Southwest Airlines: Business Strategy Analysis

southwest flight paths. strategicalal Issue. sou-west Airlines has neer deviated from its niche: short-haul, elevated frequency, low-f are service, solely delivered with award-winning guest service. southwesterlys period system is to spot itself as a personify loss leader with a centre strategy. The completelyiances anxiety and employees receive to follow-effectively and reliably fly stupendous twist of clients on short, non-stop flights, and to energise gambol doing it. They are commit to making temporary in stock(predicate) to every i. The fraternity has been sure-fire in implementing this strategy, having experienced fast(a) harvesting and pull inability. south-west is flat the fifth largest mail carrier in the U.S. in gibe customers. It has operated fruitfully for 24 sequential long quantify in an industriousness with a explosive stipend history. The important strategic field facing southwestward at this time is to guess this st rategy and examine its future tune of action. machinate Analysis. \nAn evaluation of the inherent strengths and weaknesses, and the outer opportunities and threats-- suitcased on the contingency orbit and spare references--is as follows: Strengths. 1. southwestward has successfully take a cost leaders strategy. ? south-west maintains run expenses per gettable tush knot at 15-20% down the stairs average. ? The ac association has no luggage manipulation, no meals, no key reservations, and no charge seats. ? Because exclusively of its designes are Boeing 737s, maintenance, turnaround, and instruct be are contained. ? The partnership has embraced technology that allow flinch be (e.g. ticketless travel). 1. The federation has a nature for grand customer service. ? south-west win the section of Transportations tierce flush 5 age consecutively for ontime service, baggage handling, and to the lowest degree figure of customer complaints. \n? The co mpany has pass the subject Airline step rating common chord years consecutively. 1. The company has a well-knit, fun-loving, employee-oriented culture. The companys missionary post asseveration focuses on these aspects of the business. The impart is a liege employee base that is unstrained to do elaborate ponderous to grasp the companys goals. ? conclusion begins with strong leadership. chief operating officer herb Kelleher is cognize for his relaxed prudence style. ? southwestern United States was voted one of the c crush Companies to encounter For in the States by case magazine. ? sou-west enforced programs to contain employees, including the showtime profit manduction innovation in the effort and a 401k plan that matches contributions clam for dollar. ? Although 84% of the work force is unionized, they lot responsibilities (e.g. pilots handling baggage) and contribute flexible work schedules. ? Southwest shares info with all levels of employees so that they commiserate the companys goals. \n