No.

Political, Legal And Governmental Forces Analysis

1 Dubai has an open-skies policy and more than 60% of all flights in Dubai are by companies other than Emirates. (pg
418, para 3)
Threat 
2 Dubai and Abu Dhabi, the national capital, are the only two emirates to have veto power over critical matters of Opportunity 
national importance in the UAE legislature. (pg 418, para 5)
3 In Dubai, the workday starts at 8 A.M. until 1P.M., but employees return at 7 P.M. to work more. (pg 418, para 3) Threat 
No. Economic Forces Analysis
4
The Dirham is pegged to the U.S. Dollar so currency fluctuations are not significant (pg 418, para 3) Opportunity 
5 The living standards is great, the climate is great, the infrastructure is impressive, business is growing leaps and
bounds, and the schools in Dubai are international and provide a great learning environment for kids of all
Opportunity 
nationalities. (pg 419, para 3)
6 Flydubai discount airline may pose the largest threat to the firm because demand for low price flights is growing Threat 
rapidly globally. (pg 419, para 3)
7 Rising fuel prices hurt overall profits because fuel accounts for more than 40 % of all costs for Emirates. (pg 420,
para 4)
Threat 
8 Factors impacting the airline industry include global unrest, volatility of fuel prices, mergers and acquisitions,
strategic alliances, video conferencing, and entry of discount airlines such as Ryanair. (pg 424, para 3)
Threat 
No. Social, Cultural, Environment And Demographic Forces Analysis
Dubai has the largest population in the UAE (2,104,895) and the second-largest land territory by area (4,114 km2)
9
after Abu Dhabi.(pg 418, para 5)
Opportunity 
10 Dubai is one of the fastest-growing countries in the world because thousands of people migrate to Dubai monthly, Opportunity 
 often because there is no tax on the personal wages in Dubai. (pg 419, para 3)
11 An expatriate or foreigner may work in Dubai only if sponsored by an employer. (pg 419, para 3) Threat
Threat
12 During the Muslim Festival Ramadhan, working hours in offices become shorter by two hours. (pg 418, para 3)

Threat
13 On Friday, Muslims pray and rest, so business should not be conducted on that day. (pg 418, para 3)

Opportunity 
14 The city of Dubai is located on the Emirate’s northern coast-line and is often misperceived as a country or city-state
and, in some cases, the UAE as a whole has been described as Dubai. (pg 418, para 5)
15 No women are among the company’s top management, which comes as no surprise given Middle East culture. (pg
418, para 2)
Threat 
16 More than 100 different airlines provide service to Dubai International Airport which is projected to become the
world’s busiest airport by 2016. (pg 424, para 3)
Threat 
17 Opening for passenger travel by the end of 2013 will be the new Al Maktoum Airport in Dubai. (pg 424, para 3)
Opportunity 
Opportunity 
18 Dubai is located eight hours by air from 75% of the world’s population.
(pg 424, para 3)
19
Airlines started forming strategic alliances in the 1990s to better compete with rival firms. (pg 425, para 5) Threat 
20
Quantas moved their hub for European flights from Singapore to Dubai. (pg 426, para 2) Opportunity 
No. Technological Forces Analysis

Not mentioned in the case

20
Total
No Key Variable Case Facts Analysis

1 Strengths Singapore Air now operates 101 planes that average six years and seven months and have
30 more planes on order (pg 424, para 4) Threat 
Singapore Air operates the Airbus 380 (19 in operation) and the boeing 777 (58 in
operation). (pg 424, para 4) Threat 
The Group operates 20 subsidiaries within the air travel industry, including SIA Cargo,
SIA Engineering Company, Silk Air, Scoot and Trade winds Tours and Travel. Both Silk
Air and Scoot are airlines that complement the service of Singapore Air. Threat 
(pg 424, para 4)
Singapore Air predominantly serves Europe, Asia, and Australia, but it also flies to four
cities in the United States and three in Africa. (pg 424, para 4) Threat 
Singapore Air are luxury airlines using Suites (separate from first class), first class,
business class, and economy class. (pg 424, para 5). First-class passenger can enjoy 23-
inch TVs, dining with food served on tableware designed by Givenchy, wines and Threat 
champagne.
2 Weaknesses For fiscal year 2012, the company’s profits were down $756 million to $336 million or
69% reduction… (pg 424, para 5) Opportunity 
3 Capabilities ….revenues grew by $333 million to $14.8 billion, up 2% from the previous year. (pg
424, para 5)
Threat 
4 Opportunities Singapore Air markets are the only airline to offer a stand-alone bed, not converted seat
complement with a sleepersuit, bedroom slippers, and linens by Givenchy. (pg 424,para
Threat 
No Key Variable Case Facts Analysis

5)

