Planes are now more efficient, larger and air travel is now cheaper which increases the number of customers. There are now two types of flights; full service carriers which the food and drink is included, and the low cost carriers which are the budget airlines and you can pay for just your seat and have to pay for luggage and food which is not included. The increase in budget airlines has made it more accessible for people to be able to fly. The internet has also increases the growth of air travel as you can now book a flight from your home/mobile, which increases the chance of having an impulses holiday. Containers are can be easily transferred from one transport to a different form.
West Jet Strategy 1. WestJet competes in the air travel market segment with a focus of providing low cost flights to the common traveler, such as friends and relatives. An order qualifier would be the timeliness of the flights. WestJet has achieved the best on-time arrival performance in its market segment which it is able to pass on to customer. As delays will often frustrate travellers, this can make WestJet that traveller’s top choice.
The advertisement can easily be identified as one for Southwest Airlines because the company’s logo located in the bottom right. The add appeals to the ethos of many people who view it because they can easily and simply identify the airline’s logo. The airline is one of the most widely recognized airlines in the United States. The company has a solid reputation of affordable, no-frills service, and a high degree of customer satisfaction. It is consistently ranked as one of the top Fortune 500 brands.
These methods have increased because it helps the business to reduce their expenses and watch their budget more carefully. This links in again with following trends of technological advances. Business travellers will look for budget airline alternatives, and may fly economy instead of business. Because of this, there are more flight and accomondation providers in competition to give their customers the lowest price possible so as they get value for their money. Businesses such as EasyJet and Ryanair have benefit from this.
The better engineering of the mustang and its design to be lighter helps the car go at much faster speeds. Also the motor happens to be more efficient and it has a better combination of parts as well. Not to mention I personally have experienced the efficiency and speed the mustang has against the Camaro. In the overall prices, the 2013 mustang costs $22, 200 and the 2013 Camaro costs $23, 345 which is a $1,145 dollar difference. The mustang is also more appealing to my eyes and many who own them.
The internet is much quicker than any other form of communication and is also very cheap. For example e-mails are completely free to use and are delivered to the recipient (however far away) in a matter of seconds. Also the developments in software like Skype have allowed people to have face to face conversations when they are miles away from each other. This could be very important for TNC’s trying to tell their bosses in HQ about the factory and its productivity. They could just show them around using Skype.
There are several options available for customers to choose in this industry because the standard product and service are in this industry, so customers are more care about the price. And also the Internet makes customers research cheaper flight much easier than before and switching cost is low. The threat from substitute is high. Numerous options for customers can instead airlines, such as trains, buses, boats, and personal vehicles. Customers usually desire a cheaper way to travel if there are many options for them.
Travellers often use criteria such as non-stop service, time of day and flight frequency when selecting an airline. We continuously strive to design a network that meets the needs of our guests and provides affordable air travel that stimulates demand. We continue to add non-stop routes to our network to increase the travel convenience for our guests. For markets without non-stop service and to supplement non-stop routes, we provide through flights or connection services for our guests. To maximize aircraft utilization, we look for opportunities to operate our fleet in off-peak times when the aircraft would otherwise be idle, to serve markets that may not be as time sensitive or may be better served by evening flights.
II. ANALYSIS 1. INTERNAL ANALYSIS (a) VRINE Model Resource 1: Embraer’s E190 Valuable- E190 increased growth opportunities for JetBlue as the company could get access to a larger potential market via E190. It was more comfortable than typical regional jet. Cost per available seat of E190 was 34% less than a typical regional jet.
Going public when the airline industry are still suffering from 9.11 attack is adventurous, especially it is even harder when the competition of the airline industry is severe, given the fact that 87 new-airline failure over the past 20 years. However, JetBlue has good management team with strong capability, and it has considerable competitive advantage compared to comparable companies, hence there are more opportunities and strengths than threats and weaknesses. JetBlue’s executive management team have rich experience in the airline industry. CEO David Neeleman has extensive experience with airline start-ups and worked in various low-fare flights. COO David Barger and CFO John Owen had worked in airline companies before joining JetBlue.