Value Curve Analysis of Emirates Sample for Students-Myassignment

Question: Discuss about the Value Curve Analysis of Emirates. Answer: In the contemporary airlines industry, Emirates is one of the most popular for its customer service, product investment as well as innovation. The company has been long competed by several major airline companies such as Etihad Airways, Qatar Airways, Jet Airways as well as Air India Express (Dundon and Wilkinson 2014). In order to evaluate the current competitive nature as well as situation of the organization, the study is focused on conducting a Value Curve Analysis. The analysis has been conducted most important features for the airlines companies, which are in flight personal space, on board shower, in flight service, walk in or stand up bar, lighting, food quality, walk-from check-in to jet way, Wi-Fi, power at seat, entertainment, easy to use book in, check in, ticket price as well as rewards program. Figure 1: Value Curve Analysis of Emirate (Source: Lange et al. 2015) The analysis has been highly successful to reveal strategic knowledge on the current as well as future status of the Emirates business prospect. This knowledge is shared below: Emirates Strategies are compatible with Blue Ocean Strategy: In order to be successful in the contemporary high competitive market, any organization needs to maintain several attributes, which are focus divergence as well as a compelling tagline. The value curve has been able to reveal that the organization is focused on on-board customer service in an extreme manner. The organization has incorporated a competitive pricing strategy, which is capable of providing greater value to the services (Redpath et al. 2016). Figure 2: Cost Comparison between Emirate and its competitors (Source: Fageda et al. 2015) From the above-depicted pricing comparison, it can be easily observed that Emirates has been able to incorporate a very significantly competitive pricing structure. It has been also observed from the analysis the company has created a distinct divergence with the competitors concerning the provision of excellent on-board service. In addition to that, the company has significantly compelling tag line, Hallo Tomorrow. It represents the pleasure in waking up with Emirates to a fresh morning. In addition to that, Emirates uses a very simple organization structure for maintaining effective operation (Xu and Cui 2017). The organization chart of Emirates is depicted below: Figure 3: Organizational Chart of Emirate (Source: Kee 2015) Company is not caught in the Red Ocean: The value curve analysis has also been able to reveal that despite of aiming to provide utmost in-flight pleasure to the customers, the value curves of Emirates is largely distinct from the competitors value curve. The major reason that has been identified is effective oil partnership with the oil companies. Emirates has been able to attain the oil in a fixed price despite of dynamic nature of oil industry. This particular move has helped the organization to stay far ahead than its competitors. In addition to that, the company has largely invested so that it can attain long haul capabilities. In the year of 1997, the organization takes delivery of six Boeing 777-200s (Baxter and Bardell 2016). These long haul capabilities have further enhanced the organizations ability to offer cheaper price. Over delivery with Payback: The value curve analysis has been also quite effective to point out that Emirates deliver number of services well over the market trends and practices without any payback. For instance, the organization offers free Wi-Fi connectivity to its users. It has been noted that Emirates has continuously invested US$20 million every year to enhance the onboard Wi-Fi services. In addition to that, the organization is also focused on transforming all of its Boeing 777-200LRs and 777-300ERs Wi-Fi ready (Davahran and Yazdanifard 2014). It has been also observed that other competitors does not provide Wi-Fi services in such an extent. In fact, British Airways did not offer Wi-Fi services at all till recently. On the same note, value curve analysis also disclosed that Emirates has been focused on providing on board shower, while the competitors do not provide the service at all. These strategies effectively reflected in business growth of the company. According to the statistics, the organization h as grown 22% each year from its founding. It has been observed that organization has continuously enhanced its market share in a gradual fashion. Figure 4: Market Share of Emirate (Source: Gudmundsson 2015) Coherent Strategy: The value curve analysis effectively identified that the strategies of Emirates are highly relevant as well as coherent with respect to the continuous growth. Although, the value curve of Emirates has been depicted as slightly zigzag, it has not been due to the incoherence of company strategy. Rather it has been observed that the organization has been maintained the market trends and adopted its strategies effectively. It has been observed that the organization has maintained the strategies of book in, entertainment, power at seat. However, it has been failed to develop proper strategies for providing adequate lighting facilities to the customers. Mainly the organization has aimed to offer a luxurious on-board service way over the competitors reach, while maintaining the market trends for other services (Logothetis and Miyoshi 2016). Lack of Strategic Contradictions: The organization has another major advantage in the form of its lack of strategic contradictions. The organization continuously operated its business with the aim of providing most luxurious on-board service to the customers. In order to do that, the organizations offered numbers of on-board facilities to the customers. The most impressive facilities are in flight personal space, on-board shower, walk in or stand up bar as well as walk from check-in to jet way. As a result, UAE has observed a boom of international travellers. Emirate has noted to contribute more than 20% of UAEs GDP (Whyte and Lohmann 2015). At the same time, the organization has maintained other services to be satisfactory and up to the competitive level. Internally Driven Business approach: The value curve analysis of Emirate has been significantly helpful to disclose that the business approach of the organization is entirely internally driven. It has been observed that the market factors are unable to influence the business strategies of Emirate. The organization enhances and improves its service facilities according to its own business goal. As the organization has been aimed to provide most luxurious in-flight service to the customers, it has enhanced numbers of service facilities without considering the market standards (Morrison and Mason 2016). It has been observed that although in case of lots of facilities the rival companies are far behind; Emirate has been driven to enhance the service facilities so that they can provide maximum lavishness to the customer. The above analysis has been immensely helpful to provide a detailed understanding on the current as well as future status of Emirates business approach. The analysis has able to identify several areas that have to be considered in order to ensure continuous growth of the organization. The analysis has immensely helped to suggest several strategic steps, which would help to attain pinnacle of success. These recommendations are discussed below: Initiating Personalized Lighting System: The value curve analysis identified Emirate has been lagging behind of its competitors to provide effective lighting system in the flight. It has effectively reduced the brand image among the customers. It has been observed that the competitors are slightly ahead of Emirated in this context. Therefore, the organization must initiate a personalized lighting system to eradicate this particular issue. This system would enable the travellers to adjust their lighting power, colour as well as location according to their own convenience. This particular system would be able to create an enormous opportunity for the organization to progress on the road of being luxurious flight dominator. Convertible Seating Arrangement: The value curve analysis also indicates that Emirate has been falling behind from its competitors to provide adequate in flight personal space. In order to resolve the issue, the organization can initiate convertible seating arrangement within the flight. The convertible seating arrangement would be highly effective to convert the seating arrangement according to the choice of customer. This way the customer would be able to use their seats for various purposes. This particular system would be highly efficient to enhance the personal space of the customer. As a result, the company would experience a significant hike in their brand image. Installation of Entertainment Screen: The value curve analysis has been quite effective to point out that the Emirate is not focused to provide greater scope of entertainment to its current customers. It has been observed that the airline competitors also provide the same amount of entertainment to the customers. However, the any given flight contains multitude number of surface area in various places. The organization can use these surface areas as entertainment screen for the customers. It will provide a greater opportunity for Emirates to thwart the competition in a significant fashion. The organization would be able to make the trip most interesting and pleasurable for the customers. The initiation will also greatly serve the organization to attain its goal of being leading player in the luxurious flight service throughout the world. Reference Baxter, G. and Bardell, N., 2016, November. 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