The government maintained a strict arms-length financial relationship with the airline through its holding company, the Investment Corporation of Dubai (ICD). Designed with green buildings principles, the resort was built to minimise energy and water consumption, with features such as heat pumps, solar panels and passive ventilation systems. A geographic & psychographic segmentation strategy has worked for Emirates in order to create offers that are more relevant for target audiences. 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The DAC Guidelines on Strategies for Sustainable Developmentaim to provide guidance for development co-operation agencies in their efforts to assist developing countries towards sustainable development. This procedure saves thousands of litres of water each wash, and having a clean aircraft exterior helps to reduce fuel consumption and emissions by making the aircraft lighter and more aerodynamic. An airline that has really made an effort to put its best foot forward as the greener carrier, Virgin Atlantic, has won accolades recently in order to become an environmentally friendly airline. Is Emirates strategy sustainable? Fall in oil prices a business paradox. Aircraft. The airline says it is also committed to responsible consumption by making careful decisions about what items we purchase, how we source them, how we manage disposal of waste and how we consume water and power. Emirates moves passengers west-east, east-west, north-south and vice-versa and many of them only touch Dubai in transit. The Emirates Groups commitment to sustainability means multi-billion dollar investments in the most modern, eco-efficient technology available in aircraft, engines and ground equipment, and by operating our assets in the most environmentally-responsible manner. Chairman's message Please click here for more information. Second, there has not yet been a holistic, structured approach for designing sustainable business model innovations that generate full value. Have a competitive price advantage over the competitors.2. 10 Ways to Lead a Healthier Lifestyle in 2022. Who Is the Founder of Serum and How Did it Start? In order to promote a sustainable global business environment, the company ensures the bio-diversity of the trees and animals in Australia. Moving its cockpit crew entirely to electronic flight bags which saves weight from the traditional flight bags, and also helps its pilots perform flight management tasks more easily and efficiently with less paper. Due to the lower operation cost, Emirates was able to pass the benefits on to the customers which many of its competitors couldn't afford to. Emirates has a modern and fuel-efficient fleet with an average age of 6.5 years. To increase the range of the aircrafts, Emirates approached Boeing and Airbus and pushed the two airline manufacturers to develop ultra-long-range, wide-body aircraft that were better suited to Dubais longer routes13. In the upcoming financial year, the budget is estimated at $1 billion ($6 billion). The purpose of this research is to know, how Emirates as a company in aviation came into business and to determine various strategies used by Emirates to gain competitive advantage over . Emirates has other advantages that have placed it on a par with Singapore Airlines the two are the worlds fastest-growing and most profitable jetliners- including its remarkable Dubai location within an eight-hour flight of more than half the worlds population2. Don't use plagiarized sources. The aviation industry recognises that, although its responsible for less than 2% of global carbon dioxide emissions from human activity, it must be committed to growing sustainably and reducing growth of its emissions. The government also sees Emirates to be one of the strong pillars in their economy, which has paid a total of $2.3 Billion in dividend since the royal family bankrolled the venture 28 years ago. The scale of the airlines operations means that even a small change can make a big positive impact with low carbon footprint. It also has a fuel efficiency programme that helps reduce unnecessary fuel burn through the use of a fuel monitoring system, flexible route planning with air navigation partners, air traffic management to develop efficient routes and aircraft weight management to reduce aircraft weight (and thereby fuel burn). Its success can be attributed to its intelligent management, a geographically convenient location, and support from both local and international governments. Emirates invested over AU$ 125 million into this project to ensure the conservation of the unique bio-diversity of this valley and has since planted over 175,000 native trees and shrubs across the site. This reduces the aircrafts fuel consumption because of less accumulation of dirt, and reduces the number of times the aircraft has to be washed to about three times a year. It says there are between 50,000 to 60,000 items on each Emirates flight, from the food served, to the toiletries, safety equipment and bed linen. Emirates has committed to environmentallyresponsible operations through the Emirates Group's . These efforts have been ongoing since 2003, and the airline has also been working with IATA to extend this routing system across the world as a standard operating procedure where possible. The major contribution on each of the below mentioned fields has taken the airline and the aviation industry, far from where it started. Air Traffic: Dubais relative distance from congested European airspace meant that aviation traffic was minimal and that flights could connect at almost any time of the day, allowing for twenty-four-hour operations. The strategy lays out steps toward optimising energy, smarter transport and recreational areas. International Competitors: Strategic competitors such as Singapore Airlines and Turkish Airlines have also been able to mark themselves as a hub inconnecting different