PowerPoint Presentation

Effects of the Recession on Emirates Airlines

By Khalid Al Khatib

Supervised By mrs.Katherine Kennedy

Research Project

Content

Background

Proposal

-Objectives-Methodology-Code of Ethics-Project Management

Analysis

Conclusion

Achievements

Recommendations

Implementations

Evaluation and Future work

Background

Research question: What are the effects of the economical down-turn on high-cost carriers (Emirates Airlines) ?

During the 2009 economical depression many high cost and low cost airlines faced downturns in their performances and revenue optimization. This research will further discuss the impact done by the crises on high-cost airlines in particularly Emirates Airlines, and how were they affected in terms of customer demand in Dubai, specifically amongst the students of Emirates Aviation College.

Proposal

Objectives

Identify the major impacts on high-cost airlines that emerged during the recession.

Establish an organized study on how did these impacts affect the student and staff community who frequently use the airlines for their leisure/business/family trips.

Compare the differences statistically between the number of customers using the airline now and during the recession.

Construct a systematic approach in collecting data that will help identify the main points of the research.

List a few ideas and recommendations for high-cost airlines in how to maintain a healthy status during and after a recession.

Proposal

Methodology

Secondary Research.

External data was collected via aviation and government websites that are known for reliability in sources; moreover, data was collected from syllabus books. (references of books and journals will be listed at the end of the research when used)

Internal data was collected via requesting reports about the number of passengers that travelled the airlines quarterly from 2009-2012

Primary Research

A questionnaire was created to find information on the number of people that fly Emirates, how many people were affected by the recession throughout the 4 years (2009-2012), the age and gender of the candidates, and their opinions on what airlines can implement during any recession in order to maintain customer satisfaction.

Proposal

Code of Ethics:

All data collected were referenced from sources that I have taken the information from.

Surveys were supervised by my tutor and I did not establish any means of information collection such as interviews, questioners, and surveys without any consent.

All personal information was anonymous and not used in the research

No personal details was required from any candidate in collecting the data.

Plagiarism is a criminal offence and it was not be part of the research.

All information collected was be supervised and carefully measured before any submission.

Proposal

Project Management:

Risk Management

The risk could be that not many students will be able to complete the questioners and surveys as some do not book for flights or have any idea of what and how the recession affected their travel plans as their parents were the ones to have a direct impact in that situation, and it would be difficult to get on hold of all the contact details of the university staff and students in order to ask them on their experience during the down-fall. Moreover, it might be difficult to collect a vast amount of data about the issues that the airlines faced because some airlines do not statistically list their flows for the public to see, however, comparing revenue fluctuation and customer demand via research and surveys can be enough to assume or hence calculate the differences.

Proposal

Project Management:

Quality Management

I used legal approaches in collecting data and acquiring approved consent in collecting my data via surveys or interviews. Furthermore, submitting my work in time will maximise the quality of my work.

Analysis

Age

How old are you ?Under 1818-2526-3031-4546-5960+1232330

Analysis

Booking

Analysis

Fly Emirates

Analysis

Occupation

Analysis

Quality Maintenance

Analysis

Reason of Travel

Analysis

Region

Analysis

Participants were asked to select the class they traveled in correspondence to the year, and that was with respect to the reason of travel. Three bar graphs were generated to show the different answers given according to the reason of travel.

Analysis

Analysis

Analysis

Analysis

In the survey, 32 of the participants were asked how did the economic downturn affect their travel since 2009.

According to the responses, only 1 out of 32 were directly affected, the rest claim to not have been affected, as some even claimed that they have started traveling more because less people decided to travel during the recession. A few mentioned it did not affect them much, however they refrained from traveling. On the whole, the statistics of the responses clearly show that the travel plans of the majority were not affected dramatically.

Analysis

In the last part of the survey, the participants were asked about their opinions or recommendations that they would like airlines to implement during any recession in order to maintain their performances and customer satisfaction. 24 candidates responded out of 32.

Conclusion

Despite the fact that around 43% of the survey takers booked tickets by themselves, the rest acquired their tickets from their parent/guardians, as we can deduce from that, that the recession did not have a major impact on customers travel plans, however, since some of the participants mentioned that they either stopped travelling or were affected we can deduce that prices dropped as less people travelled which gave most customers the opportunity to travel more.

Emirates Airlines reduced their prices during the recession, there was no inflation noticeable in that field of the business.

Achievements

I deduced that the major impact was not on the passenger count yet it was actually on the profit section of the airline.

I constructed a survey to understand how were the impacts of the economic recession playing a role in their travel plans and decisions.

I was able to achieve the third objective by statistically comparing the differences of the number of customers traveling during and after the recession.

Conducted primary and secondary research that included online-articles, books, and a survey

Customer opinions were asked in the survey

Recommendations

Calculate changes pre-recession and during, and then regulate them for the industry average.

Set a precise calculation of the rate of changes done to these companies.

Implementation Plan

Construct a market research on who is using the Airline in the period of the recession

Cut down on asset resources to focus operational field of the business

Set lower prices compared to competitors

Contact frequent flying customers to inform them about the ticket price reduction

Promote the sale on various media areas such as TV and radio (billboard would become excess amount therefore the company can just reply on these two advertising methods and word of mouth)

Evaluate the process every month to assure all risk and faults are managed appropriately.

Implementation Plan

JanFebMarchAprilMay JuneMarket ResearchCut down asset resources Cut down pricesContact customersPromotionsEvaluation

Evaluation and Future Work

Expanding region of survey and reducing limitations

Better time management

Interview with HQ staff members of he company

Research would have been proposed to the revenue optimization department of Emirates if I had the opportunity to continue the research.

Bibliography

BPP Learning media (2010) Business Essentials, Research Project.

London: BPP House, Aldine Place

Emirates . (2011).About Emirates.Available: http://www.emirates.com/ae/english/about/about_emirates.aspx. Last accessed 15 April, 2013.

BBC. (22 May 2009).Emirates Airline Profit Down 72%.Available: http://news.bbc.co.uk/2/hi/business/8063581.stm. Last accessed 15 April, 2013.

Wharton. (June 17, 2009).The Airline Industry's Rising Crising.Available: http://www.wharton.universia.net/index.cfm?fa=viewArticle&id=1733&language=english. Last accessed April 15, 2013.