External and Internal Environmental Analysis Essay

External and knowledgeable purlieual analysis is a critical component for an brass seeking to achieve its goals. The follow instruction indoors this paper presents a complete external environmental and an internal competitive environmental s butt for JetBlue Airways. The information provided identifies and analyses the most authorised external environmental portion in the remote, labor, and external in operation(p) environments. When addressing external environment it speaks to a set of forces and conditions outside the organization that underside influence its performance. The most common forces hold political, economic, social, technological, environmental, and wakeless (or PESTEL).The paper exiting further identify and analyze the let on internal intensitys and weaknesses of JetBlue Airways. When addressing the internal environment it speaks to the severalise factors and forces inwardly the organization affecting its operation. The internal strength and weakness es will cover an assessment of the JetBlue Airways resources, their competitive position and possibilities within. Lastly the following will analyze the body structure of JetBlue and how this affects organizational performance.External environmental FactorsFor JetBlue external environmental factors cover political, economic, social, technological, environmental, and legal. The most important external environmental factors in the remote, industry, and external operating environment of JetBlue can be expanded by means of opportunities and threats. Opportunities encompass working out, such(prenominal) as increasing routes and destinations within the U.S. Global expansion falls within expansion as well, while JetBlue has many successful partnerships with multinational airlines there is further potential abroad. Threats include render courts, progress technology, and government relations. Fuel costs and advanced technology are almost synonymous.The increasing worth of displace in turnincreases operational costs. good technology is a chance on factor in this space as well given(p) spick-and-span planes for example, have the technology to utilize less fuel in flight. Governmental regulations and legalities are another key threat for JetBlue. Airline regulations can increase expenses and potentially create inefficiency in operations in set up to meet regulation requirements. Additionally, restrictions related to international trade, appraise policy, and competition can thwart expansion efforts. sexual Strengths and WeaknessesJetBlue is a pro at utilizing its resources and structure. As such, JetBlue has turn out to be high-octane in its internal environment. aside of the physical and valet aspects of the internal environment JetBlue focusinges on tender-hearted as the key factor. JetBlue views its employees and their skills as the key to a successful structure by evince elements of loyalty, satisfaction, service gauge, harvest-timeivity, capabil ity, and output quality. JetBlue reflects a culture of employees that learn how to retain customers and can perform under miscellaneous situations with an equally varied consumer base. In addition to human capital, JetBlue uses physical assets to set them apart from the rest.The airline conk of JetBlue is very precisely selected. From its raw(a) Airbus A321 to its Airbus 320, JetBlue prides itself on sympathiser and luxury. Other perks offered by JetBlue include lower priced airfare compared to that of its competitors and in-flight enjoyment options that succeed its competition. Internal weaknesses include a smaller base of destinations compared to its competitors, which could be viewed as a product of their smaller planes and perhaps weaker taint recognition given its newness in the airline market. The weakness can be strengthened with expanding their location/market base.Competitive stakeMajor players in the U.S. airline industry include Delta Air Lines, United Continenta l, American Airlines, Southwest Airlines, and JetBlue Airways. In 2013 many consolidations decreased the number of top players, such as U.S. Airways with American West, Northwest with Delta, United with Continental, AirTrans with Southwest, and American with U.S. Airways. Those carries, including JetBlue and Alaska, account for more than 90% of the U.S. market cope (Cederholm, 2013). With the number of competitors in times of low ormoderate industry growth, the competition increases as all(prenominal) one tries to woo the consumer base. JetBlue is still the new shaver so it is hard to say if its resources are inimitable. JetBlues low cost operations are unified to other activities in the organization like human resource management and technology development. If JetBlue were to reinforce competencies, with its efficient low-cost operations, it can find a sustainable competitive advantage making it a non-imitable organization.JetBlues competitive advantage is built off of eminen ce and cost leadership. Differentiation comes with a watertight check off image. JetBlue provides this image through its customer service and heterogeneous in-flight features such as increased legroom and entertainment options per seat. JetBlue achieves cost leadership through efficient operations. JetBlues new planes minimize fuel costs and increases revenue per flight. non offering in flight meals allows for quick turnarounds and overall reduced costs. The differentiation strategy and its features do guess ease of imitation or differentiate ones brand past the point of consumer support.If JetBlue continues to employ a combining of these strategies it will have an increased approach in outperforming its rivals. Superior performance will come through combined low-cost services with a identify offering as JetBlue does. As JetBlue moves onward, the extent to which it can maintain the integration of low-cost and differentiation will determine whether its competitive advantage i s sustainable.StructureThe structure of JetBlue is likely very simple compared to its counterparts. The highest of quality in customer service, one style of plane, a focus on environment, all this reflects its culture. With the human aspect be their highest priority they put a lot of supposition into how they hire, train, set expectations, and monitor their employee base. JetBlue trains employees, provides compensation (likely more cock-a-hoop than the competitors), and equally provides empowerment among its employee base. JetBlue Airways seeks to hire and train salient people (human focus), develop purpose, vision, and values. JetBlue operates on a strong organizational culture, where one listens to its customers and employees, cultivates leadership, and provided incentive.SummaryThe airline industry is exposed to upturns and downturns with sparing trends. With that a growing economy creates a greater demand for air travel, whereas a decrease in the economy means reduced deman d and intensified competition. JetBlue has managed to maintain a quality brand as a newer airline, in the spirit of some significant challenges, such as the calamity of 9/11. JetBlue Airways new planes, competitively low fares, non-unionized labor, therefrom far an effective business model, and strong focus on the human element, it remains to provide a foothold in them market as a solid competitor regardless of its external threats and internal weaknesses.ReferencesCederholm, T. (2013, September 3). Overview External factors that influence the airline industry. Retrieved may 31, 2015, from http//marketrealist.com/2014/09/must-know-external-factors-influencing-airline-industry/ JetBlue Airline Tickets, Flights, and Airfare. (n.d.). Retrieved May 25, 2015, from http//www.jetblue.com