Case 4

Topics: Southwest Airlines, Airline, Low-cost carrier Pages: 2 (317 words) Published: October 7, 2014

Questions for Jet Blue Case (Case #4)
1. Research on the history of Jet Blue (operational and performance highlights/lowlights/milestones from 2000 to present) a. Identify the “strategic service vision“ of Jet Blue, i.e., target market, service concept, operating strategy, and service delivery system. Did their operating strategy and delivery system support the needs of their target market? b. From the research facts, did the owners/management of Jet Blue strictly adhere to their strategic service vision? Cite specific instances in their history to support your answer. c. How did Jet Blue achieve competitive advantage? What competitive service strategy did they use? Explain thoroughly. 2. What are the indicators used to measure quality and satisfaction in the airline industry? How did Jet Blue perform in terms of airline quality and satisfaction ratings through the years relative to Southwest and Air Tran Airways? 3. How did Jet Blue perform on important airline metrics such as “cost per available seat mile” relative to its competitors? 4. What do you mean by block time or block hours?

a. How did Jet Blue and its pilots perform on this productivity metric relative to competitors? b. Given the figures and the facts, what do you think contributed to Jet Blue’s maximization of productivity? c. Discuss the technology tool called “operational recovery system” that Jet Blue uses. How did this tool help Jet Blue achieve aircraft productivity? 5. Identify Jet Blue’s service qualifiers, service winners and service losers. 6. Compare the routes flown by Jet Blue and Southwest. How did the choice of routes flown by these two airlines contribute to their success in the industry? Now that Southwest has entered the Boston route, what should Jet Blue’s strategy be in order to retain its customers in that area?

Lessons:
1. Crisis management preparedness is a must!
2. Service recovery can be viewed as a means to establish a loyal customer...
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