Cases Study Jetbule

Topics: Low-cost carrier, Southwest Airlines, JetBlue Airways Pages: 18 (3878 words) Published: January 31, 2013
JetBlue Airways

Growing Pains

An assignment according to the lecture „Strategy in international Business“ Rajamangala University of Technology Thanyaburi (RMUTT)

Submitted to Mr.Sarakul Sukortprommee

Jaunary 2013



Mara Nemela


This report is part of the Department of Strategy Management by objectives. For Education and Research on JetBlue's Airways which is mainly serves destinations in the United States, along with flights to the Caribbean, The Bahamas, Bermuda, Barbados, Colombia, Costa Rica, Dominican Republic, Jamaica, Mexico and Puerto Rico. For JetBlue’s airline ffer nonstop daily service to more than 75 destinations in the continental U.S., Bermuda, the Caribbean, Mexico and Latin America; and Getaways vacation packages with big savings and peace of mind all the time. Onboard our flights, enjoy award-winning service; complimentary, unlimited brand-name snacks and beverages; comfy, leather seats with the most legroom in coach*; free 36 channels of DIRECTV® and more than 100 channels of SiriusXM Radio®; and the fact that your first checked bag is always free. And For our group ,we prepared to do the research to find out the detail which can get benefits and Applications for using daily life.

We want to “Thanks for a Teacher. Sarakul Sukortprommee” who are share your knowledge and teaches. everyone's cooperation as well. Author hopes that this report will provide the knowledge and benefit all readers and you. And our groups hopes this report will provide the knowledge and benefit to all readers, if it have any mistakes, we want to apologize for this here.

IBA 4/53




1. Background
1.1 Who is Jetblue Airways

1.2 Business Model

1. 3 Positioning

1.4 Operations

1.5 Culture

2. Strategic Management

- Marketing Strategic

- SWOT Analysis

-Competitive Advantage

- Five Force Analysis

3. Growth and Expansion
4. Turbulent Times
Rising Fuel Costs

5. The Return to Profitability Plan
6. The Customer Service Fiasco
7. More Turbulence Ahead?
8. Conclusion
9. References


This paper deals with the establishment of Jetblue Airways and its strategic analysis. The company will be shortly introduced and then the economical structure and financial status will be analyzed.

1. Background

1.1 Who is Jetblue Airways?[1]

Jetblue Airways is a low cost carrier (LCC) and it was founded in 1999 by David Neeleman which was the CEO until 2007. It is based in New York at the John F. Kennedy Airport (JFK). In year 2000 they began with the passenger carriage from JFK Airport with only a few destinations in the US. Nowadays they have much more destinations even over the borders of the US which are shown on the picture below.


Jetblue has the image of a colourful and fun airline even though it is a low cost carrier other airlines had to reckon them as keen competition. They combine low fares with several value added services to cover the customer needs without raising the costs anyhow.

In the year 2007 two major things happened at first there was a change of CEO,

David Barger became the new CEO and the company had to face a great service breakdown because of a snowstorm which hit the northeast regions of the US. Jetblue Airways reacted too slowly to these bad weather conditions so that thousands of passengers were left at the airports. This harmed the image of the company as a customer friendly airline and broke its reliability record.

1.2 Mission/Vision/Objectives

In general Jetblue has no formal mission or vision statement. Instead they rely on a set of core values which will be pointed out in the business model.

Some economists say that...
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