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M. managment & planning JET STAR COMPANY in AUSTRALIA Essay Example

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M. managment & planning JET STAR COMPANY in AUSTRALIA

In 2007 and 2008, it was awarded the Low-cost Carrier of the Year (CAPA), among many others. It is credited for being the first Australian airline to allow its passengers an opportunity to select their seats when booking for a flight (Jestar.With specific reference to pricing, Jetstar offers exceptionally low prices for fights. The airline operates over fifty airbuses of various sizes, majority being Airbus A320. Currently for instance, the charges from Sydney to Brisbane is $ 79, Sydney to Cairns is $139, Sydney to Hobart is $ 99 whereas from Sydney to Adelaide is $ 100.Despite this amazingly low prices, Jetstar still affords incredible margins. For instance, as per the six month ended 31st, 2011, Jetstar Airways recorded an unaudited earnings of $1,565 Million in terms of total revenue and other incomes. This was an increased from the previous $1,346 million reported in the previous year (Jetstar.With regards to competition, Jetstar Airline veneers s stiff competition from two major airlines in Australia. The most eminent competitor is Virgin Blue Airways which commands about 31 percent of the domestic flights in Australia. It operates 2,100 flights in a week with 68 modern aircrafts. Virgin Blues Airline provides very competitive prices. For instance, whereas Jetstar charges about $100, for a flight form Sydney to Adelaide, Virgin Blue charged $120 for the same flight. As a fact, Jetstar was established as a response to the threat posed by Virgin Blue. The other major competitor is Tiger Airways. Based in Singapore, Tiger Airways was launched in 2007 to provide low cost airlines as well. It tends to charge lower prices compared to Jetstar. For instance, the price of a flight form Sydney to Adelaide is $49, to Melbourne is $29 whereas to Gold Coast is $39.To commence with, it is apparent that Jetstar has a profusion of strengths. In this regards, Jetstar shares an incredible corporate culture with its parent airline, Qantas which has given it a leeway in the market. Also, Jetstar provides reserved seating option where customers are allowed to choose their seats upon booking.With regards to weaknesses, Jetstar has received a myriad of criticism for discriminating against the disabled persons (Bruce, 2011). Also, the working conditions provided by Jetstar to its employee in wanting. The mode of hiring its employees is also questionable.With regards to opportunities,

References

Porter, M. E. (1998). Competitive advantage: Creating and sustaining superior performance.

(1 ed., pp. 64-65). New York: Free Press.

Burrow, L. J., Everard, K. E., & Kleindl, B. (2007). Business principles and management. (12

ed., pp. 516-523). Boston: South-Western Educational Pub.

Bruce, P. (2011). Understanding decision-making processes in airline operations control.

(pp. 118-121). Farnham: Ashgate Publishing.

Jetstar.com. (n.d.). Our company. Retrieved from

http://www.jetstar.com/au/en/about-us/our-company

Jestar.com. (n.d.). Customer guarantee. Retrieved from

http://www.jetstar.com/au/en/what-we-offer/our-guarantees/customer-guarantee

Ferrel, O. C., & Hartline, M. (2010). Marketing strategy . (5 ed., pp. 247-261). Boston: South-

Western College Publishing

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preview essay on M. managment & planning JET STAR COMPANY in AUSTRALIA
  • Pages: 4 (1000 words)
  • Document Type: Essay
  • Subject: Marketing
  • Level: Masters
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