Business Report of Easyjet Plc

Review and critical analysis of easyJet PLC

By Toby Luck

200869242

Word count: 2496

Contents

Page 1: Title Page

Page 2: Contents page

Page 3: 1.0 Introduction to EasyJet PLC

Page 4: 2.1 Size and Turnover

Page 5: 2.2 Product/service portfolios

Page 6: 2.3 Visions and Values

Page 7: 2.4 Governance

Page 8: 3.0 History of EasyJet PLC

Page 9: 4.1 Key competitors

Page 10: 4.2 Current threats and opportunities

Page 11: 4.3 Challenges facing the sector

Page 12: 5.0 My recommendation to address a particular opportunity that I have identified

Page 13: 6.0 Reference List

1.0 Introduction to easyJet PLC

EasyJet started life in 1995 being launched by Stelios Haji-loannou with an initial investment of £5 million (Kothari, Hitesh, 2013:2). It is Europe’s leading airline with significant presence in the UK, Spain, Germany, Italy, France and many other European countries. Based in Luton London airport (hanger 89) EasyJet runs cheap, short haul flights all across Europe. Their main focus is an ‘intra European short-haul network focused on primary airports serving significant catchment areas’ (EasyJet Annual report, 2014:3).

Stelios started EasyJet operations by leasing two aircraft and outsourcing most of the operations. He outsourced to increase efficiency and to lower costs. He offered flights from Luton to Edinburgh and Glasgow for £29 and marketed it as ‘fly to Scotland for the same price as a pair of jeans’. Stelios moulded EasyJets business model around Southwest airlines. He used the same aircraft models, had single flights short haul travel, got rid of in-flight meals and free beverages, insisted on quick turnaround times and high usage of the aircrafts, much like the EasyJet we see today. EasyJets first recorded profit was £2.3 million in 1998 (Kothari, Hitesh. 2013:2-5)

EasyJet has continues to grow in capacity since establishment. It now operates 226 airbus aircraft over 675 routes between 30 countries. Last year alone it...