EasyJet A No Frills Airline - Coursework Example

Strategy refers to the action plan, which is designed for attaining long-term objectives (Nickols, 2012). A strategy framed at the business level is usually termed as business level strategy. It can be further defined as the adoption along with the implementation of vital decisions towards the attainment of long-term objectives (Beard & Dess, 1981). The term ‘competitive advantage’ refers to the competitive position, wherein one organisation is able to generate more revenues as compared to other related companies.

For instance, Micromax, a mobile phone company, grabbed a high market share in nations such as India through the utilisation of cost leadership strategy. A company achieves greater competitive position, when it is able to gain control over its competitors relating to every business or operational aspect (Ware & Grantham, 2010). Although Easyjet has utilised several strategies for developing its competitive position, the airline company mainly focused on cost leadership strategy amid the prime ones (Gallagher, 2004).

Cost leadership strategy refers to gaining high market share by providing goods and services at the lowest possible prices. Michael Porter first developed and defined the concept of this particular strategy. The other available options can be reckoned as ‘differentiation’ and ‘niche marketing’ strategies (Dess & Davis, 1984). Michael Porter developed three generic strategies that aimed at supporting the organisations towards fulfilling their respective objectives. In this regard, one of such strategies is cost leadership, which leads to attain superior competitive advantage through reduction in costs.

Differentiation strategy aims at gaining competitive advantage by providing the customers with unique features embedded in the products and services (Dess & Davis, 1984). Focus or niche marketing strategy derives