as US Airways‚ American and Continental because they could not compete at their price level because of a lack of name recognition and the loyal customer base advantage that these companies already had. These factors led JetBlue to choose the best-cost provider approach as its operations strategy. The best-cost provider strategy aims at giving customers‚ “more value for the money.” The objective of this strategy is to deliver superior value to buyers by satisfying their expectations on key quality
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Case Study Jet Blue INDUSTRY The airline industry has seen many changes and problems over the last ten years. Some of these issues were because of the economy and others were simply because of competition and the need for your company to adapt with others. The airline industry in 2006 only had two types of competitors and if you could became a leader in one of them you would see your profits vastly rise. The difficulty in become one of these leaders was that the industry is very tough. Every move
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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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productivity‚ in-flight features‚ and customer service. Due to the fact that the company only purchases new planes of a single type‚ maintenance downtime is reduced and it is able to keep its planes in the air. In fact‚ JetBlue maintains the highest in-air average in the industry. Additionally‚ JetBlue employs an “operational recovery tool” technology that allows planners to minimize flight cancellations and delays. On board‚ JetBlue prides itself on treating all customers as equals and providing more
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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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and innovation with affordable prices‚ low cost ticketing system‚ and efficient aircraft utilisation. JetBlue is a low-cost airline with a differentiated approach in regards to the high level of customer service it offers. It thus follows a best-cost provider strategy because it aims to give customers more value for money. As we will see in this report‚ JetBlue achieves a best-cost position from its ability to incorporate attractive features at a lower cost than its rivals. This report also investigates
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Strategies‚ Policies & Practices HMP1 – Jet Blue Case Study HUMAN RESOURCE STRATEGIES‚ POLICIES & PRACTICES 2 Abstract Human Resource Management‚ was developed in the late 90’s‚ by R. Wayne Mondy and Judy Bandy Mondy. It was designed to help new students become familiar with human resource management‚ providing both realistic and practical scenarios of HR’s strategic role in planning and operating organizations. Through various examples from the research
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Pooja Rathan Marilyn R. Kaplan‚ Ph.D. Strategic Management 6 March 2013 Comparative Analysis: JetBlue VS Southwest This case is a report that compares the financials of two well-known firms in the airline industry‚ JetBlue and Southwest. JetBlue Airways Corp was established in the year 1998 with a vision of being a leading cost efficient passenger airline with competitive‚ low rates. The company has been working toward a goal of growing sustainably while also maintaining efficient liquidity
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Moreover‚ once the company is public‚ it has access to a new and liquid source of capital for any future needs it may have. Increased Public Awareness As IPOs often generate publicity by making a company’s products known to a new group of potential customers‚ it created public awareness of the company. Achieve Optimal Capital Structure Adding equity lowers the leverage (debt/equity ratio) of the company and helps equip the company with the tools to achieve optimal capital structure. The lowered leverage
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vision for JetBlue Airways in order to direct all organization activities whether internal or external. The five core values were safety‚ caring‚ integrity‚ fun‚ and passion‚ which from JetBlue Airway’s management viewpoint was that if employees were happy then that would lead to greater successful recruitment and greater employee retention rates‚ which would potentially reduce or eliminate the likelihood of a union organization attempting to unionize the company. Three National Equal
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