Week 3
- Alejandro Beltran
- Nov 14, 2016
- 2 min read
Week 3: November 14 - November 18
During week 3, the company researched 2 similar companies to evaluate their strengths and weaknesses. Our goal was to determine methods to become more efficient than our competitors. Alfredo Alcala and Hector Naranjo analyzed BlackJet and Air Charter Services by going to their community events and other public meetings.
Air Charter Services and BlackJet are companies that deal with booking a luxury aircraft to go your desired destination without dealing with the cramped spaces of a commercial airline and to have a plane for yourself.
These companies are fairly similar to one another, as they have a variety of aircraft to choose from, and customer service is of key importance to both companies.
There are a wide range of differences, too. With BlackJet, the whole cost covers in-flight catering, ground transport, and other concierge services. Also, you can book up to a year in advance and can cancel up to 3 days before departing at no extra cost. With this service, you basically save 80% on the private jet experience by only paying for a seat. The only downside, though, is that you have to be a member to book flights, and membership isn’t cheap. It costs $2,500 to acquire membership to BlackJet. With Air Charter Services (ACS), flights are more expensive, but there is no annual membership cost. ACS also allows you to transport cargo on cargo transports.
BlackJet’s business is negatively affected by the mandatory membership in order to book flights. Even though it’s an annual fee, this makes flights more expensive than they should be. The membership has a high chance of driving people away.
ACS’s business does not require membership, but flights are more expensive than BlackJet’s. Also, you’d have to pay additional fees, depending on how long you stay at your destination while still having the airplane. You would have airport landing and parking charges, crew payment, handling fees, and, of course, gas money.
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