The Globalization Of Southwest Airlines

Southwest Airlines Co., established in 1971 by Rollin King and Herb Kelleher, began its operations with only three Boeing 737 aircrafts. It is headquartered in Dallas, Texas(Hawkins, Misra, & Tang, 2012). Southwest is well known as one of the largest low-cost carriers. With this strategy, the company has dramatically grown up and deeply rooted in the US airline industry. Now, Southwest Airlines Co. operates 633 aircrafts to 93 domestic cities and the highest number of passengers used Southwest Airlines to fly around U.S in Jan 2014 (Hawkins, Misra, & Tang, 2012). To accomplish more than 40th consecutive years of both profitability and competitiveness, Southwest Airlines Company is constantly trying to find the routes to differentiate itself from other domestic carriers (Hawkins, Misra, & Tang, 2012).

Southwest Airlines has been making changes over the past few years that helped them become the largest low-cost carrier in the United States. Most other airlines have been struggling to make it through this economy, but Southwest has found a way to thrive. The airline has dropped their prices and eliminated fees for extras that have allowed them to fill up most flights. One cost they continue to struggle with is offsetting the increasing fuel prices. This has caused some airlines to merge or sell the company to competitors.

Southwest Airlines Co. is an airline company that offers air transportation services within the United States and in international markets. The company operates within the airline industry that is highly regulated, technology intensive, labor intensive, and highly competitive (Southwest Airlines, 2017). Southwest Airlines operates a service business whereby the company offers a point to point air transport service to its passengers. Other than passenger transport, the company offers transportation services for pets and unaccompanied minors. The flights offered include short haul and long haul between various destinations within the United States and internationally. In 2016, the company’s operating revenues from international operations amounted to $383 million. A unique feature of the Southwest Airlines is its cost structure whereby the company focuses on cost discipline and uses one aircraft type to minimize costs.

Southwest Airlines is a major US airline established in 1967 that services a multitude of cities in all 50 states and beyond. The company is known for its outstanding quality in providing services and it 's cost effective ticket prices to its many passengers throughout the nation. This airline is based in the southwestern United States, in the city of Dallas Texas, and due to the tremendous number of airplanes that it has and the timely service that it provides to its passengers, this airline services more US passengers than any other airline. This airline also has the largest fleet of planes of any economical or low-cost airline service in the world and employees more than 45,000.

It would bring in more customers and the customers that have flown before will probably fly again. Employees love spending time on the airplane talking to the customers. Customers like employees who make them feel safe or a person who is fun to talk to. Capacity is another thing that will affect the company. Even though there are more people coming in, Southwest Airlines will have to have more plane to transport people. If they do not, things will fall down. Second, it is the time management; because if the company is slow, they would go to another airplane company. Some companies take forever to get their flyers abroad. They get all of their flyers abroad quicker than some others even though Southwest Airlines is a larger company. Southwest Airlines either avoid canceling people tickets besides the weather or they change tickets to another flight quicker. When people accidently put the wrong place, Southwest Airlines can change it quickly unlike some other

Southwest Airlines Co. began its operations in 1971 and has been serving the industry for the past 43 years now (Southwest Airlines, n.d.). It is the major domestic airline, and ranked number one in 2014 by the Bureau of Transportation Statistics (United States Department of Transportation, 2014). Back in 1971 the airline began its services in Texas in the cities of Houston, San Antonio, and Dallas. The company has been ranked as the nation's largest low cost carrier (Mergent, 2012). It offers the lowest fares, and has the lowest cost structure in the industry.

Even though, the business environment is highly competitive that does not stop Southwest Airlines to grow until recording its 43rd consecutive year of profit at the end of 2015. It is a profitable company that people should be interested in as they have returned $4.3 billion in dividends and share repurchases, that means the company has a lot of cash in hand it can use to improve its service to be more

Southwest Airlines uses market development, advertising, and integration strategies at the corporate level. For their market development strategy, they acquired slots in Long Beach, California, and flights resumed between the United States and Cuba. Southwest acted quickly to these opportunities and launched services to Long Beach Airport, Varadero, Cuba, Havana, Cuba; and Santa Clara, Cuba. Now, Southwest serves Long Beach with short-haul flights in California and Cuba from Ft. Lauderdale and Tampa. They also launched service from Los Angeles International Airport to Cancun, Puerto Vallarta, and Los Cabos, Mexico. Additional routes and frequencies within their existing network rounded out the balance of their expansion in 2016.

