INTRODUCTIONJetBlue Airways entered the market in 2000 with a position of financial strength, leadership ability and several rare advantages, uncommon to other players in the industry: 1) David Neeleman, the founder, had several years of experience in the industry. experience resulting from the successful launch and sale of an airline (Morris Air), bringing both explicit and tacit knowledge to his new venture; 2) Neeleman had the opportunity to work directly with his idol, Herb Kelleher, at Southwest Airlines (the king of the low-cost leaders) after Southwest purchased Morris Air from Neeleman; and 3) substantial financial support from venture capitalists who had funded Neeleman's previous ventures and were more than willing to support and capitalize on his idea for a new low-cost airline. With a clear mission and vision, he implemented a low-cost airline, commercially differentiated strategy, which aims to position JetBlue as the leading low-cost passenger airline in the industry, differentiating itself through high-quality customer service, offering customers a geographically diverse flight schedule for short and long hauls, as well as reliable service. JetBlue's mission is to "return humanity to air travel." Its low-cost strategy is unrivaled, even in the South West. Using Southwest as a model and benchmark early in Neeleman's career in the industry, he was able to copy the Southwest model and expand on it through his ability to find more innovative ways to reduce costs throughout the chain of the organization's value, while using technology to increase productivity. and further increase operational efficiency. JetBlue's value chain demonstrates the ability to successfully compete in several key areas against competitive bases within the industry and creates processes focused on cost reduction, with the specific goal of continually creating value for its customers, namely pricing, customer service, routes served, flight schedules, aircraft types, safety record and reputation, in-flight entertainment systems and loyalty programs. JetBlue Value Chain – Core Businesses Inbound Logistics/Outbound Logistics: Focus on underserved markets and large metropolitan areas, using underutilized airports with less congestion adds to the ability to stay on the ground in less time . Point-to-point routing system, unlike low-cost competitors who use a hub-and-spoke system, partnering with larger airlines to provide connecting flights. Operations: Use of a fleet of one-design aircraft. The Airbus A320 has an increased capacity of 30 seats (24 after additional seat reconfigurations), is cheaper to maintain, fuel efficient and reduces training costs, compared to other aircraft models used in the industry..