parts of the world. We prioritise the use of ground power and pre-conditioned air where it is available so that the aircrafts auxiliary power unit a small jet turbine located at the rear of the aircraft can be switched off. The Dubaigovernment further facilitated incoming tourist flows by eliminating the majority of visa requirements and launching marketing campaigns. Emirates airline has been sustainable because of the measures taken by the company regarding Eco-Efficiency and environment practices reveals that they have sustainable approach in the business. Emirates Engineering ensures that our aircraft are performing at their optimum level at all times. Customers appreciate Emirates ability to continually improve products, services, and technology in order to earn their loyalty. These two installations are expected to produce savings of up to 3.8 million kilogrammes of carbon dioxide emissions annually. Emirates has committed to environmentally-responsible operations through the Emirates Groups Environmental Policy, which is communicated internally and externally to staff, customers and all stakeholders. Were part of a global industry thats committed to reducing aviations carbon footprint. Emirates lower operating cost, and the premium services had brought huge profitability to the company, but Etihad by dropping down the premium services one-step below has been successful in attracting more customers at a lower price tag. Narrates the story of Emirates, an airline founded in 1985 in Dubai that by 2013 was among the three largest commercial airlines in the world. Meanwhile, in a complete contrast, The Emirates Airlines have passed a massive order of 32 Airbus 380 super jumbo jets at the Berlin Air show 2010. Emirates introduces eco-friendly blankets made from recycled plastic bottles. But with the aging fleets, Emirates will have to either face difficulty in pleasing its customers with an outdated technology or spend a fortune on new fleets to maintain customer experience. Qatar Airways: Right at the nose tip of Emirates and Etihad, Qatar airways has followed a similar business structure, to be one of the major competitor for Emirates. The company has maintained a world class flight operation introducing cheaper long haul flights which is highly profitable. Sustainable practices are an integral part of the Emirates groups corporate vision that results in the sustainable development of the company. Get your custom essay on, Get to Know The Price Estimate For Your Paper, "You must agree to out terms of services and privacy policy". We are one of the youngest fleets on the market, thanks in part to our focus on the advancement of eco*efficient technology. Due to the lower operation cost, Emirates was able to pass the benefits on to the customers which many of its competitors couldnt afford to. The 2,990 panels form a roof over the carpark, and are expected to generate in excess of 1,800 megawatt-hours of electricity and save around 800 tonnes of carbon dioxide every year. what are the strengths of emirates airlines? what are airlines doing to be more sustainable? Emirates has actively supported fragile habitats since 1999, when it established the Al Maha Desert Resort and Spa in Dubai with a 27 square kilometres conservation reserve for the protection of desert fauna and flora. In the initial years of Emirates, many potential customers in target markets were still largely unfamiliar with Dubai, and few saw it as a principal tourist destination. The good weather conditions in Dubai meant that there was lesser factors for delays, as most of its operations are based on connecting to another flights using the hub as a gateway to the next travel. The implementation ofidle reverse thrust on landing, instead of switching the engines into reverse thrust. Dubais government had worked hard to build up the citys tourism base and establish it as a travel and logistics hub high-profile projects, along with close coordination with the hospitality industry. Small wings, Big dream Capitalization of the Initial Fund: In contrast to other major Airline operators such as Air France and British Airways, who have often received huge bailout packages or debt reliefs from the government; The Dubai government had given the airline a total of just $18 million, including the start-up money. Its emissions were 11,106,670 tonnes of carbon. CHCDIS010 Provide person-centred approaches to people with disability with complex needs Ver 000(1). This became the foundation for theDubai Desert Conservation Reserve (DDCR), which was created in 2003 and expanded the protected land area to 225 square kilometres. Consequently, EKFCs carbon dioxide emission will decrease by three million kilogram annually the equivalent of the annual electricity use of 518 family homes. With the youngest fleet3 amongst any other players in the industry, it has grown at a humungous rate within a decade of its operation. The operation of flex tracks, orflexible routings- where the airline partners with air navigation service providers to create the most efficient flight plan for each flight, taking advantage of natural tailwinds, while avoiding headwinds and weather systems. Branding and sponsorship 4. Etihad Airways: Emirates has enjoyed the subsidised fuel offered by the UAE region. Their efforts have seen them receive several awards for sustainable transport in Dubai. Weve invested in one of the best flight planning systems available, to carefully plan flights and optimise routes based on each days weather conditions, airspace constraints and the specific aircraft allocated for each sector. The location of Emirates primary hub does not allow it to take any advantage of people traveling from Europe to Americas. During the past year, the airline has invested $22 million in new technology for in-flight connectivity, which is now 70 percent wireless. In addition, the Middle airline sector plays a smart role in developing