When on vacation, the first people you deal with are the airline companies, yes this is the dreaded trip to the airport. Way to often people have their happy vacations ruined by inconsistent and unreliable customer service, making them late for flights because of long lines, slow service, and unreliable technology that is difficult to use. However, Southwest airlines is one company that is standing out above all others. Known for their outstanding customer service and “Bags Fly Free” campaign, Southwest has held their ground against rising prices in airline travel and continued to expand its reaches while at the same time attracting many satisfied customers. Southwest Airlines was founded on June 18, 1971 by Rollen King and Herb Kellener. The very same year, Southwest began its flights servicing Dallas, Houston, and San Antonio. Southwest quickly climbed the ranks within airline the industry and became the fifth largest US air carrier by 1998, carrying an average of 50 million passengers a year across the United States. From then on, Southwest soared above the rest of the mid-range air carriers, and continues to do so to this day. Southwest quickly became known for its innovation when it comes to customer service and satisfaction, and it is still well known today for its simple and convenient customer service. Southwest has also been deeply involved when it comes to their social responsibilities, taking action to be ecofriendly whenever, and wherever possible. (Avstop)

Currently, Southwest does not serve any destinations outside the United States, but it is planning to begin international services or ticket international flights in 2009 (Wikipedia, 2008). The company has established a code sharing partnership with just a single airline on the USA market – ATA Airlines, and the plans of international expansion were partially based on this partnership. However, in March 2008, ATA Airlines declared bankruptcy and filed for Chapter 11 protection after it lost a key military charter contract in the middle of skyrocketing fuel prices, leaving Southwest Airlines alone (Dance, 2008).

Technology is growing rapidly since the early 90’s and a lot has changed in the marketing sector on how businesses operate. The internet has made it possible for businesses to market their products and services through digital channels. According to Smallwood, (2016). “The way people connect, communicate, and share information online has evolved in ways unimaginable just a generation ago, yet from a marketer 's perspective the biggest change may be in the amount of information suddenly available.” Through digital media consumers are able to associate themselves with the products and services that are rendered. The three organizations I have seen advertised; that have specifically focused on digital media to market its products and or services are, Southwest Airline, John Foy & Associates, and the Coca-Cola Company.

Southwest Airlines has effectively used a variety of promotional elements in its integrated marketing communications, making it one of America’s largest airlines with 3,300 flights a day to 72 domestic cities. Southwest Airlines has used all four possible elements of the promotion mix: advertising, public relations, personal selling, and sales promotion, but has focused primarily on advertising and public relations to add value to the product offered to customers. Its focus on advertising and public relations is directly related to its large size and it’s nationwide reach. Also, advertising and public relations are the

This case analysis is an overview of Southwest Airlines which will explore its history in brief and timeline. Southwest Airlines is currently a major airline in the United States domestic market, looking for growth and expansion opportunities. The focus of this paper is to review many aspects of strategic analysis that have an impact on Southwest Airlines; utilizing the SWOT, PESTEL, Porter’s Five Forces and Business Model Strategies methods of analysis. Lastly a recommendation will be presented for the firm on for the problem statement of expansion.

Southwest airlines could also extend their flights to further destinations and also operate in huge cities because they are mainly focusing in operating in mid-sized cities and secondary airports. The acquisition of AirTran is also a huge opportunity because Southwest Airline can gain knowledge and also acquire some of their core competencies. Southwest Airlines could learn a lot from them and implemented to their company to be more successful and gain more market share.

Southwest Airlines Company (Southwest Airlines or ‘the Company’ SWA) is a passenger airline that provides scheduled passenger and freight transportation services. The Company primarily provides scheduled services throughout the US and near-international markets. It is headquartered in Dallas, Texas and employs 48,000 people and serves over one hundred million customers annually (“Southwest,” 2015). Southwest Airlines has accumulated over forty years of revenue and is one of the supremely flown airlines in the United States of America (Dess, et al, 2014, p. C137). Recognized for dominating the national or domestic airline market, Southwest Airlines’ diligence has built an