1. Is Jet Blue appropriately positioned to create and maintain a strategic competitive advantage? Yes they are. Jet blues customer service is tremendous. They had the one valentine day massacre but they bounced right back. As a company they know where they have to be in order to succeed in the future. They know about great customer service and low price. Gas prices are rising and with the expansion of the e190, I believe this flight will help their revenue increase in the future. 2. What future strategic direction would you recommend for JetBlue?
Should they continue to support both the e190 and a320 or does one model look more promising than the other? I would recommend the path they are on now. Their customer service is excellent and have different types of airlines. Both airlines attract different customers our ability to adapt to new technologies and the soar of gas prices is one of the reasons they are one of the beasts in this airline industry. Numbers do not lie and they were profitable for 4 years in a row and I do not see them looking back. In order to keep a JetBlue a main force in the airline industry they are going to have to keep both around.
There are customers who are used to the a320 and enjoy a more spacious seating compared to the e190. They should cut down on the long distance flights with gas prices high and will raise the price on some long distance flights. I do see the e190 as the main airline in seven to ten years. Their customers want to get from one location to another the fastest way and the e190 is the airline for that. 3. In light of the Feb. 2007 crisis how did JetBlue try to repair the damage to its reputation? Was the company successful? In Feb. 2007 the crisis that happened was due to lack of communication.
They were not ready for this and took a hit in the media. They needed to bounce back hard and they did. They came out with jet blues bill of rights which was information-sharing, cancellations, departure delays, overbooking’s, and onboard ground delays for arrivals and departures. This sent a message to their customers letting them know that yes they made a mistake and they are aware of it. It took them three months but after that the cleared everything up. Overall hiring the new Ceo and taking care of the crisis was a job well done.