Airline Case Study. What was David Neelemans original strategic vision for JetBlue? Should JetBlues strategic vision be revised now that the company has new executive leadership?

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1. What was David Neeleman’s original strategic vision for JetBlue? Should JetBlue’s strategic vision be revised now that the company has new executive leadership?

David Neeleman’s original strategic

For Customer

Attract more passengers during the economic crisis is a big goal. Start a company that would combine the low fares of a discount airlines carrier with the comforts of a small cozy den in people’s homes. It means become more comfortable when passenger in JetBlue airplane

Almost JetBlue’s ticket price is lower than the other airline. Passengers can use Electronic ticketing, it is big part of JetBlue profit, when passengers have no time to book ticket, and electronic ticketing is convenient and efficient 

Good environment and customer service ---- provide Personal TV and use leather seats all the plane, offered passenger operated point-to-point system.

For operating

find the way to reduce operation cost, Use 2 type of aircraft can reduce repair cost, maintained quick turnaround times at airports, JetBlue served only snacks so they did not have to wait for replenish time. Flight attendants stowed snacks carry-on bags and coats in the overhead bins. Everyone—pilots, flight attendants, and passengers——helped throw away the trash after each flight. All the employees are the best crew members in the JetBlue.

New strategies are based and revised on original strategies. New CEO David Barger began to follow several new strategies (1) reevaluate the ways the company was using its assets, (2) reduce capacity and cut costs, (3) raise fares and grow in select markets, (4) offer improved services for corporations and business travelers, (5) form strategic partnerships, and (6) increase ancillary revenues.

Some new strategies are good for developing like reduce capacity and cut costs from sells used Airbus A320s, reducing its aircraft utilization rate from 13 hours per day to 12.S hours per day.

Increase ancillary should not revise now. It may lead to loss customers. For example, charged passengers additional fees to reserve seats with extra legroom. Increase ancillary revenues depend on passengers demand.

By: Ruby

2Are JetBlue’s functional area strategies consistent with its overall strategic approach? What policies, practices, and procedures have been developed to execute its business strategy and functional area strategies with proficiency?

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JetBlue’s functional area strategies are consistent with its overall strategic approach. JetBlue’s vision focuses on customer service and low cost. These functional area strategies are developed at different areas such as human resources, operation management and financial.

In the area of human resources JetBlue has developed many innovative practices with focus in to develop, maintain and provide human capital to be prepared for the future. JetBlue has established the Aviation University Gateway, a continue training for staff, a leadership development training, health coverage, retirement plans. In addition, JetBlue recognizes that it has lower base salaries than its competitors, ...

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