Jetblue's Product and Service

JetBlue's Product and Service

There are many external factors JetBlue airlines have to face. Despite the various challenges in the airline industry, JetBlue somehow learned a strategic method of making the company competitive against all other rivalries. Some of the methods include reevaluating the ways the company was using its assets; reducing capacity and cut costs; raising fares and grow in select markets; offer improved services for corporations and business travelers; forming strategic partnerships; and increasing ancillary revenues. With these strategies, Chief Operating Officer Russell Chew and his new management team are confident in the future success of the company.

There are two major external factors that JetBlue uses to organize for the development of the airline. These factors would go beyond JetBlue's control of others held accountable in some way, but that has an effect on the success or failure of the activity. JetBlue considers the following airline companies as key assets; this includes JFK terminal and Live TV subsidiary. There were other airlines such as Lufthansa who hold stock in companies like JetBlue. The company uses JFK as a quasi-hub. This would be the central station of where the airlines would come together. "Passengers who are considered frequent fliers and are more familiar with the term are normally the frequent fliers who travel through airport "hubs" to make connecting flights from one point to another. In the airline industry, a hub is a place for connecting flights; this means it is a place where data arrives from one or more directions and is forwarded out in one or more other directions (Hub)." Live TV subsidiary is another external factor which was purchased in 2002 by JetBlue. In addition, JetBlue recruited Merrill Lynch to explore the options for the subsidiary in June 2008. Live TV isn't necessary an asset building success for the company. However, JetBlue found it much wiser to hire an outside financial source to give JetBlue the opportunity to properly success whether Live TV would increase or decrease in company funds while still implementing the program.

The industry is even more competitive than years past. Although the company is known for its' value when purchasing airfare, JetBlue is also known for giving quality customer service, which may have saved the life of the company through its perseverance to make a major come back.

Top Regional Airlines Companies by Market Cap

Company Symbol Price Change Market Cap P/E

Southwest Airlines Co.

LUV

12.20 2.09% 9.12B 20.00

LAN Airlines S.A.

LFL

26.20 0.49% 8.88B 21.21

GOL