Jet Blue Case Analysis

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  • Topic: Southwest Airlines, Low-cost carrier, Airline
  • Pages : 4 (721 words )
  • Download(s) : 271
  • Published : April 25, 2012
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Jet Blue
Vision
To be the best method of traveling
SWOT
Strengths
• JetBlue Airways is the low cost Airline of America.
• Strong people on top management, several JetBlue executives are former employees of Southwest Airlines. • It follows the low cost strategy of Southwest Airlines but differentiate itself by facilitating customer with entertainment stuff. • Strong Brand widely known among the people of US.

• Live TV at every seat with 100 channels.
• Low cost operations
• JetBlue continually hiring talented and experience people and also retaining them. • JetBlue was named the number one U.S. domestic airline by Coned Nast Traveler magazine’s “Readers’ Choice Awards” for the sixth year in a row.

Weaknesses

• JetBlue has not yet tried to lift money by selling snacks during flights • It was established in year 1999 relatively new airline company that the reason it still not have complete market hold on 50 states. • In year 2005 it had faced Aircrafts problems which reduced the profits. • Airline is operating in 12 countries.

Opportunities

• The airline industry growth is not up to the mark but still JetBlue profits are on higher side. • Increase the number of flights.
• Penetrate in US market.
• Majority of international markets are untapped.

Threats

• The incident of 9/11 increases the security threat for airline industry. • Recession in US may lower the revenues.
• The price of fuel is unpredictable.
• JetBlue facing Strong competition in US and International market.

PEST
Political
* September 11, terrorist attacks
* Political stability
* Competitive airline industry
* Regulatory factors
Economic
* Improved purchasing power
* Rise in Inflation
* Rise in Oil Prices
Social
* Greater customer awareness
* Increased entertainment level
* Security level of customers
* Bad Services (lost luggage)
Technological
* Beginning e-ticketing
* Automated systems (cockpits)
*...
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