a
10. Product life cycle
The course of product sales and profits over its life time. it
involves five distinct stages:
• Product development
• Introduction
• Growth
• Maturity
• Decline
•
Emirates airline has attain the phase of growth, its profit
is continuously increasing.
Etihad airline as attain the phase of maturity, cost is
decreasing and profit is increasing and also has achieved
acceptance by most potential buyers.
11. Organizational structure
:
HH Sheikh Ahmed Bin Saeed Al Maktoum
• Chairman and Chief Executive
Gary Chapman
• President Group Service
Abdul-Aziz Al Ali
• Executive Vice President
• Human Resources
Ali Mubarak Al Soori
• Executive Vice President –
• Chairman's Office, Facilities/Projects
Nigel Hopkins
• Executive Vice President Service Departments
12. • Emirates employed a total of 48789 staff.
• Of which 13785 are cabin crew,4237 are flight deck crew.
• 3509 are engineering & 1784 are listed as others.
• Emirates fly 4 times a day from Karachi.
• Emirates recycle used clothing.
• sixth largest airline of the world.
Employment and other characteristics
13. Targeting
• Emirates caters to high ranking executive and businessman
belonging to the age group 30-60 who are looking for luxury
and comfort in travel.
Top competitors
• Etihad airways
• Other premium airlines
• Singapore airlines
Targeting & competitors