“Analysis on various Factors of JetBlue Airways” |
1
Case Analysis
on
JetBlue Airways
Prepared for
Mahbub Ullah Miyan
Lecturer of College of Business Administration (CBA)
IUBAT—International University of Business Agriculture and Technology
“Analysis on various Factors of JetBlue Airways” |
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Prepared By-
NO.
Name
ID
Sl. No.
1.
Nazmul Hossain
11302056
2
2.
Amitabh Bhattacharya
12302068
4
3.
Monjurul Islam
12302163
6
4.
Arman Ibna Sahid
13102142
8
5.
Sadia Rahmat Ullah
13102207
10
6.
Maksudur Rahman
13102287
12
7.
Samsunnahar Any
13102415
14
8.
Tanjina Akter
13102519
16
9.
Sandeep Debnath
13102609
18
10.
Toriqul Islam
13202026
20
11.
Farzana Ieasmin
13202050
22
12.
Akikunnahar
13202122
24
13.
Md. Mosharof Hossain
13302089
26
14.
Md. Abubakar Siddiqul
13302228
28
15.
Alif Hasan Arif
14102016
30
16.
Rubaya Jahan
14102022
32
17.
Shabrina Jahan
14102025
34
18.
Md. Ramjan Mia
14102035
36
19.
Md. Lutfar Rahman Akash
14102046
38
20.
Ashir Alam
14102053
40
21.
Tahasina Islam
14102055
42
22.
Nayma Islam Eva
14102088
44
23.
Shabiha Islam (L)
14102143
46
24.
Md. Tanvir Ahmed
14102226
48
25.
Istiak Ahmed(L)
!4102322
50
26.
Tamanna Akter
14102429
52
27.
Md. Shihab Hossain
14102497
54
28.
Md. Mehedi Hasan
14102529
56
“Analysis on various Factors of JetBlue Airways” |
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Introduction:
JetBlue was incorporated in Delaware in 1998 and commenced service in 2000 with primary
base of operations at New York’s John F. Kennedy International Airport. The company’s goal
has been to establish itself as a leading low-fare, low-cost passenger air line by offering its
customers high-quality customer service and a differentiated product. The airline focused on
serving “underserved markets” and large metropolitan areas that have high average fares with a
diversified geographic flight schedules that includes both short and long-haul routes. From its
first day of operation, JetBlue differentiated itself from other airlines by:
• Starting the business with a lot of money the only carrier with over $100 million startup capital
• Flying new planes that are more reliable and certainly more efficient. Seats are covered in
leather with individual monitors for viewing programs from DirecTV.
• Hiring the best people by screening the employees rigorously, offering exceptional training
• Focusing on service by listening to customers and ensuring their flight is joyful and friendly.
Much of JetBlue’s business model of low faces came right out of Southwest Airlines’ playbook.
This is no surprise since JetBlue founder, David Neeleman, was fired by Southwest in 1999. In
2006, JetBlue published its first corporate sustainability report, the “1st Annual Environmental
and Social Report 2006,”In 2007, JetBlue introduced the JetBlue Airways Customer Bill of
Rights, which provides compensation to customers who experience avoidable inconveniences
(and some unavoidable circumstances).In 2008, JetBlue introduced refundable fares and new
payment options for customers, and it also launched jetblue.com en español, a Spanish version of
their Web site,http://hola.jetblue.com/enes/. JetBlue was also able to maintain cost per available
seat mile, excluding fuel, of 5.94 cents, which is among the lowest reported by all other major
U.S. airlines. For the year ended December 31, 2008, their aircraft operated an average of 12.1
hours per day, which is the highest among all major U.S. airlines. For years, JetBlue and
Southwest avoided head–to-head competition, but in 2009 the companies began battling each
other in the same airports, such as New York, Baltimore, Washington, D.C., and most recently
Boston.
“Analysis on various Factors of JetBlue Airways” |
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Organizational Profile:
➢ Name of the Company: JetBlue Airways.
➢ Founder :David Neeleman
➢ Date of Incorporation: JetBlue was incorporated in Delaware in 1998.
➢ Commenced Operations:11th February,2000.
➢ President and CEO: Robin Hayes.
