To help me answer these questions yo must download jet blues 10k-a. December 31,2004 at sec.gov. Input CIK code 1158463 and hit enter. input 10k-a and press enter.Input filing date march 8 ,2005.
What is Jet blues strategy for Success in the marketplace? does the company rely primarily on customer intimacy, operational excellence, or product leadership customer value proposition ? what evidence supports your conclusion.
what bussiness risks does Jet Blueface that may threaten the companys ability to satisfy stockholder expectations? what are some examples of control activities might useto reduce these risks? (focus on pages 17-23)
How can the concept of unit level be applied to an airline? more specifically what are 2 examples of unit level activies for Jet Blue? what steps has jet blue taken to manage these unit level activities more effiecently?
How can the concept of batch level activities be applied to an airline? What are 2 examples for batch activitiesfor jetblue? What steps has jetblue taken to manage thes batch level activities more efficiently.
What is one example of a customer level activity and an organization sustaining activity for jetblue?
Give an example of a transaction driver and a duration driver that could be used to assignfuel costs to a particularflight departure. which of the 2 activities measures would be more accurate and why? hide pr
Question 1 Based on the company's 10-K/A filing with the SEC, JetBlue's strategy for success is product leadership with customer value proposition. As a matter of fact, this is JetBlue's core strategy, "provides high-quality customer service at low fares primarily on point-to-point routes" (JetBlue, 2005). This is also proven by the company's focus on offering alternative choices to customers by serving "underserved and large metropolitan areas that have had high average fares" (JetBlue, 2005). As a result of these strategies, the company has one of the highest load factors (percentage of aircraft seating capacity actually utilized in a given period) in the United States.
Question 2 One of the most critical business risks that JetBlue faces that may threaten its ability to satisfy stockholder expectations if higher jet fuel prices which contributes to a majority of its operating expenses. The company can control or mitigate the impact of this risk by hedging or entering into contracts locking in on a specific future price for jet fuel. Another risk is foreign exchange risk. A portion of the company's revenues are denominated in currencies other than the US dollar. This risk can be minimized by entering into foreign currency hedging contracts.
Question 3 Certainly, the concept unit level activities can be applied to an airline. Examples of unit level activities are operating the airplane on the air which affects the cost of jet fuel and providing ancillary services to passengers which affect the crew's salary. JetBlue, to manage its jet fuel costs, has embarked on fare promos such as cheaper fares for passengers with no check in baggage - heavier load means higher jet fuel costs. On the other hand, it manages its labor cost by shortening the turnaround times of its airplanes.
Question 4 The concept of batch level activities can easily be applied to an airline such as JetBlue. Two examples of batch level activities are the maintenance of the company's fleet and training flight crew. JetBlue to manage its fleet maintenance and training activities just upgraded its fleet such that it does not have to maintain different types of aircraft which makes maintenance and crew training complicated. With a uniform type of aircraft, JetBlue's crew needs only to be trained to fly a single aircraft.
Question 5 An example of a customer level activity for JetBlue is the maintenance of the company's customer loyalty program - TrueBlue Flight Gratitude while an example of an organization sustaining activity for the airlines is its activities to comply with Federal Aviation Administration's and other relevant government agencies' rules and regulations.
Question 6 Given jet fuel costs, we can use the number of departures as the transaction driver for JetBlue while we can use the number of miles flown for an aircraft as the duration driver. I believe that the number of miles flows or the duration driver is the more accurate activity measure between the two drivers. This is so because the number of miles flown actually distinguishes that the number of miles flown by an aircraft directly affects its fuel consumption. Moreover, the relationship of the number of miles flown and fuel consumption is much more direct than that of the number of departure and fuel costs.
To answer these questions, you need to follow the instructions provided to download the relevant document from sec.gov. Here is a step-by-step guide to accessing the information:
1. Go to sec.gov.
2. Look for the "Search EDGAR" option and click on it.
3. On the EDGAR search page, locate the "Company or Fund Name, CIK, or Ticker Symbol" field.
4. Enter the CIK code for JetBlue, which is 1158463, in the search field.
5. Click on the "Find Companies" button.
6. You will see a list of search results. Locate the entry for JetBlue Airways Corp. (Ticker: JBLU) and click on it.
7. On the company's page, find the "Filings" section and click on "10-K".
8. Look for the 10-K filing for December 31, 2004. It might be named "10-K/A" for the amended version.
9. Click on the filing to access the document.
Once you have accessed the document, search for the relevant information using the page numbers provided in each question.
Now, let's go through each question:
1. What is JetBlue's strategy for success in the marketplace? Does the company rely primarily on customer intimacy, operational excellence, or product leadership customer value proposition? What evidence supports your conclusion?
To find the answer, you can search for information related to JetBlue's strategy in the document. Look for sections such as "Strategy" or "Business Overview." Analyze the content to identify whether the company focuses on customer intimacy, operational excellence, or product leadership. Look for evidence such as statements from company executives, descriptions of marketing strategies, or any other relevant information that supports your conclusion.
2. What business risks does JetBlue face that may threaten the company's ability to satisfy stockholder expectations? What are some examples of control activities that might be used to reduce these risks? (Focus on pages 17-23)
Navigate to the specified pages (pages 17-23) in the document and search for sections related to business risks. Identify the risks that JetBlue faces that may impact stockholder expectations. Look for information on how the company manages these risks and control activities it implements. Examples of control activities might include internal auditing, risk management processes, corporate governance practices, or any other relevant measures mentioned in the report.
3. How can the concept of unit level be applied to an airline? More specifically, what are two examples of unit level activities for JetBlue? What steps has JetBlue taken to manage these unit level activities more efficiently?
The concept of unit level refers to activities that are directly related to producing or delivering a single unit of a product or service. In the context of an airline, unit level activities may include activities such as aircraft maintenance, flight operations, or passenger service. Search the document for information on how JetBlue applies the concept of unit level activities. Look for specific examples and the steps the company has taken to manage these activities more efficiently.
4. How can the concept of batch level activities be applied to an airline? What are two examples of batch activities for JetBlue? What steps has JetBlue taken to manage these batch level activities more efficiently?
The concept of batch level activities refers to activities that are performed once for a group or batch of units. In the context of an airline, batch level activities may include tasks such as baggage handling, aircraft refueling, or flight scheduling. Search the document for information on how JetBlue applies the concept of batch level activities. Look for specific examples and steps taken by the company to manage these activities more efficiently.
5. What is one example of a customer level activity and an organization-sustaining activity for JetBlue?
Customer level activities refer to activities that are performed to satisfy the needs and preferences of individual customers, e.g., providing customized services or resolving customer complaints. Organization-sustaining activities refer to activities that support the overall functioning of the organization, such as financial management or employee training. Look for specific examples of customer level activities and organization-sustaining activities mentioned in the report.
6. Give an example of a transaction driver and a duration driver that could be used to assign fuel costs to a particular flight departure. Which of the two activity measures would be more accurate and why?
A transaction driver is a variable that measures the number of times an activity occurs. For fuel costs, a transaction driver could be the number of gallons of fuel used during a flight. A duration driver is a variable that measures the time spent on an activity. For fuel costs, a duration driver could be the duration of a flight. Consider the advantages and disadvantages of each driver in accurately assigning fuel costs. Evaluate which activity measure (transaction driver or duration driver) would provide a more accurate basis for cost assignment and explain the reasoning behind your choice.
By following these steps and analyzing the information in the downloaded document, you will be able to answer the questions.