and resources to continue its growth and profitability. The recommendations for JetBlue’s management is to continue with its best-cost strategy through identifying cost minimising opportunities within its value chain‚ while at the same time investing aggressively in technology and innovation to differentiate from its rivals. Table of Contents 1. Strategic vision 2. Functional strategies and key activities 2.1 Customer service 2.2 Human
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Assessment and Identification of Strategic Issues 3 Key Strategic Issue‚ Options and Recommendations for Action 3 Best Option Recommendation 4 I. Case Update (Exhibit 1) 5 Bibliography 7 II. JetBlue’s Strategy in Detail (Exhibit 2) 8 Mission/Purpose/Vision 8 Goals/Objectives 9 Major Policies 9 III. JetBlue’s SWOT Analysis (Exhibit 3) 11 IV. Analysis of JetBlue’s Financial Performance (Exhibit 4) 12 2010 vs. 2009 Sources and Uses Analysis 12 2008-2010 Horizontal and
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Jet Blue Case Part 1 Analysis: Financial Analysis- JetBlue‚ despite the hard times facing the airline industry‚ is doing well in comparison to its competitors. It is a much smaller company earning as much as $18 million less than its competitors in operating revenues (American had the most at 20‚657 million and JetBlue had 1‚701 million). However‚ with that being said‚ it is the only leading airline to show an operating profit besides Southwest. Does this mean JetBlue was successful?
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Issues faced by Jet Blue 1 A. Some of the significant issues Jet Blue faced on February 14‚ 2007 were due to an unexpected ice storm that grounded over 39% of the scheduled flights over a course of three days. Because Jet Blue’s services are intangible‚ it was hard for the company to make up for the flight cancellations. Also‚ the services that Jet Blue offers such as flights are perishable. Therefore‚ all profits from cancelled flights were lost. Another issue faced by Jet Blue was the communication
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Jetblue Case Analysis Jetblue set out to provide its customers with a great airlines experience. Neeleman’s goal was to provide customers with “the types of amenities reserved for the pricier carriers‚ including wider seats ……and 24 channels of in-flight television” ( Case study pg 400) One of Jetblue and Neeleman’s biggest challenges was to keep offering all these amenities while still competing with the big carriers by keeping their prices 50 to 60 percent lower on the same routes. As they grew
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Running head: JET BLUE ANALYSIS Jet Blue Analysis BUS 630 Assignment WK 3 Jet Blue Analysis Jet Blue is now a major U.S. airline that has established itself as a leading low-fare‚ low cost passenger airline by offering customers high quality customer service and a differentiated product according to Jet Blue 10-K/A pg . Their steps to achieve their goals in the market place are to stimulate demand with low fares. Jet Blue offers a wide variety of low fares that target those leisure travelers
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Jet Blue has an opportunity to remain cutting edge in the airline industry by continuing to be low-cost and expanding carrier. A great market for Jet Blue to expand to would be towards the Caribbean’s. As well as possibly lobbying Washington to lift travel sanctions in Cuba‚ which at one point was a major vacation getaway for Americans. This opportunity fits into Jet Blues current business model of short distance flights at a lower cost than the competition. Jet Blue is a shinning star in the
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1. Is Jet Blue appropriately positioned to create and maintain a strategic competitive advantage? Yes they are. Jet blues customer service is tremendous. They had the one valentine day massacre but they bounced right back. As a company they know where they have to be in order to succeed in the future. They know about great customer service and low price. Gas prices are rising and with the expansion of the e190‚ I believe this flight will help their revenue increase in the future. 2
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Meltdown at Jet Blue Sherri Hernandez XBIS/219 February 22‚ 2013 Donna Rosentrater Meltdown at Jet Blue There were many problems going on at Jet Blue when there was a really bad storm on Valentine’s Day in the year of 2007. Many airports had to completely shut down and cancel all of their current flights because the weather had such bad conditions. This was a result of freezing rain and sleet. Many passengers were very irate and angry because their flights were delayed or either cancelled
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the Jet Blue case was former CEO David Neeleman. He was the person who started Jet Blue and formed it to become a low cost airline provider‚ providing luxury and comfort and destinations to various cities at a low affordable cost. He understood how to cut cost and keep operating expenses low‚ and as a result Jet Blue had rapid expansion and flew to 53 destinations in 21 states‚ including Mexico‚ Puerto Rico‚ and the Caribbean. Up until 2007‚ when David Barger took over‚ Neeleman made Jet Blue prosperous
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