5 Threats Not mentioned in the case -

6 Objectives Not mentioned in the case -
7 Strategies Customers in first, business, and economy classes also enjoy amenities that exceed most
all competing airlines. Singapore Airlines provide customers with hot, moist, hand towels Threat 
are provided after meals to them. (pg 424, para 6)
Serving all passengers since 1972 is the distinguished “Singapore Girl” that according to
the company “is an enduring symbol of our impeccable service standards” (pg 424, para Threat 
6)

Total 10
NO STRENGTH

418

The largest airline in the Middle East, Emirates flies to more than 130 destinations in 70 countries on six continents and offers direct
flights from Dubai to Washington, DC, San Francisco, Los Angeles, and Seattle. (pg 418, para 1).
Emirates services the world from Beijing to San Francisco and more than 100 markets in between
More than 1,200 Emirates flights depart Dubai each week, accounting for about 40 percent of all air traffic out of Dubai International
Airport. (pg 418, para 1).
Most of the company’s planes even include spacious private suites, and some planes provide a spa with showers. (pg 418, para 2).
Emirates carries 40 million passengers and 2.0 million tons of cargo annually, using a fleet of more than 170 aircraft. (pg 418,
para 2).
Emirates is well known for providing excellent service for high-end passengers in first class, but it also provides excellent
service in business class and economy class. (pg 418, para 2).
The company has another 230 aircraft on order (worth about $84 billion) and is the world’s largest operator of both the Airbus 380 and
Boeing 777. (pg 418, para 2).
Economy-class customers receive well-thought-out meals consisting of many courses, email, SMS services, telephone, and personel TV
monitors with more than 1,400 channel options. (pg 418, para 2).
O The Dirham is pegged to the U.S. dollar so cur- rency fluctuations are not significant. (pg 418, para 3).
The government of Dubai treats Emirates as a wholly independent business entity on its own and attributes this to the firm’s success.
(pg 418, para 3).
Emirates has more than 67,000 employees…. (pg 418, para 3).
Emirates has annual revenue more than 73.1 billion Dirham (the United Arab Emirates Currency). (pg 418, para 3).
Emirates is owned by the government of Dubai operating under the Investment Corporation of Dubai name, but the company and the
government of Dubai are quick to point out the airline has grown in scale not by way of protectionism but through competition. (pg
418, para 3).
T Dubai has an open-skies policy and more than 60 percent of all flights in Dubai are by companies other than Emirates. (pg
418, para 3).

In August 2013, Emirates became the first airline in the Middle East to provide Google Now cards for their passengers who
 book via Emirates.com. (pg 418, para 4).

This new product enables Emirates’ customers to see and monitor their upcoming flight, providing flight times and departure
terminal. Google Now gives passengers relevant information on their destination (for example weather conditions locally,
currency, local landmarks, accommodations, and attractions). (pg 418, para 4).

O Dubai has the largest population in the UAE (2,104,895) and the second-largest land territory by area (4,114 km2) after Abu
Dhabi. (pg 418, para 5).

O Dubai and Abu Dhabi, the national capital, are the only two emirates to have veto power over critical matters of national
importance in the UAE legislature. (pg 418, para 5).

O Dubai was aiming to eliminate its dependence on its finite oil reserves within 50 years and thus has operated under a free
market society for decades (pg 418, para 6).

419
S Emirates received 22 new aircraft in fiscal year 2012, the most ever obtained in a single year by the company (pg 419, para 2).

O Dubai is one of the fastest-growing countries in the world because thousands of people migrate to Dubai monthly, often
because there is no tax on the personal wages in Dubai. (pg 419, para 3)

O The living standard is great, the climate is great, the infrastructure is impressive, business is grow- ing leaps and bounds, and
the schools in Dubai are international and provide a great learning environment for kids of all nationalities. (pg 419, para 3)

T However, an expatriate (foreigner) may work in Dubai only if sponsored by an employer. (pg 419, para 3)
S Emirates operates from a divisional-by-product organizational design (pg 419, para 5).
O No women are among the company’s top management team, which comes as no surprise given Middle Eastern culture. (pg
419, para 5).

ST Emirates could set an example soon by promoting one or more women to top management, to exemplify that women are as
capable as men to manage business operations. Executive Vice Chairman position perhaps is analogous to the traditional Chief
Operation Officer (pg 420, para 1). (pg 419, para 5).

420

S First-class passengers on Emirates flights enjoy their own private suites on Airbus 380, Airbus 350, and Boeing 777 planes. (pg 420,
para 2).
S First-class experience starts with a personel chauffeur picking up a passenger and driving him or her to the airport for a seamless check
in. (pg 420, para 2).
S Customers are then able to enjoy the first-class lounge while they wait for the plane to arrive before the boarding process begins. (pg
420, para 2).
S First-class passenger have an allowance for two carry on items totalling 25 pounds combined and unlimited checked bags up to 170
pounds total weight. (pg 420, para 2).
S First-class passenger customer enjoys suites that include a personel mini-bar, vanity table, mirror, wardrobe, 23-inch TV with more
than 1400 channels including latest movies, sliding door for extra privacy, SMS, internet and much more, (pg 420, para 2).
S ….flight crew can covert the seat to fully flat bed with mattress; complete with pyjamas, slippers, and toiletries with Bulgari lotions are
provided. (pg 420, para 2).
S First-class customers have exquisite free food and drink options, including Dom Perignon, martinis, Iranian caviar, stir-fried
 lobster, glazed duck breast, Arabic mezze (appetizers), and much more. (pg 420, para 2).

