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ABR 2025 26(Entrepreneurial)printed 83 · PDF 97
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stock exchanges. The 2000s marked the
rapid expansion of the company with
them launching RyanAir.com, which
soon became the most visited airline
website
in
Europe.
RyanAir
also
continues its strategy of buying in bulk
as in 2003 they ordered 125 Boeing 737-
800s, being one of its biggest bulk buys
yet. This allowed it to grow its fleet and
by 2006 it carried more then 42 million
passengers,
surpassing
the
British
Airways as Europe's biggest airline. In
2009 RyanAir also tries, but fails, to
acquire Aer Lingus. The 2010s were a
period of controversy and consolidation,
with them launching the “Always getting
better” ad roll out in 2013 after severe
backlash about their quality and the
features. RyanAir also shifts its focus on
a peaceful land with central England
being their base. In 2017 a massive error
resulted in them facing major flight
cancellations due to a pilot scheduling
accident, in which 700,000 people were
affected
Lastly
comes
the
2020s
characterized by the recovery of the
industry from covid 19. In 2020 RyanAir
grounded around 99% of its fleet,
operating only on skeleton flights.
However since in 2021 the crisis was
over, RyanAir needed a way to gain
back customers, and so due to this they
employed ridiculously outlandish idea
that work such as, aggressively pushing
out their tickets for even. In 2022 they
returned to profitability, with them flying
168 million passengers. For their future
goals they bought 300 Boeing for future
growth,
aiming
at
300
million
passengers by 2034.
Setbacks:
Now because of RyanAirs business
model they face a lot of inherent
setbacks such as how their customer
service reputation has been utterly
destroyed. This is due to their harsh
baggage fees, no frills approach and
policies which are generally unfriendly
to
customers.
This
made
RyanAir
infamous, not just for their ultra cheap
prices but also with this customer
service reputation tagged along. This
hurts their customer loyalty, which
results in people only flying with them
when they want cheap flights. However
their
business
model
also
creates
another plethora of problems such as
their labour and union relations. This is
due to the fact that they rely on very
lean, and strict contracts. They also
have self employed pilots which is a risk
factor and adding to how cost cuts on a
lot of wages, makes their staff not very
happy with them. They also focus on
efficiency however they do it to the
extent that there is little room for error.
They have an ultra tight schedule,
packing as many flights as they can into
one day, using all the aircrafts they can
for ultra high utilisation, however this
means
that
one
tiny
issue
could
snowball into a multi day problem. This
is proven by their rostering mistake in
2017 which led to around 20,000 flights
being
cancelled.
This
makes
their
business one that is very fragile and
operates on a thin line. Their marketing
also carries an inherent risk, especially
of the CEO Michael O Leary who banks
on controversial statements to keep the
company in limelight. He has, at many
times, made provocative and mocking
statements to ridicule rivals, politicians,
etc. This has brought brand awareness
to the company, yes, but it also makes
them operate on a fine line as they
might topple over the edge and go too
far as when they mocked a french
83
Enterprise Edition