Southwest Airlines : Strategic Focus

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Southwest Airlines SWOT Established in 1967, Southwest Airlines Co. is a major United States Airlines. The company boasts being both the nation 's largest carrier in terms of “originating domestic passengers boarded” (para 2), but also as the title of largest global low cost airline carrier (Southwest Investor Relations, 2015). Not only does Southwest Airlines host flights to 95 various locations within the United States, the company also ensures safe travels to six additional countries outside of the United States (Southwest Investor Relations, 2015). With more than 3,600 flight departures daily, Southwest Airlines serves in excess of 100 million customers annually (Southwest Investor Relations, 2015). Strategic Focus Southwest…show more content…
Focusing primarily on efficiency as a critical component of the airline’s overall strategic focus enables Southwest Airlines to hold flight price points in a range which appeals to value minded consumers (Mouawad, 2010). Strengths Currently, Southwest Airlines is in the company’s 45th year of service (Southwest Investor Relations, 2015). Over the course of Southwest Airlines history, the company has establish strong branding with value minded consumers, of which the coined term the “Southwest Effect” is exemplary (US Department of Transportation, 1993). Additionally, Southwest Airlines offers the competitive advantage of being the singular United States Airline which does not charge a fee for the first two bags checked by customers (McGee, 2014). Furthermore, Southwest Airline’s existing economy of scale permits the airline to routinely offer nationwide sales events in which consumers are able to book flights at deeply discounted rates (McGee, 2014). Weakness In an effort to maintain value driven price points, Southwest Airlines does not offer flight all segmentations such as first class (Southwest, 2015) . The lack in accommodations for consumers seeking concierge, or higher end services, does not make Southwest Airlines an idle airline for all consumers. Moreover, the space which customers are provided inflight is minimalist, resulting in one of the top common consumer complaints regarding recent flights with Southwest Airlines pertaining to cramped
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