S First-class customers have access to the first-class lounge to minggle with other first-class passengers and enjoy hors d’oeuvres
prepared by some of the world’s best chefs. (pg 420, para 2).
S First-class customers can enjoy one of the two onboard shower spas as part of their experience on the Emirates Airbus 380. (pg 420,
para 2).
S The spas are marketed as having walnut and marble designs with fine linens and provide complimentary massages in addition to a
shower. (pg 420, para 2).
S Business-class passengers enjoy many amenities, such as seats turning into a 79-inch flat bed at the push of a button, power supply for
laptops, extra large tables, large screen TVs with more than 1,400 channels, SMS, internet, mini-bar built into every seat, and privacy
dividers; provided on A380 and most Boeing 777 aircraft. (pg 420, para 3).
S Business-class passengers also enjoy delicious food and many drinks option. (pg 420, para 3).
S Complimentary champagne and vintage wines are the norm, and all food is presented on Royal Doulton fine-bone China. (pg 420, para
3).
S Business-class customers also have access to the business-class lounge on the second level of all A380 aircraft where chefs fix snacks
and hors d’oeuvres. (pg 420, para 3)
S Emirates ‘economy-class customers enjoy more than 1,400 channels on their personel TV, meals, and internet, phone, and SMS
capabilities at their seats. (pg 420, para 3)
S Emirates reported a profit for the 25th consecutive year in fiscal year 2013 with revenues up 17.4 percent from the previous
year, and the best year ever for Dnata, which had revenues of 6.62 million AED. (pg 420, para 4).

T Rising fuel prices hurt overall profits because fuel accounts for more than 40 percent of all costs for Emirates. (pg 420, para
 4).

S Emirates increased total passenger volume by 15.9% in fiscal year 2013 and maintained a passenger seat factor of 80%.(pg 420, para
4).
S The Arab Spring and the instability in Africa also hurt profits, but the company’s net profit for fiscal year 2013 was 7.83
billion AED, up 57 percent from the previous year. (pg 420, para 4)

S Emirates have strong financial position. (pg 420, para 4)

S The Emirates Group has two primary divisions, Emirates and Dnata. Emirates is the airline, whereas Dnata includes (a) cargo and
ground handing, (b) travel services, (c) catering and (d) freight forwarding. (pg 420, para 6).
422
S Passenger revenue is the largest overall revenue generator; increase every year and worth $ 57.4 million in 2013. (pg 422, para
1)
S Substantial revenue also is derived from cargo, which produces 15 percent of the segment’s total revenue, whereas sale of
goods produces 3 percent. (pg 422, para 1)

W All other sources contribute less than 1 percent of the segment’s revenues. This segment includes several maritime and
mercantile holdings, a 49 percent ownership in a wine and spirit business in Thailand, and hotels in UAE, Australia, and
Seychelles. (pg 422, para 1)
423

This segment operates more than 180 aircraft with approximately 120 on operating lease, 55 on financial lease, and 6 being
fully owned by Emirates. (pg 423, para 2)

Emirates is the largest operator of Airbus 380 aircraft in the world. (pg 423, para 2)
 The company has on order 223 additional aircraft broken down to 84 Boeing 777s, 69 Airbus 380s, and 70 Airbus 350-900s. Emirates
is the largest operator of Airbus 380 aircraft in the world. (pg 423, para 2)
S On average, Emirates wide-body planes are 77 months old compared to the industry average of 136 months. With 223 new
planes on order, the average age of planes in the fleet should drop substantially. (pg 423, para 2)

W More than 40 percent of all expenses are related to jet fuel. (pg 423, para 3)

W Employment expenses account for 13 percent of revenue and operating leases account for 8 percent. (pg 423, para 3)

