Thursday, March 7, 2019
Jet Blue Essay
There be a fewer trends that have come into play everyplace the past few socio-economic classs. These different trends range from pricing for the flight to in flight perks. It seems that the perks and an early(a)(prenominal)(a)(a) in flight amenities are what may be what makes the end and will impact any of the airline connections strategy. receivable to major hikes in fuel be over the past year the airlines have had no other(a) choice but to start go across this expense on to the flyers. The airlines have been trying to come up with combative ways to differentiate themselves from the competition.Many of the airlines flush blossom for you check cup of teas also. gibe to Ethan Davidoff in his article The Cost Behind Checking Bags nigh airlines notwithstanding charge $25 for a bag to be checked but at that come is southwesterly Airlines that allows two bags to be checked before charging. With that said in the above menti mavend article one can see that you defini tely neediness to conk out light because for more than one bag the prices start to growing all the way up to $600. Although Southwest allows two checked bags in that respect are other airlines that allow one free checked bag and most have a weight limit of 50lbs.If one were to travel internationally it may be cheaper to just purchase brand saucily clothes when you land. Not to mention the convenience of not checking any bags or having to wait to pick it up when you land, etc. So not only have airlines starting charging to check bags but many have stop providing food, unless the flight is over a given amount of time and you are usually paying for that snack. The above mentioned change in airline airfares has sure affected many airlines strategies.Also as mentioned above it has affected them most specifically in what type of benefits, perks, or amenities that they are voluntary to offer their flyers. greens muddied has certainly followed suite and done assorted things to try to set themselves apart prove flow gloomfuls strategic intent. Jet blue-blooded says that their objective is optimize our fare commixture to increase our average fare and, in certain markets, utilize our bring in income to maximize connecting opportunities while proceed to nominate our customers with competitive fares (jetblue. om secondment filings, p. 31). equal any other guild they are looking to cut costs without hurting any of the aspects of their company that sets them apart (i. e. customer service, tv, radio). Jet Blue airline seems to have set its strategy to take advantage of the charges that other airlines charge. They have set themselves apart by offering things on their flights that other airlines either dont have or charge for. Jet Blue allows the first bag to fly free, the second costs $35, and the ordinal costs $75.Although they do not have wireless broadband yet, hostile some other airlines, they do plan to have it in place 2012, and this is so because all of Jet Blues aircrafts are be set up for ViaSat satellite wireless which is new and no other airline has. Jet Blue is testing the service for ViaSat and the FAA for testing to be approved for use on airlines. However on the ground in the terminal it does offer free broadband at most airports (http//www. jetblue. com/flying-on-jetblue/onboard/wifi. asp). A strategy held by Jet Blue like that of any bank line is to improve its bottom line.Jet Blue wants not only to be profitable while reducing costs but they want their customers to be happy and have a good flying experience. Jet Blue has a saying on their localise that says our standards beat their extras (http//www. jetblue. com/flying-on-jetblue/). They aim to provide stellar customer service. As a matter of fact jibe to ehow. com Jet Blue was awarded the Conde Nast Traveler Readers Choice Award for best domesticated airline and in 2008, it won J. D. great power and Associates Highest customer Satisfaction Among junior- grade Cost Carriers in North America award (ehow. com).More specifically they also state on their website that they have ranked Highest in Customer Satisfaction Among Low-Cost Carriers in North America by J. D. Power and Associates for five years in a row (http//www. jetblue. com/about/ break away/). Jet Blue airlines prides itself on its customer service. As noticed from the preceding paragraph they have won awards for their customer service. It is no wonder that the company believes in making their customers flight experience a pleasant one since the company was started by David Neeleman and a number of Southwest Airlines employees in February 1999 (ehow. om). Outstanding customer service is part of their strategy and it is one of their many features that puts them heads above the competition.Discuss Jet Blues fiscal objectives and whether or not the company has been prospered in achieving this objective. Before even getting into the financial objectives of the company just rea ding the SEC track for 2010 really shows certainty that Jet Blue has been an extremely successful company over the past ten years. Since they were incorporated in 1998, flight starting in 2000, they have grown from $38. million in net income in 2001 to net income of $97 million in 2010 (jetblue. com). The aforementioned data shows proof of growth and success in lieu of turbulent financial quantify with rising fuel costs. Fuel costs dramatically rose over the companys time in business which could have intimately put a company under but they continue to strive. Discuss Jet Blues strategic elements of cost, organizational culture, and human imaginativeness practices and esteem whether each element provides the organization with a competitive advantage.Jet Blue continues to be competitive with their ticket and baggage pricing. In their 2010 SEC filing they term themselves a value airline based on service, demeanor, and cost (p. 4). They go on to discuss in the overview how they feel that they continue to provide best coach product and reasonably priced optional upgrades (http//investor. jetblue. com, p. 4). As for Jet Blues organizational culture their web site specifically says If youre looking for a job where your career, your passion, and your sense of period of play are all important then youve landed at the responsibility place.At JetBlue weve built an award-winning brand based on carrying value, service, style and comfort to our customers and to our crewmembers. And, by hiring flock who share our vision, weve created a place where people enjoy coming to work (http//www. jetblue. com/about/work/). Jet Blue continues remain un-unionized. Discuss Jet Blues strategies for 2008 and beyond and evaluate whether or not Jet Blue will be successful implementing these strategies. Part of their strategy in 2008 has been the same as previous and later(prenominal) years, to remain on time with their flights.They have continued to do surface meeting this go al. Jet Blues ongoing strategy has been to deliver exceptional customer service and on time direct flights. In 2008 they stated in their SEC filings that they were the 7th largest passenger carrier and in their 2010 SEC filings they were the 6th largest. Regardless of any strategies that they planned to implement they were evidently successful. The proof lies in their continued recognition by JD Power & Assoc, their net income increases, and their growth to 6th largest passenger carrier in the US.While other airlines are folding, being bought out, or merging Jet Blue is continuing to grow. It is no wonder since they offer outstanding customer service as only part of their strategy and it is one of their many features that puts them heads above the competition. almost of their other features that ranks them high with their customers is the fact that they offer 36 tv channels, XM/Sirius radio, and untrammeled snacks and beverages to all passengers at no cost. Kudos to a company for retention its employees (all non-union) and customers happy.