Case Study Southwest
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Transcript of Case Study Southwest
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Southwest Airlines’ Mission Statement
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.
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Herbert (Herb) D. Kelleher Executive Chairman of the Board
SWA Board of Executives
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SWA Board of Executives
Gary C. Kelly Vice Chairman of the Board and Chief Executive Offic
er
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SWA Board of Executives
Colleen Barrett President
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In 2002, Southwest Airlines Emerges Into the New Generation With a New Corporate Log
o
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A Boeing 737-300 Aircraft in Southwest Airlines Historic Colors
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Southwest's New Paint Scheme
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SWA’s Strengths
1. Finacial Stability
2. Record of Developing Underutilized Airports
3. Outstanding Record of Customer Satisfaction
4. Excellent Employee Relations
5. Commitment to Community Involvement
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The Very First Advertisement in 1971
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Two new "airline-within-an-airline" competitors faced off against Southwest in 1994. While other carriers may offer low fares on a handful of routes, only Southwest Airlines offers low fares on every seat of every flight, to every city we serve.
Advertisement against
United Airlines in 1994
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Questions
1. At the beginning, what forces in the environment most effected Southwest Airlines, and what opportunity was Southwest founded to take advantage of?
Forces: 1) Litigation by Barniff and Texas International 2) CAB’s Jurisdiction to prevent competition in the state
Opportunity: To provide short – haul, intrastate service at a reduced fare on frequent flights to meet the needs of local travelers
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Questions
2. How would you chart the development of Southwest’s business – level strategy over time?
1971 Establishment1973 - Ten – Minute Turnaround
- Half – Price Fare- Premium Liquor Attached
1979 Expansion - An Interstate Airline- Houston – New Orleans
1989 Expansion into California1991 Expansion into Chicago1996 Expansion into Florida
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Questions
3. What kinds of dynamics characterize competition in the airline industry?แรงขบัเคล่ือนใดที่เป็นตัวกำ�หนดลักษณะก�รแขง่ขนัของอุตส�หกรรมก�รบนิ
1) Air Fare2) Service3) Flight’s Frequency and Punctuality4) Immediate Reaction of the Competitors
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Questions
4. What do you think the future holds for Southwest?
Optimistic:- Grow rapidly and stably within the United States- Become “World Wide Airline”- Get more online customers
Pessimistic:- Earning might be affected by oil price and terrorism- More competitors
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Quarterly Balance Sheet
2004
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Cities, States, and Airports
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www.southwest.com
Stop Searching. Start Traveling
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Welcome to SOUTHWEST AIRLINES SPIRIT® magazine online.
SOUTHWEST AIRLINES SPIRIT magazine blends energetic travel reporting with diverse, trend-charting topics from the worlds of business, technology, sports, culture, and the arts. Hip profiles of hot personalities in a variety of disciplines provide an irreverent counterpoint to the practical, life-enhancing insiders' guides assembled to serve both business and leisure travelers.