O No single market accounts for more than 30% of revenues, creating a well-diversified company with respect to regions served. (pg 423,
para 3)
O The Americas market grew at the highest rate in the most recent fiscal year, but East Asia and Australasia region had the largest overall
AED growth. (pg 423, para 3)
O Americas segment grew from last place to fourth place. (pg 423, para 3)
S Dnata’s profit and revenues for fiscal year-end March 31, 2013 were all time records of 6.5 billion AED and 815 million AED
respectively. (pg 423, para 4)
S Much of the revenue growth can be attributed to recent acquisitions Dnata made including Travel Republic Ltd., the largest privately-
held online travel compny in the United Kingdom, in 2011. (pg 423, para 4)
424
S In late 2010, Dnata acquired Alpha Flight Group’s in-flight catering business; the reason of segment’s revenues increased more
in 2011-2012. (pg 424, para 1)
S7 In-flight catering was both the largest revenue gainer and the largest revenue percent increase by 325%; however the 2010-2011 fiscal
year represents only three months of providing this service in house, resulting in the large percent increase. (pg 424, para 2)
S8 In-flight catering through the acquisition of Alpha Flight Group provided more than 48 million meals to customers in fiscal year 2012.
(pg 424, para 2)
S9 For the first time ever, revenues in international markets were greater than domestic revenues in 2009 – 2010 (55% international market
vs 45% UAE market); (pg 424, para 2)
T Factors impacting the airline industry include global unrest, volatility of fuel prices, mergers and acquisitions, strategic
alliances, video conferencing, and entry of discount airlines such as Ryanair. (pg 424, para 3)

T More than 100 different airlines provide service to Dubai International Airport, which is projected to become the world’s
busiest airport by 2016. (pg 424, para 3)

O Opening for passenger travel by the end of 2013 will be the new Al Maktoum Airport in Dubai. (pg 424, para 3)

In fiscal year 2012 alone, Emirates started long-haul flights to Seattle, Dallas-Fort Worth, Rio de Janeiro, Buenos Aries, Washington
DC, Geneva, Baghdad, and St. Petersburg (Russia), among others. (pg 424, para 3)
T Emirates’ largest direct competitors are Singapore Airlines, British Airways, Delta, Middle East Airlines, and flydubai. (pg
424, para 3)

T Singapore Air now operates 101 planes that average six years and seven months and have 30 more planes on order. (pg 424,
para 4)

T Singapore Air operates the Airbus 380 (19 in operation) and the Boeing 777 (58 in operation). (pg 424, para 4)

The Group operates 20 subsidiaries within the air travel industry, including SIA Cargo, SIA Engineering Company, SilkAir,
Scoot, and Tradewinds Tours and Travel. (pg 424, para 4)

T Both SilkAir and Scoot are airlines that compliment the service of Singapore Air. (pg 424, para 4)
T Singapore Air predominantly serves Europe, Asia, and Australia, but it also flies to four cities in the United States and three
in Africa. (pg 424, para 4)

O For fiscal year 2012, the company’s profits were down $756 million to $336 million or 69 percent reduction, (pg 424, para 5)

T Both Singapore Air and Emirates are luxury airlines using Suites (separate from first class), first class, business class, and
economy class. (pg 424, para 5)

First-class passengers can enjoy 23-inch TVs, dining with food served on tableware designed by Givenchy, wines, and
T
champagne. (pg 424, para 5)

T Singapore Air markets that they are the only airline to offer a stand-alone bed, not a converted seat. (pg 424, para 5)

To complement the stand-alone bed, a sleeper suit, bedroom slippers, and linens also designed by Givenchy are provided.
T
Soft lighting options and premium skin care products and toiletries are also provided. (pg 424, para 5)

Customers in first, business, and economy classes also enjoy amenities that exceed most all competing airlines. (pg 424, para
T
5)

…“Singapore Girl” that according to the company “is an enduring symbol of our impeccable service standards.” (pg 424,
T
para 5)

425

T As of early 2013, flyDubai served 52 markets, mostly in the Middle East but also a few select markets in Eastern Europe and
India. (pg 425, para 1)

T In contrast to Emirates, flydubai is a discount airline provider much like a Spirit Airlines or AirTran in the USA or Ryanair
 or easyJet in Europe. (pg 425, para 1)

T flydubai operates 28 planes and 800 flights per week. (pg 425, para 1)

T Middle East Airlines (MEA) provides a local alternative for customers in the Middle East. (pg 425, para 2)

T In 2012, MEA joined SkyTeam and currently serves Europe, Persian Gulf, Middle East, and Africa. Notable destinations
include four flights a day to Paris, London, Frankfurt, and Brussels; they also have flights to Rome, Milan, Athens, Geneva,
Istanbul, and others in Europe and flights to several cities in Saudi Arabia, Amman, Iraq, Cairo, and Sharm el Sheikh. (pg
425, para 2)

T MEA operates 19 aircraft with an average age of less than four years, has 10 planes on order, and serves 31 markets. (pg 425,
para 2)

T MEA offers Cedar Class (first class) and econ- omy class. In 2011, MEA had revenues of $637 million with profits of $62
million. (pg 425, para 2)

T British Airways currently operates more than 250 aircraft with 50 more on order and serves the entire world. (pg 425, para 3)

T British Airways had revenues of $14.8 billion in 2011. British Airways offers economy class, premium-economy class,
business clas, and first class. (pg 425, para 3)

