Jetblue airways growing pains case study

The "BetaBlue" system utilized the bandwidth and infrastructure of defunct Airfone. Despite this, the airline continued to add planes and routes to the fleet at a brisk pace. Maarten and Puerto Plata commencing January 10, In OctoberJetBlue introduced Minta premium cabin service on transcontinental and select Caribbean flights.

Power and Associatesa customer satisfaction recognition received for the eighth year in a row. However, JetBlue soon ran into difficulties due to a combination of various internal and external factors.

This decision is the latest in a series of moves designed to increase revenue. Besides a new tail design, the revised livery includes larger "billboard" titles extending down over the passenger windows at the front of the aircraft. In the years that followed, JetBlue invested significantly in growing its presence in the US airline industry.

Because JetBlue followed the practice of never canceling flights, it desisted from calling flights off, even when the ice storm hit and the airline was forced to keep several planes on the ground.

The teaching note includes the abstract, teaching objectives and target audience, immediate issues, teaching approach and methodology, assignment questions, analysis of the case, feedback of case discussion, references and suggested readings.

In some cases, passengers who had already boarded their planes were kept waiting on the apron for several hours and were not allowed to disembark.

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In addition a contest was held in which the grand prize would be a trip on JetBlue to Los Angeles to attend the premiere of the film. However, after all this, the airline was eventually forced to cancel most of its flights because of prevailing weather conditions.

Founding[ edit ] JetBlue was incorporated in Delaware in August Regardless, the airline continued to plan for growth. Thirty-six new aircraft were scheduled for delivery in the year Kennedy International Airport and received formal U.

The service began inusing the Airbus A aircraft ordered by JetBlue. The teaching objectives are for students to: The marketing campaign, developed in partnership with JWT New York, emphasizes competitive fares, service and complimentary onboard amenities such as free satellite television and radio, snacks, and leather seats.

The carrier said cost-cutting and stronger revenue helped it offset higher jet fuel costs. In its early years, JetBlue was one of the fastest growing and most profitable airlines in the US. Because of this, passengers were kept waiting at the airports for their flights to take off.

JetBlue also reported a loss in the first quarter of The case ends with a commentary on the challenges that JetBlue might face in the future. The notable thing about JetBlue was the success with which the airline combined low fares with several value added services for passengers.

JetBlue was one of the few major airlines to post a profit in that quarter. While this was going on two E aircraft at a time were sent to an Embraer maintenance facility in Nashville, Tennessee.

The idea was dropped, however, for several reasons: In addition to this, competition had also intensified in the US airline industry and several airlines were taking advantage of bankruptcy protection to recapture market share through price cuts.

In addition to that, JetBlue forecasted a loss forciting high fuel prices, operating inefficiency, and fleet costs. In conjunction with the addition of new routes the airline will continue significant expansion of operations at Orlando International Airport including a planned room lodge that will house trainees attending the existing "JetBlue University" training facility opened in Following the acquisition, Lufthansa stated they plan to seek operational cooperation with JetBlue.

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JetBlue Airways: Growing Pains?

While other airlines were cutting capacity and downsizing operations, JetBlue continued to forge ahead with its expansion plans.

The union organizing petition was dismissed by the National Mediation Board because fewer than 35 percent of eligible employees supported an election. These planes are outfitted with winglets, as well as with "lie flat" seats, and moveable partitions that can create small suites on the airplane.

It commenced operations on February 11,with services to Buffalo and Fort Lauderdale. CEO David Barger said the airline will take delivery of three fewer planes this year and will sell three planes from their current fleet, "slowing capacity growthThis case examines JetBlue business model and studies the factors behind the airline initial rapid growth and early success.

It raises the question of whether JetBlue growth in its early years may be considered unsustainable as argued by some analysts. To download JetBlue Airways: Growing Pains? case study (Case Code: BSTR) click.

Access to case studies expires six months after purchase date. Publication Date: October 10, Considers the situation facing David Barger, President and CEO of JetBlue Airways, in May as. Jetblue Case Study JetBlue is a low-cost domestic airline in the United States that utilizes a combination of low-cost and value-added differentiation as its market strategy.

From its launch in February to the time of the case, the airline grew to become the 11th largest player in the airline industry in a short span of 4 years. Case 20 Jetblue Airways Growing Pains “ JetBlue Airways: Managing Growth” Samuel Natkovitch I. Introduction The airline industry is one of a highly complex and unpredictable nature “ JetBlue Airways: Managing Growth” presents a case about a brand that can attest to this fact, a brand that also happens to be one of the big airline.

A Submission to the Arthur W. Page Society Case Study Competition. 2 Abstract The launch of JetBlue Airways in was never supposed to work.

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After all, of daily flights. 24 Even though an increasing number of critics forecasted growing pains for JetBlue after its meteoric rise, the love affair between the upstart airline and its. View Homework Help - JetBlue Airways Case Analysis (3) from MG at Park University.

JetBlue Airways: Growing Pains A case report prepared for MG Business Policy Spring II Paige92%(36).

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Jetblue airways growing pains case study
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