Jet Blue Airways; Managing Growth 1. Jet Blue´s Business- level strategy; value and cost drivers Jet Blue uses to create and maintain ist competitive position Founded by the discount airline veteran David Neeleman in 2000‚ JetBlue Airways has quickly become one of the largest discount airlines in the United States. Starting primarily by serving the East Coast‚ the airline has since expanded throughout the country and entered the international market. The reasons for its early success are
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Introduction JetBlue Airways Corporation‚ or JetBlue‚ is New York’s Hometown Airline. The airline was‚ incorporated in‚ 1998‚ is a passenger carrier company. The Company operates various kinds of aircrafts‚ including Airbus A321‚ Airbus A320 and Embraer E190‚ providing air transportation services across the United States‚ the Caribbean and Latin America. JetBlue is the sixth largest passenger carrier in the U.S. (ref). The airline’s business model places emphasis on product and culture differentiation
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University of Nottingham “The Success of easyJet and Other Low Cost Airlines is Due to Their Focus on Pursuing A Pure Low Cost Strategy and the Subsequent Ruthless and Effective Management of their Value Chain” James Shrager MA Corporate Strategy and Governance 1 The Success of easyJet and Other Low Cost Airlines is Due to Their Focus on Pursuing A Pure Low Cost Strategy and the Subsequent Ruthless and Effective Management of their Value Chain By James Shrager 2007 A
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Case 3: Jet Blue 1. What are key forces in the general and industry environments that affect JetBlue’s choice of strategy? Key forces that affect JetBlue’s choice are‚ for the low-cost airline industry‚ new entrants with more commercial experience might be the central issue. Sometimes‚ global forces are driving the way competitiveness is established in the low-cost airline industry such as the rising oil prices which are forcing some of the airlines to increase their charges. Understanding
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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
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just outside with Jensen by my side. The thunder storm roars above us as it prepares to rain down upon us again‚ but that’s not what baffles me. There’s an extremely high pitch zipping sound in the air and it’s nothing like I’ve ever heard before. Jet carriers are the source of the strange sound as they zoom at impossible speeds above us. The carriers are a streak of black on the city and what I can make out; they’re nothing like the carriers I’m used to. Normal carriers begin to land on the roofs
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PAU/LBS/2011/10/024 FINANCE - 2 EXAM ANALYSIS OF JET BLUE CASE: PREPARING FOR FINANCING SYNOPSIS OF THE CASE JetBlue Airways Corporation was formed in August 1998 as a low-fare‚ low-cost but high service passenger airline serving select United States market. JetBlue’s operations strategy was designed to achieve a low cost‚ whilst offering customers a pleasing and differentiated flying experience. JetBlue has had a successful business model and strong financial results during that period‚ and
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individual customer. 4.Deliver low cost and maximize margins * Focus on fuel conservation. * Own family of aircraft which is cheaper to operate. Strategic Evaluation - Situation Analysis SWOT ANALYSIS STRENGTHS * Low Pricing - Easy Jet ’s strategy is growth with margin improvement and therefore the management team continually
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“JetBlue Airways: Managing Growth” Samuel Natkovitch I. Introduction The airline industry is one of a highly complex and unpredictable nature. “JetBlue Airways: Managing Growth” presents a case about a brand that can attest to this fact‚ a brand that also happens to be one of the big airline corporations of America- JetBlue. Former Executive Vice President of Morris Air‚ David Neeleman‚ founded JetBlue in 1999. Neeleman entered the market with 10 planes and in just under 6 years‚ the JetBlue fleet
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has been there since its inception and is not a corporate strategy introduced at the time of slowdown‚" says Captain Shakti Lumba‚ former head of operations of IndiGo. Analysts aver the July performance (its market share was 27 per cent compared to Jet ’ 26.6 per cent) is no flash in the pan. "I expect the gap in terms of market share and profitability between IndiGo and the rest to widen at least in the near term‚" says Kapil Kaul‚ chief executive officer at aviation consulting
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