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Introduction
The airline industry is an area facing immense competition and with high fuel and maintenance
costs, the margins in this industry are proportionately very low. As a result of this it is an area
undergoing constant consolidation through a number of mergers and acquisitions. This means
every airline is fighting tooth and nail to stay afloat and not go bankrupt, yet at the same time
they need to find a method to create competencies for itself. On the basis of this it would create
competitive advantages for itself and become a market leader.
Southwest has been the most successful airline in the United States for 36 years, making it
possible for customers to take advantage of convenient and affordable traveling. It began with
only three aircraft flying to Dallas, Houston and San Antonio, and today it is the largest domestic
carrier operating more than 400 jets to 63 cities. Southwest Airlines Company is an American
low-cost airline. Southwest is the largest airline in the world by number of passengers carried per
year (as of 2007).Southwest, the 6th largest U.S. airline by revenue, maintains the third-largest
passenger fleet of aircraft among all of the world's commercial airlines. Southwest is
headquartered at 2702 Love Field Drive in the Love Field area of Dallas, Texas, adjacent to Love
Field airport.
The Mission of Southwest Airlines is “dedication to the highest quality of Customer Service
delivered with sense of warmth, friendliness, individual pride, and Company Spirit”
Southwest air line is very keen to out source but they says that
* Competitive Advantage:
- Cost, cycle time, quality, performance, and flexibility
* Vulnerability:
- Supply interruption, cost increase, quality, and performance
Competitive advantages
Southwest Airlines' successful and profitable business model has been driven by
several strategies:
By Maintain:
o Low Costs
o Dedication to Employees
o Focus on Customers
SOUTHWEST AIRLINES
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References
- Southwest Airlines - Wikipedia, the free encyclopedia.htm
- Southwest Airlines - Using Human Resources For Competitive Advantage - Research Paper - Vinton
Brown.htm
- Management 4th Edition - Building Competitive Advantage.htm