Air Berlin Case

2612 words 11 pages
Financial ManagementAir Berlin Case

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Executive summary
Airline industry has been faced with stiff competition due to the increased number of airline companies in the sector. The study will focus on the strategies that are deployed by Ryanair Airline Company, Air Berlin Company and Easy jet plc in ensuring that it meets with the competitiveness in the economy. The strategies for Ryanair Airline include; Low fare, Best Customer service, Short-haul route and destination, Reduction of operating costs, Internet services in its reservation system and Quality management. In the case of Air Berlin airline its strategies comprises of high service standards, blanket coverage, market positioning
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In addition, the payment is made according to the underlying legal obligations and the contractual obligation that the company faces. The company’s business model and strategies are based on vital strengths that enhance scalability, sustainability of growth and its competitiveness. They include; customer service and safety, fare structure is simplified; unit costs are minimized, strong branding, articulation of multi-base network and strong corporate culture in the organization.
In regard to customer service and safety, the cabin crew ensures that the passengers are well catered for and that they are given maximum attention in order to make the satisfied with the company’s service. Articulation to passenger’s safety and services has seen the company increase its customer base over the last decade. As a result, the company has reported high revenue outlay enhancing its profitability.
The fare structure for the company is not complicated and there are no additional costs once the passenger has paid the fare stipulated by the board. Fluctuation of airline fare has seen most customers shun from using a given airstrip. In order to enhance large customer base, the simplified fare structure has been adopted by the company. Generally, the use of a well-outlined fare structure ensures that the customers are


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