1. Zainab Dabo Aliyu 3607744
Arshed Aydrose 3351166
Hatim Piplodwala-3549884

2. Introduction
 JetBlue Airways is an American low-cost airline
based in New York
 It was founded in 1998 by David Neeleman
 It uses one of the youngest fleets in the skies
 A notable incident that happened was the
February14th,2007 ice story
 As a result, they created the “Customer Bill of
Rights”
 David retired after the incident in 2007

3. Swot Analysis
 STRENGTH  Weakness
 Low operating cost  Relatively new company
 Efficient employees  Weak financial reporting
 Good customer service  It has been using a
single fleet
 Effective use of
technology

4. Swot Analysis
 Opportunities  Threats
 JetBlue financial position  Terrorism
is strong so it can think of  Rise in fuel prices
expanding nationally and  Strong competition
internationally
 Employee unions
 Add up more services for
passengers
 Increase number of flights
 Joint ventures

5. 5 Generic Strategy

6. Potters 5 Forces

7. Key Success Factors
Attracting
Customers
Managing Managing
its fleet its People
Managing
its
Finances

8. Jetblue Strategy (2008)
 Re-evaluate the ways the company was using its asset
 Reduce capacity and cut cost
 Raise fares and grow in certain market
 Offer improved services for corporation and business
travellers
 Form strategic partnership
 Increase ancillary revenues

9. Factors driving change in the airline
industry
 Fuel prices
 Aircraft and Routes
 The airports and geographical regions served
 The market share
 Consumer demands regarding air travel

10. Market Share

11. PESTEL Analysis
Jetblue

12. PESTEL Analysis
POLITICAL FACTORS ECONOMIC FACTORS
 September 11, terrorists  Improved purchasing
attack. power.
 Political stability.  Rise in Inflation.
 Competitive Airline  Rise in oil prices
industry.
 Regulatory factors.

13. PESTEL Analysis
SOCIAL FACTORS TECHNOLOGICAL
FACTORS
 Greater customer
awareness.  Beginning of e-ticketing.
 Increased entertainment  Automated systems
level. (cockpits).
 Security level of  Advertisements (newly
customers. introduced animated).
 Bad services & lost
baggage.

14. Key Issues Faced By JetBlue and
Solutions
 14th Feb Valentine’s Day weather related incident in
2007 .
 Lead to destroy reputation and step down of David
Neeleman as CEO.
 Incorporating new technologies.
 Best practices and providing comprehensive cross-
training to all employees.
 Making JetBlue’s Vision more solid and famous.

15. Key Issues Faced By JetBlue and
Solutions Cont..
 Increase in Fuel prices and customer demand for air
travel.
 it affected the industry’s profitability and each air
carrier responded differently.
 Charge for things that used to be free such as checked
and carry-on baggage, meals, seat assignments, etc
 Using one engine for taxing to take-off runways, flying
at higher altitudes where oxygen quality is lower
resulting in less fuel being burned.
 Aircraft flying without full fuel tanks and topping off
at airports with less expensive fuel.

16. Strategic Group Mapping

17. THANK YOU.
QUESTIONS??