T Delta is a major U.S. air- line. Delta has hubs in several U.S. cities as well as in Amsterdam, Tokyo, and Paris. Operating
more than 5,000 flights a day and an additional 2,500 flights through Delta Connection(pg 425, para 4)

T Delta is one of the largest airlines in the world, and one of only a select few to provide service to all six inhabited continents.
(pg 425, para 4)
T Delta provides business elite, first class, economy comfort, and economy class. (pg 425, para 4)

T Delta reported revenues of $14 billion and net income of $854 million in 2011. (pg 425, para 4)

T Three of the largest alliances in the world are SkyTeam, Star Alliance, and Oneworld. (pg 425, para 6)

T The Sky Team Alliance consists of 19 carriers from five continents and carries more than 550 million passengers each year.
(pg 425, para 6)

T Today, 11 airlines operate within the Oneworld alliance and carry more than 335 million passengers annually. (pg 425, para
6)

426

T Star Alliance has 28 member airlines and serves 193 different countries with annual passenger numbers more than 670
million, making Star Alliance the largest alliance in terms of passengers served. (pg 426, para1).

S In January 2013, Emirates and Quantas, two rival firms, formally entered into a partnership allowing Quantas Airbus 380
customers to depart from Concourse A at Dubai Airport, the world’s only concourse designed for the Airbus 380. (pg 426, para
2).

S Emirates and Quantas work together to better coordinate prices, sales, and schedules. (pg 426, para 2).

S Quantas customers can enjoy the concourse, while waiting for their connecting flights to Europe. In exchange, Quantas
moved their hub for European flights from Singapore to Dubai. (pg 426, para 2).

O To be successful in business in Dubai, their culture and religion must be respected and rules must be followed. (pg 426, para 3).

O In Dubai, the workday starts at 8 a.m. until 1 p.m., but employees return at 7 p.m. to work more. (pg 426, para 4).
O In Arab cultures, clothes should be worn on all body parts including limbs. (pg 426, para 4).
T flydubai discount airline may pose the largest threat to the firm because demand for low price flights is growing rapidly
globally. (pg 426, para 4)

T Flying with Emirates is high dollar, and competitors see great potential to take market share from Emirates with lower prices. (pg 426,
para 5).

1 Strengths

3.6.2 Weaknesses

NO WEAKNESSES
W1
W2

W3
W4

W5

W6

No. Political, Legal And Governmental Forces Analysis

1 Dubai has an open-skies policy and more than 60% of all flights in Dubai are by companies other than Emirates. (pg
Threat 
418, para 3)
Alcohol should never be consumed on the street, and it should be taken home only if one has a license to purchase it.
Threat 
(pg 426, para 3)
Rising fuel prices hurt overall profits because fuel accounts for more than 40 % of all costs for Emirates. (pg 420,
Threat 
para 4)
Factors impacting the airline industry include global unrest, volatility of fuel prices, mergers and acquisitions,
Threat 
strategic alliances, video conferencing, and entry of discount airlines such as Ryanair. (pg 424, para 3)
More than 100 different airlines provide service to Dubai International Airport, which is projected to become the
Threat 
world’s busiest airport by 2016. (pg 424, para 3)
As of early 2013, flyDubai served 52 markets, mostly in the Middle East but also a few select markets in Eastern
Threat 
Europe and India. (pg 425, para 1)
Flydubai discount airline may pose the largest threat to the firm because demand for low price flights is growing
Threat 
rapidly globally. (pg 426, para 4)

In Dubai, the workday starts at 8 A.M. until 1P.M., but employees return at 7 P.M. to work more. (pg 426, para 4). Threat 
An expatriate or foreigner may work in Dubai only if sponsored by an employer. (pg 419, para 3) Threat 
During the Muslim Festival Ramadhan, working hours in offices become shorter by two hours. (pg 418, para 3)
Threat 
On Friday, Muslims pray and rest, so business should not be conducted on that day. (pg 418, para 3)
Threat 
No women are among the company’s top management, which comes as no surprise given Middle East culture. (pg
Threat 
418, para 2)
The SkyTeam alliance consists of 19 carriers from five continents and carries more than 550 million passengers each
Threat 
year. (pg 425, para 6)

Today, 11 airlines operate within the Oneworld alliance and carry more than 335 million passengers annually. (pg
Threat 
425, para 6)
Based in Frankfurt, the Star Alliance has 28 member airlines and serves 193 different countries with annual
Threat 
passenger numbers more than 670 million, making Star Alliance the largest alliance in terms of passengers served.
(pg 426, para 1)
Singapore Air now operates 101 planes that average six years and seven months and have 30 more planes on order Threat
(pg 424, para 4)


The Group operates 20 subsidiaries within the air travel industry, including SIA Cargo, SIA Engineering Company, Threat
Silk Air, Scoot and Trade winds Tours and Travel. Both Silk Air and Scoot are airlines that complement the service
of Singapore Air. 
(pg 424, para 4)

Singapore Air predominantly serves Europe, Asia, and Australia, but it also flies to four cities in the United States Threat
and three in Africa. (pg 424, para 4)

Singapore Air are luxury airlines using Suites (separate from first class), first class, business class, and economy Threat
class. (pg 424, para 5). First-class passenger can enjoy 23-inch TVs, dining with food served on tableware designed
by Givenchy, wines and champagne. 

