Southwest Airlines
Since its inception, Southwest Airlines has grown significantly to become one of the most reputed, low-cost, and longest-standing airline that offers the largest number of domestic flights within the United States. For more than four decades now, the company has been able to sustain its appeal to consumers and its low cost originator image, even though that discernment and view has now become more of an old tale than the present reality. The airline company has done well to increase and improve its market base all over the United States; however, it lacks presence in the international market.
SWOT Analysis is a valuable and convenient tool employed for understanding a firm's strengths and weaknesses, identifies the opportunities available for the organization and the threats it faces. In the business realm, an organization can utilize this technique in order to attain a sustainable share in the market. The company can employ this technique to determine whether an issue is an internal or internal factor and how it hampers of benefits the company, not only in the present state but also in the prospective future (Warner, 2010). What is more, by analyzing the internal and external environment together with that of the competitors using the SWOT analysis, a company is able to come up with a strategy that enables it to make a distinction between itself and its rivals in order to compete successfully in the market (Mind Tools, 2016). The internal factors can be controlled whereas the firm cannot control the external factors. This paper will analyze the SWOT framework of Southwest Airlines and offer recommendations.
Strengths
One of the key strengths of Southwest Airlines is that it is renowned as one of the key low cost airline leaders in the industry and also an inventor investing in a low-cost carrier. The airline offers low price tickets as compared to other airlines. Southwest Airlines is the biggest low cost domestic airline and has the second biggest market share in terms of revenue passenger miles. Boasting a record of gainful and cost-effective operations for a period of 42 years substantiates the success of the firm's business strategy (Schmidt, 2015). Another strength of the company lies in its business model. Southwest Airlines utilizes a point-to-point business model in comparison to the hub and spoke model employed by major airlines such as American Airlines and United Continental. The enables the company to attract greater traffic on majority of its domestic routes as it can offer lower average flight time (Schmidt, 2015).
Southwest Airline's various cost reductions are beneficial...
Southwest Airlines: The corporate culture of the LUV airline Southwest Airlines is known for a unique corporate culture that is particularly distinctive, in contrast to its competitors. Southwest Airlines has "a raucous corporate culture that is the exception in the grim airline industry" (Bailey 2008). From the Airline's inception, its founder and chairman, Herbert D. Kelleher ensured that there was "a startling amount of office hugging and kissing in lieu of
Southwest Airlines: We Love Bags Determine how Southwest Airlines' corporate culture differs from other airlines. Southwest Airlines was founded on the premise that an airline needs to put its customers and their needs at the center of all operations, and further create a customer experience that is highly differentiated, memorable and sought-after by passengers. Southwest has surpassed even its own initial expectations in these areas. The culture of Southwest galvanizes the employees,
Southwest Airlines Effectiveness of Southwest Leadership Southwest management has defined a clear and simple business purpose. The management has also chosen the right business model that supports the business purpose. The management consistently demonstrates the core values and behaviors derived from the key business purpose (Emerald, 2005). The quality of the airline customer service is synonymous with warmth, friendliness, individual pride, and company spirit. This has kept the staff morale high. The
Southwest Airlines Air travel is still the preferred means of transport in the United States of America largely because it is faster. However, it has in the recent times experienced decreased growth from the peak in before the 1990s. The period between 1980 and 1990, there was a sharp increase in the number of people travelling by air. Today, major carriers have cut costs in the face of intense rivalry and
Southwest Airlines is one of the most successful low-cost airlines in the world. The company's focus on constant innovation, excellent labor relations, and sound financial management have ensured its success at a time when many companies have suffered from the economic downturn. In this way Southwest Airlines has created an example of business success for many. The company's success is also due to the consistency among its organization practices, which
Southwest Airlines originally began operation in 1967, but as Air Southwest Co. In 1971 its name was changed to Southwest Air Co. The purpose behind its foundation was to provide passengers with a cheap means of air travel within Texas. Today they have a fleet of 550 Boeing 737s and 37000 employees. Although it's a relatively small, domestic airline, taking passengers to 73 American cities, but it provides remarkable customer
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