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Mission And Vision Of Etihad Airways Tourism Essay

Paper Type: Free Essay Subject: Tourism
Wordcount: 1432 words Published: 1st Jan 2015

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1.     Identify the Mission and Vision of Etihad Airways.

The national flag carrier of the UAE, Etihad Airways and its journey so far since its inception in 2003 have come a long way to exudes in class, quality and ample hospitality which were crucial for the airliner to create a competitive edge in the industry at large and in the market often known for its competitive environment. However, the bigger challenge is staying at the top and progressing further in such volatile market environment. Taking a tour of the company website (www.etihadairways.com) we come to the knowledge that Etihad and its services in the industry is at par with world class expectations.

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Hence it will be proper if we analyze all the relevant factors of the structural process of the company and how it functions day in and day out in setting a road map for itself to be recognized as one of the fastest growing national flag carrier of the UAE, and a competitor in the industry. And the following discussion relates to each aspect – the macro-economics analysis, PESTLE concepts, and SWOT analysis.

Mission and Vision of Etihad Airways

Before we attempt to identify the vision and mission of Etihad airlines, it will be proper to relate on Etihad story and its making. In that essence, “the corporate communication from the airliner part describes how in particular the airline is different from the maddening crowd. In addition to put pleasure back into flying is also one of the airliner motto and narrative of an account of their cultural aspects.” (Etihadairways, 2010)

We can further add that the vision of Etihad airline is also closely linked to its Arabian heritage in particular. Take for instance the corporate communication in that regard, which states that “reflecting the national identity of the country and its Arabian heritage and hospitality is one dominant factor, where cultured approaches to hospitality, apart from considerate, generous and warm hospitality are at the roots of Etihad cultural blend. The vision of the airline is also to become one of the global airliners that exude a truly 21st century, where challenges, and changing environment, plus an engaging vision to break the convention,” (Etihad, 2010) constitutes its deep rooted vision.

Thus, Etihad Airways mission like any considerate corporate is to “give a refreshing welcoming to their guest, where travel should be safe and secure in an environment that is friendly, and where global standards in both terms is practiced, be it hospitality or in the technical aspects in assuring a safe journey for its guests.” (Etihad, 2010)

2.     How is the Macro-Environment of Etihad Airways in UAE? Analyze the influences of the PESTLE variables in the decision making.

Macro-Environment of Etihad Airways in UAE

In economic terms, macro-environment relates to factors that are uncontrollable and that which are fluctuating. Thus, in macro-economics sense, and when it concerns businesses, “macro-level criteria includes objectively based variables and factors such as social, cultural, technological and the likes of political forces, languages, religion geography, economics blocs,” (Mooij, 2004, p. 55) etc, which plays a significant role in deciding organizational comparative management in a global economy.

Hence, it is no different when it concerns Etihad as well in that regard, given that market forces at times plays a crucial role in deciding the company strategies and its management, “where the understanding of convergence and divergence at the macro-level is very important” (Mooij, 2004, p. 56) especially for airliner that face a competitive environment in the global industry.

Nonetheless, to be more precise in reflecting the macro-environment of Etihad Airways, news reports gives thumbs up for the Etihad in terms of macro-environment factorial aspects, given that “the airline recently extended its market cap and global networks, where an agreement was singed with Yemen airways.” (Karam, 2008)Hence in economic sense, the agreement with Yemen airlines “will gives Etihad customers a higher hand in the two way travel and in the meantime it will also gives Yemen Airways customer an access to Etihad airways networks, say CEO of the company, James Hogan.” (Karam, 2008)

In such respect to the development of the macro-environment factors, it appears that Ethiad is very well placed in terms of its competitiveness. And “the first quarter growth for the financial years ending 2010, Etihad reported a 25.4% jump in its growth, which as per industry wise comparison is way above, due to factors such as the increase in numbers of seats in Etihad, which is one crucial investment that decided the airline fate accordingly.” (BIStaffReporter, 2010)

Thus, the above news report is one good example to reflect the macro-environment of Etihad airways in UAE, and a fact that Etihad stood the test of time in macro-economic sense.

Influences of the PESTLE variables in the decision making

In the case of Etihad, it is assumed that decision making is also at the roots of management imbroglio. However, what surprises us is the fact that Etihad in all instances involving its strategies have come out with flying colors and success. That makes it curious to reflect on how the PESTLE variables influence decision making at Etihad. But what is a PESTLE variable? Understood in simple terms, “PESTLE variable or PESTLE analysis of macro-environment reflect the macro economic concepts such as the one discussed above. In addition taxes, new laws and the likes of governmental policies etc, also influences firm’s decision making.” (OxfordUniversityPress, 2007)

Hence, A PESTEL variable constitutes “the factors that are relevant to influence decision making. It can take the form of – Political, Economic, Social, Technological, Environmental and finally Legal factors which defines the environment of a company.” (OxfordUniversityPress, 2007)

Laying emphasis to this notion, we can drive home the facts that “Etihad Airways is in line with respecting all the environmental regulation while conducting business. The partnership with Masdar signed in 2009 is one crucial factor on the environmental front and decision reached in that regard.” (EtihadAirways1, 2010) On the political factors, Etihad is known be compliant with local and foreign policy makers, be it in US, UK and in UAE. Moreover, on the legal factors, its influences are paramount concerning Etihad management. Moreover, technological and social aspects also take centre stage in influencing decision at Etihad, and the following SWOT analysis bears testimonial.

3.     Conduct a SWOT Analysis of the Internal and External environment of Etihad Airways.

Concluding on SWOT analysis:

The Internal and External environment of Etihad Airways

Strength: The biggest strength of Etihad can be laid emphasis to its world class services. And as a competitor in the market, “Etihad awards itself speaks volume on this front.” (EtihadAirways2, 2010)

Weakness: When it matter to Etihad weaker points, “news report relates that its cargo division present some of it, given that revenue factors are also considerably made out from cargo operations. Without any strategic outline, cargo division suffers. However, with new leadership in line and strategic development undertaken, there is a positive scope that such weakness also can be overcome, say Etihad insiders. (KhaleejTimes, 2010)

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Opportunities: As we have related above, Etihad Airways is in the process of numerous agreements, be it with Yemen Airlines as related above, or the likes of expanding its destination far and wide in foreign markets. Hence, the “international Air Service Contract awarded by the Federal Government of Australia very recently as reported in AmeInfo.com” (AmeInfo, 2010) presents the opportunistic platform of the company, we can conclude.

Threats: In the global environment, threats are paramount, especially concerning airline industry. In that respect, “Etihad has taken special measure to update and keep it guest informed of any changes in regulation, be it in the domestic or international routes, (AmeInfo1, 2006) in order to avoid with any issue that may arise due to business threats.


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