Singapore Air markets are the only airline to offer a stand-alone bed, not converted seat complement with a Threat
sleepersuit, bedroom slippers, and linens by Givenchy. (pg 424, para 5)

….revenues grew by $333 million to $14.8 billion, up 2% from the previous year. (pg 424, para 5) Threat
 
Customers in first, business, and economy classes also enjoy amenities that exceed most all competing airlines. Threat
Singapore Airlines provide customers with hot, moist, hand towels are provided after meals to them. (pg 424, para 6)

Serving all passengers since 1972 is the distinguished “Singapore Girl” that according to the company “is an Threat
enduring symbol of our impeccable service standards” (pg 424, para 6)


2 Dubai and Abu Dhabi, the national capital, are the only two emirates to have veto power over critical matters of
Opportunity 
national importance in the UAE legislature. (pg 418, para 5)
3 Dubai was aiming to eliminate its dependence on its finite oil reserves within 50 years and thus has operated under a
Opportunity 
free market society for decades (pg 418, para 6).
5
The Dirham is pegged to the U.S. Dollar so currency fluctuations are not significant (pg 418, para 3) Opportunity 
6 The living standards is great, the climate is great, the infrastructure is impressive, business is growing leaps and
Opportunity 
bounds, and the schools in Dubai are international and provide a great learning environment for kids of all
nationalities. (pg 419, para 3)
8
No single market accounts for more than 30% of revenues, creating a well-diversified company with respect to Opportunity 
 regions served. (pg 423, para 3)
9 The Americas market grew at the highest rate in the most recent fiscal year, but East Asia and Australasia region had
Opportunity 
the largest overall AED growth. (pg 423, para 3)
10
Americas segment grew from last place to fourth place. (pg 423, para 3) Opportunity 
13
Opening for passenger travel by the end of 2013 will be the new Al Maktoum Airport in Dubai. (pg 424, para 3) Opportunity 
Dubai has the largest population in the UAE (2,104,895) and the second-largest land territory by area (4,114 km2)
16
Opportunity 
after Abu Dhabi.(pg 418, para 5)
17 Dubai is one of the fastest-growing countries in the world because thousands of people migrate to Dubai monthly,
Opportunity 
often because there is no tax on the personal wages in Dubai. (pg 419, para 3)
18 To be successful in business in Dubai, their culture and religion must be respected and rules must be followed. (pg
Opportunity 
426, para 3).
23 The city of Dubai is located on the Emirate’s northern coast-line and is often misperceived as a country or city-state
Opportunity 
and, in some cases, the UAE as a whole has been described as Dubai. (pg 418, para 5)
25 Dubai is located eight hours by air from 75% of the world’s population.
Opportunity 
(pg 424, para 3)
26
Quantas moved their hub for European flights from Singapore to Dubai. (pg 426, para 2) Opportunity 
Total 29
NO STRENGTH

418

The largest airline in the Middle East, Emirates flies to more than 130 destinations in 70 countries on six continents and offers direct
flights from Dubai to Washington, DC, San Francisco, Los Angeles, and Seattle. (pg 418, para 1).
Emirates services the world from Beijing to San Francisco and more than 100 markets in between
More than 1,200 Emirates flights depart Dubai each week, accounting for about 40 percent of all air traffic out of Dubai International
Airport. (pg 418, para 1).
Most of the company’s planes even include spacious private suites, and some planes provide a spa with showers. (pg 418, para 2).
Emirates carries 40 million passengers and 2.0 million tons of cargo annually, using a fleet of more than 170 aircraft. (pg 418,
para 2).
Emirates is well known for providing excellent service for high-end passengers in first class, but it also provides excellent
service in business class and economy class. (pg 418, para 2).
The company has another 230 aircraft on order (worth about $84 billion) and is the world’s largest operator of both the Airbus 380 and
Boeing 777. (pg 418, para 2).
Economy-class customers receive well-thought-out meals consisting of many courses, email, SMS services, telephone, and personel TV
monitors with more than 1,400 channel options. (pg 418, para 2).
The government of Dubai treats Emirates as a wholly independent business entity on its own and attributes this to the firm’s success.
(pg 418, para 3).
Emirates has more than 67,000 employees…. (pg 418, para 3).
Emirates has annual revenue more than 73.1 billion Dirham (the United Arab Emirates Currency). (pg 418, para 3).
Emirates is owned by the government of Dubai operating under the Investment Corporation of Dubai name, but the company and the
government of Dubai are quick to point out the airline has grown in scale not by way of protectionism but through competition. (pg
418, para 3).

