Strategic Issues Facing JetBlue - 1225 Words

There are two major strategic issues facing JetBlue. The first is that the company is growing very rapidly. This brings with it a number of critical challenges, such as recruitment and selection, maintaining the corporate culture, and maintaining high service levels. Secondary goals associated with this are maintaining safety standards, finding profitable routes to occupy and avoiding a unionization drive. Growing a company this rapidly is possible given the strong initial financing that the company has, but challenging in that the faster the airline grows, the more difficult it will be to find the right people and the right routes. The company can grow rapidly while plucking the low-hanging fruit but these tasks become more difficult over time. The second major strategic issue facing JetBlue is that it needs to attract customers. Initial customer response has been strong, a function of low fares, strong customer service and new airplanes. The companys first year growth objectives ha ve it trying to go from none-existence to filling fifty-three flights per day. This will require an extensive marketing effort for each new market in which it operates, especially as the company is not affiliated with any airline groupings that might drive business from other carriers. The companys internal strategies stand in response to the conditions of the external environment. The airline industry in the United States is a difficult one in which to operate. Fixed costs associated withShow MoreRelatedJetblue Case Study Essay1736 Words   |  7 PagesINTRODUCTION JetBlue Airways is a low-cost passenger airline that provides customer service primarily on point-to-point routes. JetBlue offers its customers a quality product with young, fuel-efficient aircraft, leather seats, free in-flight-- (24-Channel live television via satellite Direct TV, Thompson et al. p C-53)--entertainment at every seat, pre-assigned seating and reliable performance. 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