The domestic airline industry is a difficult industry to compete and operate in; it is characterized by high capital requirements, high barriers to entry, low or no growth, rising costs, high competition, and strict government regulation. In addition to rising fuel costs, which happens to be a major issue, events such as the economic recession, swine flu outbreak, and 9/11 attacks have negatively effected or still continue to negatively effect domestic airline travel. To survive and reduce losses within the industry, some airlines still in business are merging to cut costs and adding baggage fees. However, low-cost carriers such as JetBlue and Southwest have emerged as winners and continue to achieve profits in a troubled industry. JetBlue has managed to stay competitive by offering points of differentiation in its service and aligning its low-cost strategy with its operations. JetBlue offers pre-assigned leather seats, free entertainment options such DIRECTV and SiriusXM radio, low fares, a better loyalty program, single class service, more nonstop flights, and a consumer friendly website. It maintains lower costs by operating two models of aircraft, employing non-unionized employees, and serving under-served markets. With its points of difference and ability to deliver high customer satisfaction, JetBlue has been able to differentiate itself from the competition. The airline is able to provide low fares and high quality service while also offering additional options at no extra cost. The ability to offer DIRECTV and SiriusXM radio on all flights is a great marketing strategy because it was the first domestic airline to offer in-flight entertainment at no additional cost. Although it is not necessary for JetBlue to provide such a service, customers will feel satisfied knowing that they are being provided a service that the competition doesn’t provide and at no