Jetblue Case Study Analysis

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Recommended: Strategic management of jetblue

JetBlue was founded in 1999 by David Neeleman under the name of New Air and later was change to JetBlue. David Neeleman aim to create a low fare flying airline to compete with southwest airline. Many of JetBlue employees were former employees of southwest airline. In 2000 JetBlue begins flying to routes in New York and Florida. The next year they built their second base in Long Beach, California. JetBlue is one of few airlines that was continuously profitable after 9/11.

Threats of new entrants
JetBlue have a low threat to new entrants since the airline industry have strong barriers to entrants. The first barrier to entrant would be the cost it will take to build an airline, it will take millions of dollars to construct an airport and then …show more content…

The two majors’ suppliers are Boeing and Airbus.
Buyer powers
Since the internet the power of the buyer has increase. Consumers can now go online and compare the prices of flights to finds the cheapest one.
Competitive rivalry
The airline industry is very competitive, the market share of the industry is control by a few companies that spends millions of dollars into advertising. The industry have a lot of competitor that go bankrupt in 1987 87 airlines failed. It is very hard for airline companies to have a competitive advantage after all of the regulations and upkeep it take to have an airline. And then to have great customer service. Primary:
Inbound logistic- use online system to keep track of reservation, baggage, and monitor safety of the airplanes systems updates.
Operations- use only one aircraft that has a lower upkeep.
Outbound logistic- well organize staff that follow process that allow the customer to more to their destination as quick as …show more content…

So that you can become more differentiable.
• Lobby politicians for favorable regulations
• More oversea flight seen the economy is improving tourism will increase
• Continue to expanded into other areas and

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