a world-class airline services, such as Emirates Group, with above average profitability4 & Qatar Airways, which has a five-star Skytrax ranking14. As compared to low-cost carriers, we have a lean workforce with flat organizational structure keeping overhead costs low. Location2: The Dubai benefited from several inherent strategic advantages as a hub city. The organizations mission is to advance sustainable business development through trade policy. strategy and people, helping clients navigate a dynamic environment through four global businesses. SWOT Analysis stands for - Strengths, Weaknesses, Opportunities, and . The airline has experienced the largest growth in the Asian airlines market. Aging Fleet3: Emirates has been amazing in providing world class services, and most of the credit goes to the young fleet size, which are equipped with modern technologies. Dubai is using tourism infrastructure development to help boost demand for flights between Dubai and points along its shoreline. We firmly support the four-pillar strategy to reduce emissions developed by our industry body the International Air Transport Association (IATA). Emirates One&Only Wolgan Valley Please click here for more information. Emirates spends billions of US dollars on fuel each year, so naturally we are monitoring the development of biofuel technology with great interest. For details on how we use your information, please see our privacy policy. The Dubai government further facilitated incoming tourist flows by eliminating the majority of visa requirements and launching marketing campaigns. Qatar, being one of the major oil sources in the gulf has allowed Qatar airways to enjoy similar facilities as its competitors. The UAE government supported Emirates entry into new markets by negotiating bilateral aviation agreements with foreign states whose markets Emirates wished toenter. For customers, it also served as the fastest way to connect to their destinations, where in other major carriers offered a zigzag path. This allowed Emirates to take maximum advantage of its connectivity. Emirates Airline: Connecting the Unconnected "referred as Emirates Airline in this analysis " is a Harvard Business Review (HBR) case study used for MBA & EMBA programs. But with the increased air traffic by Emirates itself, having being forecasted to carry twice as capacity soon in future. These efforts have been ongoing since 2003, and the airline has also been working with IATA to extend this routing system across the world as a standard operating procedure where possible. It reflects how Emirates strategies are sustainable at present day business. Our Economy Class blankets on long-haul flights are made from 100% recycled plastic bottles. In 2009 Emirates opened the Emirates One & Only Wolgan Valley, a conservation-based resort which occupies one per cent of a 2,800 hectare nature reserve in the Greater Blue Mountains World Heritage Area. Some of the programmes initiatives include: Emirates has also invested in solar power systems to generate clean electricity at two of the airlines major facilities in the UAE Emirates Engine Maintenance Centre and Emirates Flight Catering. High profile projects such as the Burj-al-Arab, the World andPalms development projects, and the Burj-Khalifa tower helped grow the citys global renown, which in turn led to higher volumes of tourists. It will also encourage the development of a commercially-viable supply chain for sustainable aviation fuel (SAF) and conduct trials of, and purchasing, electric and hybrid ground equipment and vehicles to replace diesel-fuelled equipment. Narrates the story of Emirates, an airline founded in 1985 in Dubai that by 2013 was among the three largest commercial airlines in the world. It has not just increased its fleet size, but has also held stakes8 in many major airlines around the world such as Alitalia, Air Serbia and Jet Airways. Emirates Airlines is an integral part of "The Emirates Group", which comprises more than HH Sheikh Ahmed bin Saeed Al Maktoum, Chairman and Chief Executive, Maurice Flanagan, Executive Vice Chairman and Tim Clark, President of the Emirates Airline. Dubai Desert Conservation Please click here for more information. Sustainability and eco-efficiency are the cornerstones of all Emirates Group operations both in the air, and on the ground. The Emirates' strategy is very much sustainable. Additional materials, such as the best quotations, synonyms and word definitions to make your writing easier are also offered here. Emirates enjoy the low price of fuel and also the low cost labour in this region, which is more than just convenient for an Airline operator. Cutting down on unnecessary weight carried helps us to save fuel. Type your requirements and Ill connect you to The improvement of loading efficiency to match the ideal trim line, resulting in a more aft Center of Gravity (CG) position and less fuel burn. This has so far saved 95 million bottles from landfill. what is the competitive advantage of emirates airlines? The invasion of Etihad Airways, the national airline of the UAE, is an in house competitor for Emirates. Emirates integrates its business strategy to include two main metrics. Global Base2: Given its global base and high number of transit passengers, connections at Emirates Dubai hub were essential for running its network effectively. Once airborne, our flight crew take advantage of opportunities to save fuel and emissions where practicable and supported by air traffic control. We can link its success to the leadership of the company and to the Dubai Governments support. Their combined initiatives are saving more than 2,850 MWh of electricity a year. operates 158 destinations in 85 countries, making it the worlds largest airline. Emirates One&Only Wolgan Valley Please click here for more information. Careers Opens an external link in a new tab, Media Centre Opens an external link in a new tab, For