Jet Blue Swot
JetBlue SWOT Analysis
Strengths
• Low Operating Costs- For the year ended December 31, 2007 cost per available seat mile, excluding fuel, of 5.47 cents was lower than that reported by all other major U.S. airlines
• Strong Brand- The JetBlue name is widely recognizable
• Strength of People- The continuance of hiring and retaining people that reinforce the companies values
Weaknesses
• Internal Control of Financial Reporting- It was found in a audit that the company showed signs of material weakness in controlling their financial reporting
• Relative new company- JetBlue is a relatively new company and has not been in the market long enough to effectively establish itself in all 50 states and in many more countries
Opportunities
• Industry- Although the airline industry as a whole is declining, JetBlue continues to show profit and therefore shows an opportunity in quick expansion and possible market share.
• Terminal 5- JetBlue has just announced it plan of an entertainment facility that will allow you to shop and eat at a variety of retailers and restaurants
Threat
• September 11th- Since the attacks of September 11th, the industry has decreased tremendously as people are afraid to fly even 7 years later
• Security- Due to the attacks of September 11th airlines have had to increase security which is absorbed by the airline
• Price of fuel- Along with the price of unleaded gasoline, the price of jet fuel has also sky rocketed
I believe that JetBlue is one of the few airlines that have continued to earn a profit while maintaining/increasing its customer following. The company is doing everything that it needs to do to stick to its mission of reduced cost flying and passing that savings on to the customer.
The only recommendation that I could give to JetBlue would be to spend time on researching the controlling of the financial reports to resolve that problem. Otherwise, the company should just continue to operate committed to its
Strengths
• Low Operating Costs- For the year ended December 31, 2007 cost per available seat mile, excluding fuel, of 5.47 cents was lower than that reported by all other major U.S. airlines
• Strong Brand- The JetBlue name is widely recognizable
• Strength of People- The continuance of hiring and retaining people that reinforce the companies values
Weaknesses
• Internal Control of Financial Reporting- It was found in a audit that the company showed signs of material weakness in controlling their financial reporting
• Relative new company- JetBlue is a relatively new company and has not been in the market long enough to effectively establish itself in all 50 states and in many more countries
Opportunities
• Industry- Although the airline industry as a whole is declining, JetBlue continues to show profit and therefore shows an opportunity in quick expansion and possible market share.
• Terminal 5- JetBlue has just announced it plan of an entertainment facility that will allow you to shop and eat at a variety of retailers and restaurants
Threat
• September 11th- Since the attacks of September 11th, the industry has decreased tremendously as people are afraid to fly even 7 years later
• Security- Due to the attacks of September 11th airlines have had to increase security which is absorbed by the airline
• Price of fuel- Along with the price of unleaded gasoline, the price of jet fuel has also sky rocketed
I believe that JetBlue is one of the few airlines that have continued to earn a profit while maintaining/increasing its customer following. The company is doing everything that it needs to do to stick to its mission of reduced cost flying and passing that savings on to the customer.
The only recommendation that I could give to JetBlue would be to spend time on researching the controlling of the financial reports to resolve that problem. Otherwise, the company should just continue to operate committed to its