➢ Telephone: In United States1-800-JETBLUE (1-800-538-2583)
All other countries:1-801-449-2525
➢ Industry: Airline.
➢ Type: Public limited company
➢ First Capital: Over $100 million.
➢ Present Asset:$13.013 billion
➢ Number of Employees:20,000 (Approximately)
➢ Number of Airbus:229
➢ Total Customers: Above 1 Million
➢ Slogan: You Above All, Inspiring Humanity.
➢ E-mail:dearjetblue@jetblue.com
➢ Logo:
➢ Website:www.jetblue.com
Product and services:
Jet blue in 2009 achieved the number-one customer service ranking among low-cost carriers,
according to J. D. Power and Associates. The company offers passengers new aircraft, roomy
leather seats with lots of leg room, 36 channels of free DirecTV, 100 channels of free XM
satellite radio, and for purchase, premium movie channel offerings from multiple major movie
studios. JetBlue’s on board offerings include free and unlimited brand-name snacks and
beverages, and for purchase, premium beverages and specially designed products for overnight
flights.
Goals
“Analysis on various Factors of JetBlue Airways” |
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Goal has been to establish itself as a leading low-fare, low-cost passenger airline by offering
customers high-quality customer service and differentiated products.
Vision
JetBlue’s vision is to be the best regional air carrier by providing low-fare, low-cost, enjoyable
and safe flight experiences to our passengers.
Mission
Jet Blue’s mission is to be the leading low-fare, low-cost passenger airline offering high quality
customer service to underserved markets and customers who are looking for the best value in
their flight. We have the newest most advanced planes that are reliable, safe, fuel efficient,
utilizing advanced technologies, and unique in multimedia entertainments. Our philosophy is to
give customers the best price value for their ticket and maintaining distinctive services. At
JetBlue we hire highly motivated employees and train them to reach a high level of competency
to provide better experiences to customers. We believe that our high-value, high quality service
philosophy will lead the way to becoming the number one in the industry.
Core Values
Inspiring humanity is not a platitude or mission that we take lightly. It’s a natural extension of
our founding principles. When our founders created our five core values – Safety, Caring,
Integrity, Passion and Fun, they understood that it would define everything we do at JetBlue. In
the 16 years since, those same values have kept us on track, and because of them our
crewmembers inspire humanity among our customers and stakeholders every day.
Safety –Safety comes first. it’s every crew member job to ensure safety for all.
Caring-Caring is how a small company gets big without losing its soul. The JetBlue
experience is about caring. It is delivered by crew members and we look after each other
so that we can care for our customers and communities.
Integrity-Integrity means doing the right thing – all the time. The only way to do business
is by communicating openly and honestly. This way, we earn trust from each other and
our customers
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Passion-Passion is the enthusiasm we have for what we do and a great customer
experience. Our passion is what keeps customers coming back, and why we do our part to
keep our destinations beautiful for future generations.
Fun-JetBlue is where people like to be. When crewmembers enjoy what they do, our
customers enjoy traveling with us.
Corporate Governance:
Corporate governance is the system by which companies are directed and controlled. It involves
regulatory and market mechanisms, and the roles and relationships between a company’s
management, its board, its shareholders and other stakeholders, and the goals for which the
corporation is governed.
Board of Directors:
Robin Hayes, 49. Mr. Hayes became JetBlue’s Chief Executive Officer, President and a member
of the Board of Directors in February 2015.
Joel Peterson
Chairman
Frank Sica
Vice Chairman
David Checketts
Director
Virginia Gambale
Director
Stephan Gemkow
Director
Ellen Jewett
Director
Gen. (Ret.) Stanley McChrystal
Director
Thomas Winkelmann
Director
External Environment
General Environment:
Airline profitability is influenced by the state of the economy, international events, industry
capacity, and offerings by other airlines in the forms of bundling and packaging (with hotels,
cruise lines, etc.). The airlines also compete through flight scheduling, availability, fares, routes
served, safety records, on-time arrival, and customer service reputation. Passengers are
increasingly interested low price as well as comfort and amenities of the air craft. Therefore,
airlines are designing more living space into new planes and retrofitting old ones. For example,
Delta Air Lines and American Airlines are rewiring their planes to provide Wi-Fi access and
enhanced in-flight entertainment options, including live TV.
