Wednesday, April 24, 2019

Southwest Airlines Case Study Example | Topics and Well Written Essays - 750 words - 1

Southwest Airlines - Case Study eccentricThe most impressive thing about SA is its depressed- constitute passportings for all of its routes in the market. In spite of its low cost, its services were excellent and flights were on schedule. When its checks assumed that SA will soon be out of business, the airline non except survived but also brandished and could multiply its fleets from three planes in 1971 to over 500 planes in 2010. It is the only career in the US to make consistent profits since 1973 due to its low operating cost and customer oriented services.Q. What grade would you give Southwest management for the job it has done in crafting the partnerships strategy? What is it that you like or dislike about the strategy? Does Southwest have a winning strategy?Certainly, the company deserves a top grade for its winning strategies that include customer rejoicing and keeping operational costs as low as possible. No airline can offer such a low-fare on all its routes unles s it knows how to reduce its operational cost without affecting customer services. It is praiseworthy that almost 74 percent of SAs revenues are earned through bookings at its website saving a dish out on booking agents (408).The company employed strategic thinking from the very beginning. For example, using Houston Hobby aerodrome instead of Houston Intercontinental Airport in 1972 was a strategic choice and its passenger traffic outlived the rival airlines almost immediately. It requires business acumen to cut fares from $26 to $13 in a single bias in 1973 on its San Antonio-Dallas flights to ascertain that not a single seat goes unoccupied ever (395). When Kelleher, the chief executive officer of SA stepped down in 2001, the company was firmly established earning revenues of $5.6 billion and over 30,000 employees on its payroll. Since its inception, the company continues to prosper and it is not a small feat that in these

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