The overall market position
Ryanair LTD is one of the most competitive companies, offering the cheapest flights within Europe. Offering more than 500 destinations, the company’s strong side is providing the possibility to travel freely for the middle-class population, and people below the middle-class level. In the confirmation of these words, the phrase by Martin McGuinness may be adduced: A regional press ad, in the Belfast Telegraph, for flight offers from Ryanair was headlined “Low fares finally in Belfast!”. The ad showed a photo of Sinn Fein officials Martin McGuinness and Gerry Adams being interviewed by correspondents. A speech bubble from Martin McGuinness’s mouth, stated: “Ryanair fares are so low even the British army flew home…”.
Competitive position
Ryanair always was Europe’s inventive low fares airline company and is still Europe’s main low fares transporter. In the year 2007 Ryanair will carry 50m passengers on 563 low fare routes across 26 European countries. The company has 23 European stands and by the end of March 2008 Ryanair will operate a fleet of 163 new Boeing 737-800 aircraft with solid arranges for a further 99 new aircraft, which will be delivered over the next 5 years. As for the social policy, Ryanair currently hires a team of 4,800 people, including over 25 different nationalities.
The new bases in Dusseldorf and Bristol are announced as the rapid expansion of the company continues across Europe. In March 2007 IATA confirmed that Ryanair has become the world’s largest global airline. In May company launched the world’s first free seat giveaway (including taxes and charges), offering 1 million passengers the possibility to seize flights for free.
Expenditure forecast
The official report by the company states, that £1.328 million will be available by the end of the current biennium than was projected at the end of the previous season. The amounts now forecast before the current law share from forecast balances are as follows.
Prices
As has been noted above, Ryanair offers the lowest prices in Europe for air transportation. The prices vary from £5 to £100 including the prices for packets of services.
Trend estimates and average seasonal components
According to Stock Exchange forecasts, the levels of the Ryanair LTD grow, as now, the runup is 1.6%.
Domestic sales
It is rather unlikely, that increase in domestic sales would increase, as the company does not offer a wide range of domestic flights. It is more oriented to connect large European cities. Most probably, the sales stay at the same level, if not counting the seasonal booms.
As for the reliability of the forecast, it is necessary to mention, that the technique of generalization had been used, and the forecast is based on the notion, that Ryanair is a stable company, offering fare services, and fairly acting on the market of air transportations.
References
- Holidays and travel, 2007. ASA Adjudication. Regional press, Dublin, Ireland
- Ryanair LTD, 2007. History of Ryanair. Ryanair.com
- Ryanair LTD, 2007. Route map. Ryanair.com
- Ryanair LTD, 2007. Live Flight Information. Ryanair.com
- Jeff Chu 2007 The $3 Flight. The Washington post. 2007