Question

Discuss how does the current environment's forces that affect Emirates' ongoing strategy? You could mention the chaos wrought by the coronavirus pandemic will affect to them for a long term.

Answer 1

Emirates airlines are continually putting their efforts on embracing their economic growth. The company is concerned about getting competitive advantages. It considers innovative strategic movement to gain profits and fulfil the demand of the targeted consumers and market. The success of the company is observed due to highly experienced and qualified employees from various cultural backgrounds. Emirates has already established diversity in its organizational culture to expand their business all over the world.

However, several environmental forces affect the Emirate's ongoing strategies. This chapter is going to discuss all the environmental factors that affect Emirate's business strategies through the PESTE analysis process.

Political factors: the company is currently facing challenges due to new taxation policies by the government. Also, several wars and negative relationships with other countries impact on the business expansion planning of Emirates.

Economic factors: the country's economic situation has a tremendous effect on an organization's profit. Due to the present pandemic situation caused by the coronavirus infection in the world, the airline is facing tremendous challenges as it affects the country's economy too.

Social factor: due to the pandemic situation, the government has stopped all the international flying from maintaining social distancing. It affects the revenue of Emirates airlines. The company has to close its flying, and no passengers are available due to the current condition.

Technological factors: the company is facing challenges due to the lack of proper infrastructure in the airports of many countries. Because of this reason, the airline has stopped its business with those countries. As a result, it is facing losses for technical and technological defaults.

Environmental factors: the whole world is currently suffering from corona infection. Most of the highest economic countries like the US, UK, Italy, France, are facing pandemic condition due to this infection. As a result, international and domestic flying is stopped by the organization. It affects the organization's revenues hugely.