details on how we use your information, please see our, Modern Slavery Act transparency statement, COVID-19 information and disrupted travel. The Emirates Airlines' success. Younger & Limited number of Fleets3: Restricting its fleet to only three types allowed Emirates to optimize its pilot Deployment more effectively and serve its long-haul destinations. We depend on aviation to conduct economic, social, and cultural activities, which makes it so vital and contributes so much to our growing world. Introducingfuel-efficient practices while the aircraft is on the ground, such as: the use of ground power units instead of the aircraft Auxiliary Power Unit (APU), and switching one or two engines off while taxiing in after landing. some airlines are doing this through reducing weight on the aircraft. Operates 269 aircraft, including Airbus A380 and Boeing 777 aircraft, making it one of the busiest operators of these types of planes on the planet. A total of 31 per cent of the companys work force was laid off due to redundancy across all parts of the business. Our business units are constantly on the lookout for opportunities to reduce resource consumption, repurpose items, and recycle materials when they reach the end of their life all essential aspects of a circular economy. The rich population between the pacific is out of the emirates reach. Emirates has always been precise with its strategies, and has always enjoyed it benefits. It also has a fuel efficiency programme that helps reduce unnecessary fuel burn through the use of a fuel monitoring system, flexible route planning with air navigation partners, air traffic management to develop efficient routes and aircraft weight management to reduce aircraft weight (and thereby fuel burn). The Emirates Airlines success has been the continuity of its management team, many of whom have been with the airline since its start of the company. The airline is also actively involved in the fight against illegal wildlife trafficking and exploitation, and is a member of the United for Wildlife Transport Taskforce, and is also a partner of ROUTES (Reducing Opportunities for Unlawful Transport of Endangered Species). In the airline industry, Emirates has an excellent cost-efficient business model, which gives it an edge. Aviation is one of the most important contributors to global economic and social development particularly in the developing world. Emirates funds the DDCR, and sits on its management board. There are a few ways that the Emirates have a competitive advantage over other competitors, and the most important one starts with their hub. Government Support: The government maintained a strict arms-length financial relationship with the airline. For Emirates, the flexibility in operations meant covering trips to the entire world and having customers reach their destinations at the mostpreferable time. It also has a fuel efficiency programme that helps reduce unnecessary fuel burn through the use of a fuel . Leadership at Emirates is considered as an influential and democratic. Weve also been installing light emitting diode (LED) lights across our facilities, saving large amounts of electricity with the LED lights in the Emirates SkyCargo terminal at Dubai World Central (DWC) saving over 970 MWh of electricity a year. Typically for an airline this means having a modern and efficient fleet, and Emirates has this, with an average age of fleet in 2020-21 of 7.3 years. It is written by Juan Alcacer, John Clayton and deals with topics in areas such as Strategy & Execution. On carbon emissions, the airline says that as well as the above efficiency measures, it supports the development and introduction of the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) through the International Civil Aviation Organization (ICAO). Sustainability in operations Please click here for more information. Strong growth and world class infrastructure 2. Today, even though a greater number of population are in Emirates reach, a majority of those population is still under the middle-class level. Dubais Tourism: Dubais government had worked hard to build up the citys tourism base and establish it as a travel and logistics hub high-profile projects, along with close coordination with the hospitality industry. Emirates invested over AU$ 125 million into this project to ensure the conservation of the unique bio-diversity of this valley and has since planted over 175,000 native trees and shrubs across the site. Read the stories behind our sustainable products on board. The leadership in the organisation were able to capitalize on this initial funding by the Dubai Royal Family and flew out of Dubai with just two aircrafts, leased Boeing 737 and an Airbus 300 B4 from the Pakistan International Airlines. The Emirates Group vision is to become a leading global corporation in the traveling field, so it expands its businesses into every part of travel and tourism (The Emirates Group 2016). Emirates was capable of reducing their fixed cost, and the subsidies and Tax exemptions by the government fused many of the profits made by the company into its own development. Air Traffic: In the past decade Emirates has gained advantage with its lower air traffic levels, helping it to have its customers arrive the hub on time to connect to their respective flights. what are the strengths of emirates airlines? Adding on to this, the lower labour population of Emirates, which comes from Asia Pacific regions of India, Sri Lanka and Pakistan have also showed improvements in their average per-capita income These factors will force Emirates to rethink its cost structure. This solid growth and an impressive financial performance over the past years is the proof of an invincible business strategy adopted by the company. Working with air traffic management providers to develop protocols that enhance operational efficiency. 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