Building the Right Relationships with the Right Customers. Copyright © 2012 Slideshare Inc. Retrieved May 17‚ 2012 from: http://www.slideshare.net/mehmetcihangir/segmentation-targeting-and-positioning-presentation Woodyard‚ Chris‚ Pitting Southwest vs. JetBlue USA TODAY. Retrieved May 17‚ 2012 from: http://www.usatoday.com/travel/news/2004-07-05-biztravel-comparison_x.htm
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1990s‚ none of the five largest air carriers in the US earned it cost of capital. Why do such low rates of return on investment persist in the airline industry? 2. Despite the challenging industry environment‚ airlines like Southwest Airlines and JetBlue earn enviable returns. How? 3. Why have all of the subsidiaries of legacy airlines‚ including Delta Express‚ failed? 4. What will happen to Delta Airlines if it continues to respond to low-cost airlines in the way it has in the past? Can you size
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Problem definition There were many problems but the main issue was in the following: The Decision making in both incidents was not rational Lack of planning for unexpected problems‚ although as mentioned in the two cases weather problems can be predicted approximately‚ so a solid plan should have been made. Problem Justification Although Rommel’s decision is a legal and rational decision from his point of view‚ yet it was not an ethical one and it was biased. His decision was utilitarian it
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JetBlue had a fleet of 194 Airbus A320 aircraft and 30 Embraer 190 regional jet aircraft. JetBlue revenue in2007 was $2.6 billion‚ one-quarter the size of Southwest. The company had a net loss in 2005 and 2006but returned to profitability in 2007. A major ice storm that hit New York in early 2007 severely
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Company Stock Project Write-Up Southwest is one of the most growing domestic airlines along with JetBlue Airways and United Airlines. Southwest airline was first established in Texas in 1967. In the start of its business‚ southwest focused only in the Southwest region (that’s where the name came from). With 45 years of service‚ Southwest expands its company to the whole country with more than 3‚400 flights each day. Southwest currently has a total capital of 10‚991 million dollars. In 2011
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competitive edge for the industry. Corporate social responsibility also increases sustainability by assisting the industry in achieving its goals and increasing long-term shareholder value. One company that exhibits this corporate social responsibility is JetBlue. They are dedicated to serving the needs of America’s youth as well as their community. Ian Deason‚ the director of airport operations‚ stated that “Flying is our core business… our core values include caring‚ integrity and passion.” The company
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of two major weather factors‚ winter snowstorms andsummer thunderstorms‚ snowstorms are easier to handle because they are more predictable. Don’t tell tha t toJetBlue‚ however. On February 14‚ 2007‚ JetBlue wasunprepared for a snowstorm that hit the East Coast. Dueto the lack of planning‚ JetBlue held hundreds ofpassengers on its planes‚ at JFK‚ in some cases for aslong as 10 hours (with bathrooms closed!). To the stranded travelers‚ JetBlue’s tepid offer of a refund was just as outrageous.
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difficult to determine years ago. For example‚ in 2007‚ JetBlue experienced unprecedented levels of customer discontent in the wake of a February ice storm that resulted in widespread flight cancellations and planes stranded on Kennedy Airport runways. The airline received 15‚000 e-mails per day from customers during the storm and immediately afterwards‚ up from its usual daily volume of 400. The volume was so much larger than usual that JetBlue had no simple way to read everything its customers
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consideration. It only made decisions by itself as soon as possible and did not think about subsequent information. Q: 2. Review the section on common biases and errors in decision making. For companies such as Nationwide‚ American Airlines and JetBlue that must respond to natural events‚ which biases and errors are relevant and why? A: There are two main biases relevant to Nationwide. The first bias is overconfidence bias. Nationwide is too confident to make the decision correctly by itself
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looking for competitors we can find the “usual suspects” Europe’s EasyJet and Ryanair are two of the best-known airlines to follow SWA’s business strategy in that continent. Other airlines with a business model based on SWA’s system include Canada’s WestJet‚ Malaysia’s AirAsia (the first and biggest Low-Cost in Asia)‚ Qantas’s Jetstar‚ Mexico’s Volaris and Turkey’s Pegasus Airlines. Although SWA has been a major inspiration to many other airlines‚ including Ryanair‚ AirAsia and Jetstar‚ the management
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