Southwest Airlines Competition

828 WordsMay 15, 20064 Pages
According to Wikipedia, an online encyclopedia, Southwest Airlines is currently the third largest airline in the world, measured by the number of passengers carried. Total number of passengers that were carried in the year 2005 amounted to 77.7 million. They are behind American Airlines and Delta Air Lines. After the tragic September 11th incident, Southwest airlines remains as one of the only major airlines that are still profitable. After the September 11th attacks, Southwest Airline's 6 biggest competitors grounded 240 planes and laid off 70,000 people. Southwest kept every single person and plane flying. In fact, they have been so successful, even other airlines have started to copy their practices. One of the biggest reasons…show more content…
This posed a great threat to Southwest Airlines. Raising money to build such a railway proved difficult for Texas TGV Corporation. Southwest Airlines created legal barriers that halted the plan with the help of lobbyists. The state of Texas eventually decided that the company had not lived up to its promises and stopped the production. The opposition had then been crushed and no longer posed a problem to Southwest Airlines. In April, 2006, Southwest Airlines has announced their plans for expansion into the Washington Dulles International Airport. Their plan is to compete with the other budget carriers there such as Jetblue and AirTran Airways. United Airlines, one of the bigger airlines, will also be one of their competitors. Many believe that this move by Southwest Airlines was a defensive move after they saw other budget carriers start to take the passengers. They're trying to stop other budget carriers from expanding or starting up. Southwest airlines generally avoided the larger and more congested hub airports but they have gotten more aggressive in their competition with the larger airlines in recent years. Within the last two years, Southwest Airlines has started at hubs in both Pittsburgh and Philadelphia. Both hubs are also served by US
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