Crafting and Executing Strategy

1463 Words Nov 8th, 2011 6 Pages
Running head: ASSIGNMENT #1 CRAFTING AND EXECUTING STRATEGY

Assignment #1
Crafting and Executing Strategy
Jet Blue Airways
Strayer University
BUS599016VA016-1116-001
Strategic Management
July 11, 2011

Abstract
This paper examines the business strategy of Jet Blue Airways. The paper will also examine strategic elements that provide the organization with a competitive advantage. The company’s competitive strategy and the impact of the trends in the U.S. airline industry will also be discussed.

Assignment #1
Crafting and Executing Strategy
Jet Blue Airways David Neeleman worked in the travel and airline industry before starting JetBlue. He was well versed in customer service. He learned from his grandfather as a
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According to Thompson, Strickland, and Gamble, a company exhibits strategic intent when it relentlessly pursues an ambitious strategic objective, concentrating the full force of its resources and competitive actions on achieving that objective (p. 36). JetBlue was founded to “bring humanity back to air travel.” David Neeleman started JetBlue to provide low fares and comfort. JetBlue won several awards for being the best domestic airline. JetBlue determined five important values, and safety was their number one priority. The four other values were of equal importance are caring, integrity, fun, and passion.
Discuss Jet Blue’s financial objectives and whether or not the company has been successful in achieving this objective. The financial objective of JetBlue and any corporation is to become more profitable. JetBlue has been successful in achieving their financial objectives by offering low fares by keeping operating costs low and quality high. JetBlue was not able to deliver value to its stockholders. None of the major airlines were able to deliver value to stockholders (C-64). JetBlue maintained a conservative financial strategy and maintained strong liquidity. JetBlue had one of the highest liquidity coverage ratios of the major airlines (C-67).
Discuss Jet Blue’s strategic elements of cost, organizational culture, and human resource practices and evaluate whether each element provides the organization with a