The question in this exercise are based on JetBlue Airways Corporation. To answer the questions, you will need to download JetBlue's form 10K/A for the year ended December 31, 2004 at http://www.sec.gov/edgar/searchedgar/companysearch.html. Input CIK code 1158463 and hit enter. Input 10K, then select the 10K/A with a filing date of March 8, 2005.
1) What is JetBlue strategy for success in the marketplace? Doe the company rely primarily on a customer intimacy, operational excellence, or product leadership customer value proposition? What evidence supports your conclusion.
2) What business risks does JetBlue face that may threaten its ability to satisfy stockholder expectations? What are some examples of control activities that the company could use to reduce these risks?
3) How can the concept of unit level activities be applied to an airline? More specifically, what are 2 examples of unit level activites for JetBlue? What steps has JetBlue take to manage these unit level activities more efficiently.
4) How can the concept of batch level activities be applied to an airline? More specifically, what are 2 examples of batch level activites for JetBlue? What steps has JetBlue take to manage these batch level activities more efficiently.
5) What is one example of a customer level activity and an organization sustaining activity for JetBlue?
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?
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