Ryanair Case Study

Air travel is no longer just an idea that was developed to get people from point A to point B in a shorter amount of time or give a military force air superiority. Today, flying on an airplane is as common as driving a car or riding a bicycle. In fact, some airlines have made air travel an extravagant event and others have made it affordable to those who never dreamed they’d be able to see the skies. These different types of airlines open all over the world to provide services to different regions, countries and even classes. One such airlines, Ryanair, has a brief but exciting history in Europe. The purpose of this paper is to discuss Ryanair’s history.

In 1985, the Ryan family created Ryanair with a share capital of £1 and 25 people

Their annual passengers also more than tripled in 1987 (Ryanair, 2015). Then, Ryanair purchased another new jet and added routes to Brussels and Munich as well as a frequent flyer club in 1988 (Ryanair, 2015). The Bandeirantes were retired in 1989 and more turboprop planes were bought purchased and launched and annual passengers being serviced reached almost three quarters of a million (Ryanair,

The first part of the decade, the airline did lose £20 million, but they were able to reinvest, relaunch under new management and offer the lowest fares in any market (Ryanair, 2015). They also had to cut their routes back, but began making a £293,000 per year profit. Their jet fleet was increased to seven jets in response to a 45% growth in traffic, despite a decrease in routes (Ryanair, 2015). In 1994, Ryanair buys their first Boeing 737 and starts launching more routes due to servicing an annual 1,666,000 passengers. The Ryan family continued to increase their Boeing 737 fleet as more and more routes are added (Ryanair, 2015). In 1997, Ryanair finally becomes a public company with “successful flotation” on the stock exchanges in New York and Dublin (Ryanair, 2015). In 1998, Ryanair was voted “Airline of the Year,” and had purchased 45 Boeing 737-800 series and even more routes (Ryanair,