JAL Blog Post

The famous Japan Airlines, JAL, has recently been reported to be heading towards bankruptcy, and many customers who have been a frequent user of JAL are starting to use other airlines that are cheaper. After facing this trouble, JAL has set a number of considerations to save themselves.

One thing JAL plans to do is to operate more regional jets on domestic routes with higher profitability. For International passengers, JAL plans to replace the old, bigger aircrafts with higher efficiency, state-of-the-art aircrafts in order to cut fuel costs. In addition, JAL’s cargo business model will continue to improve by establishing relationships with external companies to seek possible ways in which JAL can reduce the cost. And lastly, JAL plans to look furthermore into reducing the costs of maintenance, flight operations, cabin crew, airport operations, sales, and many other backend operations.

With these measures being implemented, JAL hopes to rescue their bankruptcy and to return to being a efficient airline company that will serve many customers form all over the world.

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5 Responses to JAL Blog Post

  1. desilvajohanne says:

    Hey Kanako! Great post 🙂 I like how you gave concise paragraph about JAL’s way of getting through the bankruptcy. Just a suggestion, I think you can give more background on the issue as well as place some economic terms/graphs. Other than that, it is very informational.

  2. dalia813 says:

    Kanako, this is a really great post! You organized you paragraphs so that it was easy and clear to follow and understand the topic you were discussing. A point to realize, however, is that JAL actually became bankrupt last year, so remember to look at the date of the article you are given! Also, since you are learning about elasticity, how do you think the different types of elasticity played a role in what happened to JAL? For example, regarding income elasticity of demand, JAL thought that even though peoples’ incomes were going down, demand would be inelastic so they didnt lower the price of tickets, but they were wrong. The fall in income led to the fall in demand, and fewer people were flying with JAL.

  3. Pingback: JAL Blog Post (via Kanako’s Blog) « Dalia's Economic Blog

  4. Pingback: JAL Blog Post (via Kanako’s Blog) « Johanne's Economic IB Blog

  5. Hi there! This post couldn’t be written any better! Reading through this post reminds me of my previous room mate! He always kept talking about this. I will forward this article to him. Pretty sure he will have a good read. Thank you for sharing!
    Hi, I think your site might be having browser compatibility issues. When I look at your website in Safari, it looks fine but when opening in Internet Explorer, it has some overlapping. I just wanted to give you a quick heads up! Other then that, fantastic blog!

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