Southwest Airlines

Southwest Airlines Pricing strategy
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Various pricing strategies can be deployed by organizations. These include the penetration pricing strategy, the skimming strategy, economy / low cost pricing strategy, and the premium pricing strategy (Keegan and Green, 2002, p. 364). Of these pricing strategies, Southwest Airlines offers lower than average prices, suggestive of an economy pricing strategy. By definition, the economy / low cost pricing strategy involves offering a price that is kept as low as possible, which is accompanied by the bare minimum of services…...
Value Chain Analysis Southwest Airlines
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The company is based in Dallas, Texas and has a staff capacity of over 46,000 persons. The carrier was formed has a low cost domestic carrier originally only flying in the state of Texas before branching out to other US states. From inception flights on short haul routes (Ross & Beat, 2007). Today Southwest Airlines flies domestic in the United States to 79 cities. Southwest Airlines is the largest airline in the world by passengers carried, in 2012 over 100…...
Southwest Airlines: Major Airline
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Southwest Airlines was created in March 1967. The idea that resulted in Southwest's achievement was to get travelers to their destinations on time, at the minimum conceivable Prices, and while also upholding customer loyalty. Southwest Airlines is the major airline, in terms of the number of travelers each year, in the United States. Southwest employs ticketless methods and a recurrent flier program that contrasts with other airlines. Southwest has low operational expenses, high effectiveness, and award-winning help desk. Chairman Kelleher…...
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The Success of the Southwest Airlines Marketing Strategy
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Southwest Airlines is the fourth largest major airline in the United States, flying more than 64 million passengers every year to 58 cities from the southwest and beyond. The company offers low fares to passengers, thereby achieving a huge market share in the airline industry. Although Southwest Airlines could be compared to Walmart in terms of its pricing strategy, the airline has not reached Walmart’s success yet, perhaps because it does not fly everywhere in the world. All the same,…...
Southwest Airlines Analysis
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Southwest Airlines (SA) was founded in 1971 after a careful market analysis. Its founders believed in a low cost strategy. Through the Wright Amendment, which not only prohibited any air carrier from offering direct service into Love Field from any place beyond Texas and the four contiguous states of Oklahoma, Louisiana, Arkansas, and New Mexico, but also made more difficult the life of passengers coming from outside theses states and forbid the advertising to flights coming from Love Field, the…...
Southwest Airlines Case Analysis
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Abstract This case analysis looks at Southwest Airlines and how the company is in a vital financial position. The analysis was done using news articles, the company’s website and finance websites. The research was used to focus on how they have a strong employee to company relationship and customer to company relationships that they do not want to jeopardize and ruin but they need to bring forth $100 million without laying off employees and losing customers due to raising fare…...
The Mission Of Southwest Airlines
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The mission of southwest Airlines is dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride and Company Spirit (Ruppel, 2012). The people of Southwest are the single greatest strength and most enduring long term competitive advantage (Kelly, 2012). Southwest Airlines started out as Air Southwest Co in 1967; serving only three local airport hubs in Texas. The hubs were San Antonio (SAT), Dallas (DAL) and Houston International Airport (IAH). Currently IAH has…...
Organizational behavior in Southwest Airlines
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Organizational habits is a tool that any organisation that desires to achieve success need to utilize in order to attain its goals and objectives. Organizational habits analyzes all the relationships in an organization and controls them in order to obtain the organizational goals. The relationships that are evaluated consist of the relationships in between the organization and an individual, people, groups and the society in general. The significant objective of organizational habits is to enhance all these relationships so that…...
Southwest Airline – Distribution Strategy
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Operating under an intensely competitive environment, Southwest Airlines carefully projects its image so customers can differentiate its product from its competitors. Southwest positions itself in all its marketing communications as the only low-fare, short-haul, high-frequency, point-to-point carrier in America that is fun to fly (Cheng, 2010). Its low-priced fares are a brand equity which it "owns" in the mathematical sense of being the only major airline with a strong score on this attribute based on consumer research. Southwest’s brand exudes…...