In August 2013, Emirates became the first airline in the Middle East to provide Google Now cards for their passengers who
book via Emirates.com. (pg 418, para 4).

This new product enables Emirates’ customers to see and monitor their upcoming flight, providing flight times and departure
terminal. Google Now gives passengers relevant information on their destination (for example weather conditions locally,
 currency, local landmarks, accommodations, and attractions). (pg 418, para 4).

419
S Emirates received 22 new aircraft in fiscal year 2012, the most ever obtained in a single year by the company (pg 419, para 2).

S Emirates operates from a divisional-by-product organizational design (pg 419, para 5).
O No women are among the company’s top management team, which comes as no surprise given Middle Eastern culture. (pg
419, para 5).

ST Emirates could set an example soon by promoting one or more women to top management, to exemplify that women are as
capable as men to manage business operations. Executive Vice Chairman position perhaps is analogous to the traditional Chief
Operation Officer (pg 420, para 1). (pg 419, para 5).

420

S First-class passengers on Emirates flights enjoy their own private suites on Airbus 380, Airbus 350, and Boeing 777 planes. (pg 420,
para 2).
S First-class experience starts with a personel chauffeur picking up a passenger and driving him or her to the airport for a seamless check
in. (pg 420, para 2).
S Customers are then able to enjoy the first-class lounge while they wait for the plane to arrive before the boarding process begins. (pg
420, para 2).
S First-class passenger have an allowance for two carry on items totalling 25 pounds combined and unlimited checked bags up to 170
pounds total weight. (pg 420, para 2).
S First-class passenger customer enjoys suites that include a personel mini-bar, vanity table, mirror, wardrobe, 23-inch TV with more
than 1400 channels including latest movies, sliding door for extra privacy, SMS, internet and much more, (pg 420, para 2).
S ….flight crew can covert the seat to fully flat bed with mattress; complete with pyjamas, slippers, and toiletries with Bulgari lotions are
provided. (pg 420, para 2).
S First-class customers have exquisite free food and drink options, including Dom Perignon, martinis, Iranian caviar, stir-fried
lobster, glazed duck breast, Arabic mezze (appetizers), and much more. (pg 420, para 2).

S First-class customers have access to the first-class lounge to minggle with other first-class passengers and enjoy hors d’oeuvres
prepared by some of the world’s best chefs. (pg 420, para 2).
S First-class customers can enjoy one of the two onboard shower spas as part of their experience on the Emirates Airbus 380. (pg 420,
para 2).
S The spas are marketed as having walnut and marble designs with fine linens and provide complimentary massages in addition to a
shower. (pg 420, para 2).
S Business-class passengers enjoy many amenities, such as seats turning into a 79-inch flat bed at the push of a button, power supply for
laptops, extra large tables, large screen TVs with more than 1,400 channels, SMS, internet, mini-bar built into every seat, and privacy
dividers; provided on A380 and most Boeing 777 aircraft. (pg 420, para 3).
S Business-class passengers also enjoy delicious food and many drinks option. (pg 420, para 3).
S Complimentary champagne and vintage wines are the norm, and all food is presented on Royal Doulton fine-bone China. (pg 420, para
3).
S Business-class customers also have access to the business-class lounge on the second level of all A380 aircraft where chefs fix snacks
and hors d’oeuvres. (pg 420, para 3)
S Emirates ‘economy-class customers enjoy more than 1,400 channels on their personel TV, meals, and internet, phone, and SMS
 capabilities at their seats. (pg 420, para 3)
S Emirates reported a profit for the 25th consecutive year in fiscal year 2013 with revenues up 17.4 percent from the previous
year, and the best year ever for Dnata, which had revenues of 6.62 million AED. (pg 420, para 4).

S Emirates increased total passenger volume by 15.9% in fiscal year 2013 and maintained a passenger seat factor of 80%.(pg 420, para
4).
S The Arab Spring and the instability in Africa also hurt profits, but the company’s net profit for fiscal year 2013 was 7.83
billion AED, up 57 percent from the previous year. (pg 420, para 4)

S Emirates have strong financial position. (pg 420, para 4)

S The Emirates Group has two primary divisions, Emirates and Dnata. Emirates is the airline, whereas Dnata includes (a) cargo and
ground handing, (b) travel services, (c) catering and (d) freight forwarding. (pg 420, para 6).
422
S Passenger revenue is the largest overall revenue generator; increase every year and worth $ 57.4 million in 2013. (pg 422, para
1)
S Substantial revenue also is derived from cargo, which produces 15 percent of the segment’s total revenue, whereas sale of
goods produces 3 percent. (pg 422, para 1)

