Jet Blue Case 10 (2)

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Pace University *

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Management

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Feb 20, 2024

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Uploaded by JudgeReindeerMaster634

1.Customer-focused service, flexible pricing, cost- effectiveness, operational improvements are the main sources of JetBlue's competitive advantage. These elements have advantages such as a strong reputation for customer service, cost flexibility, operational efficiency, a devoted clientele, and innovation. Nonetheless, difficulties include a vulnerability to external factors including fuel pricing and weather delays, and a fierce rivalry from conventional and low-cost airlines. The state of the economy, variations in fuel prices, rivalry, technological breakthroughs, and alterations in regulations are significant external factors influencing JetBlue's strategic decisions. 2. The key factors influencing JetBlue's decision-making within the low-cost airline industry revolve around the challenge posed by new entrants with enhanced commercial expertise. Global forces, such as the surge in oil prices compelling airlines to adjust their fees, also significantly shape the competitive landscape. It is important for JetBlue to comprehend and stay attuned to its organizational environment to navigate the continuous changes effectively. 3. Internal Resources and Assets: Venture connection and leadership. They are able to create their own brand as a result. They have the upper hand because of their well- thought-out purchase and effective infrastructure, which provide them a competitive edge. Extra assets and resources consist of Airbus A320 fleet: Sticking with a single aircraft model lowers training and maintenance expenses. Solid brand with a strong customer service record. New methods of operation, such as the "paperless cockpit." Low complaint rates and a devoted consumer base.Flexible pricing combined with a tier structure for fares. 4. JetBlue's competitive advantage may face challenges in sustaining itself due to external factors like fuel price volatility and intense competition. The airline's strong customer service and brand reputation provide some sustainability, but it must continue to innovate and adapt to changing market conditions to maintain its competitive

edge. JetBlue's ability to manage costs efficiently and provide differentiated services will be crucial in determining the sustainability of its competitive advantage.

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