Ethics of Compliance Southwest
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The purpose of this paper is to present, discuss, and examine the topic of ethical and social responsibility. It will discuss Southwest Airlines' failure to comply with the Federal Aviation Administration's rules on inspecting aircraft and what violations occurred. On March 6, 2008, Federal Aviation Administration (FAA) inspectors submitted documents to the United States Congress, alleging that Southwest allowed 117 of its aircraft to fly carrying passengers despite the fact that the planes were "not airworthy" according to air safety…...
Southwest Airlines Value Chain Analysis
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Southwest Airlines (SWA) is consistent in their culture, business model, and customer interactions and engagement, all collectively reducing costs and enabling their point-to-point, efficient, low cost, friendly service. Their culture favors personal connection, community, recognition, support, and love. This “luv” has been the central theme of SWA for decades, especially with regard to their customer interactions. Luv fortifies the SWA value chain, spanning across corporate vision, operations, marketing, cost control, people, and corporate culture, thus creating value in reducing costs…...
An Analysis of Organisational Culture
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1 Background of Southwest Airlines Southwest Airlines is a major American airline and pioneer in low-fare air transportation in the world, based in Dallas, Texas. Southwest Airlines is known for its low prices and no-frills service. Based on the U.S. Department of Transportation’s most recent data, Southwest is the nation's largest carrier in terms of boarding domestic passengers. (Southwest Airlines, 2014) Southwest Airlines was founded in 1967 by Rolling King and Herb Kelleher. It started its operation in 1971 covering…...
JetBlue Airways: Starting from Scratch
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Before David Neeleman’s non-compete agreement with Southwest Airlines expired, he envisioned the concept of starting a low-fare airline that would combine common sense, innovation, and technology and bring the humanity back into air travel (Gittel & O’Reilly, 2001). In 1998, JetBlue was born. In order for David to fulfill his goal of a “do-it-right” kind of airline, he needed to recruit superior industry veterans who were willing to start from scratch and place an emphasis on employees and customers. Each…...
JetBlue Airways Case
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Problem Identification Presently, David Barger, former COO elected CEO of JetBlue Airways (JetBlue), faces a key issue of slowing down their growth. The issue at hand is: What is the best path for JetBlue slow down their growth in the future airline industry? External Analysis Macro Economics Analysis For an analysis of the Macro Economics of the JetBlue, a PESTEL analysis is shown below for the United States. PESTEL Analysis Political: N/A Economic: The United Sates was hit hard economically…...
Environmental Analysis: Southwest Airlines
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INTRO Southwest Airlines Co. started its operations in 1971 and has actually been serving the industry for the past 43 years now (Southwest Airlines, n.d.). It is the major domestic airline, and ranked number one in 2014 by the Bureau of Transportation Stats (United States Department of Transport, 2014). Back in 1971 the airline started its services in Texas in the cities of Houston, San Antonio, and Dallas. The business has actually been ranked as the nation's biggest low cost…...
Southwest Airline (case Study)
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Southwest started its service in 1971. It becomes famous by using its pricing strategy of cheap fares backed by seriously controlling costs. The central business of Southwest is the short-haul domestic route. The airplanes of Southwest are always on time which make the customers very delighted. Southwest Airlines¡¯ used market penetration pricing strategy with low-fare, no frills, low cost service on relatively short flights. Moreover, it also provides benefits to customers such as simple scheduling, ticketless travel, and point-to-point service.…...
Economics and rivalry in it
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Southwest Airlines begins a “ Bags Fly Free” campaign, charging no fees for a first and second checked bag. Does this situation best represent producer– producer rivalry, consumer– consumer rivalry, or consumer– producer rivalry? Explain. Southwest Airlines “Bags Fly Free” best represent producer-producer rivalry. Consumers have so many different choices of airlines they can choose and generally most of us would like to get the most out of our money on our flights. Producer such as Southwest wants to win…...
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