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Southwest Airlines Case Study

Situation Analysis
Since day one, Southwest Airlines has been able to maintain a winning strategy. Starting with just three aircrafts in the state of Texas, Southwest implemented a low cost, low fare, no frills strategy that proved successful. As they have grown, more plans have been put into practice, such as a widely popular frequent flyer program and their now legendary customer service. These strategies have proved successful, as Southwest is the only airline to have maintained a profit in the recent past.
Because of their low costs, Southwest is able to charge low fares, fares other airlines simply can not compete with. They are able to charge up to 70% less than other airlines, as they compare their prices with the cost of driving a care the same route as their flight. There are a few reasons why Southwest has been able to hold costs down including; using a single aircraft type, point to point routes and the selection of older less congested airports.

Major Opportunity......


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Approximate Word Count: 427
Approximate Pages: 2 (250 words per double-spaced page)

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