Intro Marketing Essay

1005 Words Feb 23rd, 2013 5 Pages
Valuejet 592-Case #1

5. A. Describe the environment, as viewed by Michael Porter’s model of competitive forces, that Valuejet was trying to compete in. consider competition, suppliers, customers, new entrants, substitute products? The five competitive forces that shape strategy are competition, suppliers, customers, new entrants, substitute products. Michael E. Porter demonstrates how the five competitive forces can be used in any industry. The results from all five forces not only look at the narrow aspect of competition rivals but as well as broader aspect of competitive interaction within an industry. These five competitive forces can also be used in the case of Valuejet. Competition within the airline industry is highly
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However, lately subcontractor has been put in the spot light because of their lack of responsibility.

b. What was ValueJet’s competitive advantage? Valuejet competitive advantage was its cost-cutting that range from the pilots salary to the mechanics. By Valuejets decreasing its operating cost, which therefore decrease its ticket prices, and helping their airplanes tickets to be sold-out. Making Valujets a popular choice for consumers for air travel and as well as to investors making ValuJet stock one of the most desired stock on the market.

B. What position in the ValuJet organization did Sabretech fill, why was this a problem? If this were your company would you have used them? ValuJet hire Sabretech, owned by Sabreliner, and licensed by the FAA to perform critical work. If I was a manager for this company I wouldn’t of hire Sabretech. By looking at Sabretech I can see that they were lacking an ethical structure. A Structure that should represent various systems, position, and programs of a company to encourage and support ethical behavior. Such as whistle-blowing an employee disclosure of illegal, unethical practices. By encouraging whistle-blowing employees would not delay in telling regulatory agencies. Perhaps in helping avoid any future tragedy like this one.

C. Can you generalize the about the Ethical/Value problem created by communication processes between the FAA, NTSB, Sabretech, and

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