A strategic analysis of jetblue airways

Case 20 jetblue airways growing pains

I think people see passengers as an annoyance - 'Man, if we just didn't have these people, my job would be a lot easier. But even as the majors lost billions of dollars, a star emerged that would have a profound effect on the indu stry structure: Southwest. The company began with the goal to eliminate many of the complexities and asininities of commercial air travel and set a new standard for customer service. Both the age of the company and the size of the company contribute to its centralization: the company is only two and a half years old employs three and half thousand. It would seem prudent for JetBlue to continue utilizing these smaller airports as they continue to grow and try to stay away from those that are busier and more competitive. JetBlue's success is our success. However, if history is any indication of future events, JetBlue will be faced with many internal and external strategic issues to overcome in order to maintain its competitive advantage. Though comical to the extreme, the preceding metaphor illustrates the level of absurdity that airline ticket pricing has reached, and the frustration felt by those consumers that have no choice but purchase tickets through an un-fair and arbitrarily expensive system.

Due to the fact that they are such a small company they also have a limited number of locations throughout the nation. Strategic Analysis of Jet Blue Airlines Executive Summary JetBlue is a company built on a focus strategy of low-priced, no-hassle ticketing and refreshingly efficient customer service.

vrio jetblue

In the awake of September 11th, JetBlue still maintains the low-cost leader. With aging planes, possible worker unions, and possible expanding customer service costs and as JetBlue grows, it will be essential that they be extremely proactive in keeping costs down.

B: Organizational Culture - Norms, assumptions and expectations JetBlue's goal is to make a personal connection with its passengers.

Jetblue vision statement

However, this astounding success aside, the future promises to present JetBlue with serious strategic issues — issues that have marked the collapse of other similar airline start-ups. A major threat that should be of concern is the fierce competition in the industry, and the possibility of other low-cost strategies being implemented by much larger companies. Consideration of implementing the above recommendations and continuing the practices currently in place should allow JetBlue to continue to be an innovator and a successful company in the future. All JetB lue aircraft are configured for passengers and outfitted with leather seats with free satellite television at every seat. In , JetBlue introduced refundable fares and new payment options for customers, and it also launched jetblue. By offering the customers the best experience JetBlue can deliver, they find most of them come back regularly and tell their friends and family about JetBlue. Tahasina Islam 42 Their core competencies easily distinguish them from most of the competition and those strengths are what gives them the competitive advantage to become more successful. Thanks for flying—I mean painting—with our airline.

The stock soared, then dropped, but is holding its own. Within a year Neelman's airline, by then dubbed "JetBlue", successfully completed the airline application process, and its inaugural flight took place on February 11, Alif Hasan Arif 30 Another way that JetBlue keeps its costs down is their unique reservation system.

In stead of being in a room of cubicles to answer phones all day, for example, JetBlue's staff of 3 50 reservationists work from their home.

is jetblues competitive advantage sustainable

JetBlue publicized flights to Puerto Rico in May JetBlue is noted as the best-capitalized airline start-up in history. Because JetBlue is working on differentiating itself with low price and friendly, efficient customer service, a high level of integration is key to their viability.

A strategic analysis of jetblue airways

Clerk: Yes sir, it will.

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Strategic analysis of jet blue airlines us