W All other sources contribute less than 1 percent of the segment’s revenues. This segment includes several maritime and
mercantile holdings, a 49 percent ownership in a wine and spirit business in Thailand, and hotels in UAE, Australia, and
Seychelles. (pg 422, para 1)
423

This segment operates more than 180 aircraft with approximately 120 on operating lease, 55 on financial lease, and 6 being
 fully owned by Emirates. (pg 423, para 2)

Emirates is the largest operator of Airbus 380 aircraft in the world. (pg 423, para 2)
The company has on order 223 additional aircraft broken down to 84 Boeing 777s, 69 Airbus 380s, and 70 Airbus 350-900s. Emirates
is the largest operator of Airbus 380 aircraft in the world. (pg 423, para 2)
S On average, Emirates wide-body planes are 77 months old compared to the industry average of 136 months. With 223 new
planes on order, the average age of planes in the fleet should drop substantially. (pg 423, para 2)

W More than 40 percent of all expenses are related to jet fuel. (pg 423, para 3)

W Employment expenses account for 13 percent of revenue and operating leases account for 8 percent. (pg 423, para 3)

S Dnata’s profit and revenues for fiscal year-end March 31, 2013 were all time records of 6.5 billion AED and 815 million AED
respectively. (pg 423, para 4)
S Much of the revenue growth can be attributed to recent acquisitions Dnata made including Travel Republic Ltd., the largest privately-
held online travel compny in the United Kingdom, in 2011. (pg 423, para 4)
424
S In late 2010, Dnata acquired Alpha Flight Group’s in-flight catering business; the reason of segment’s revenues increased more
in 2011-2012. (pg 424, para 1)
S7 In-flight catering was both the largest revenue gainer and the largest revenue percent increase by 325%; however the 2010-2011 fiscal
year represents only three months of providing this service in house, resulting in the large percent increase. (pg 424, para 2)
S8 In-flight catering through the acquisition of Alpha Flight Group provided more than 48 million meals to customers in fiscal year 2012.
(pg 424, para 2)
S9 For the first time ever, revenues in international markets were greater than domestic revenues in 2009 – 2010 (55% international market
vs 45% UAE market); (pg 424, para 2)
In fiscal year 2012 alone, Emirates started long-haul flights to Seattle, Dallas-Fort Worth, Rio de Janeiro, Buenos Aries, Washington
DC, Geneva, Baghdad, and St. Petersburg (Russia), among others. (pg 424, para 3)
T Emirates’ largest direct competitors are Singapore Airlines, British Airways, Delta, Middle East Airlines, and flydubai. (pg
424, para 3)

T Singapore Air now operates 101 planes that average six years and seven months and have 30 more planes on order. (pg 424,
para 4)

T Singapore Air operates the Airbus 380 (19 in operation) and the Boeing 777 (58 in operation). (pg 424, para 4)

The Group operates 20 subsidiaries within the air travel industry, including SIA Cargo, SIA Engineering Company, SilkAir,
Scoot, and Tradewinds Tours and Travel. (pg 424, para 4)

T Both SilkAir and Scoot are airlines that compliment the service of Singapore Air. (pg 424, para 4)

T Singapore Air predominantly serves Europe, Asia, and Australia, but it also flies to four cities in the United States and three
in Africa. (pg 424, para 4)

O For fiscal year 2012, the company’s profits were down $756 million to $336 million or 69 percent reduction, (pg 424, para 5)

T Both Singapore Air and Emirates are luxury airlines using Suites (separate from first class), first class, business class, and
economy class. (pg 424, para 5)

First-class passengers can enjoy 23-inch TVs, dining with food served on tableware designed by Givenchy, wines, and
T
champagne. (pg 424, para 5)
T Singapore Air markets that they are the only airline to offer a stand-alone bed, not a converted seat. (pg 424, para 5)

To complement the stand-alone bed, a sleeper suit, bedroom slippers, and linens also designed by Givenchy are provided.
T
Soft lighting options and premium skin care products and toiletries are also provided. (pg 424, para 5)

Customers in first, business, and economy classes also enjoy amenities that exceed most all competing airlines. (pg 424, para
T
5)

…“Singapore Girl” that according to the company “is an enduring symbol of our impeccable service standards.” (pg 424,
T
para 5)

425

S In January 2013, Emirates and Quantas, two rival firms, formally entered into a partnership allowing Quantas Airbus 380
customers to depart from Concourse A at Dubai Airport, the world’s only concourse designed for the Airbus 380. (pg 426, para
2).

S Emirates and Quantas work together to better coordinate prices, sales, and schedules. (pg 426, para 2).

S Quantas customers can enjoy the concourse, while waiting for their connecting flights to Europe. In exchange, Quantas
moved their hub for European flights from Singapore to Dubai. (pg 426, para 2).

W Flying with Emirates is high dollar, and competitors see great potential to take market share from Emirates with lower prices. (pg 426,
para 5).