The document provides an overview of Southwest Airlines, including its history, operations, target markets, key success factors, and competitive position within the US airline industry. Southwest is the largest low-cost carrier in the US, with a focus on short-haul, point-to-point routes. It aims to provide safe, comfortable air travel at low prices. The airline's strengths include its low costs, operational efficiency, and customer service culture.

1. Just Plane Smart THE Low Fare Airline A SYMBOL OF FREEDOM THE FREEDOM TO FLY

3. WHO ARE WE? The Mission of Southwest Airlines To provide safe and comfortable air transportation in commuter and short-haul markets, from close-in airports, at prices competitive with automobiles and buses and to involve customers and employees in the product and the process, making the airline a fun, profitable and quality experience. The Vision of Southwest Airlines Dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit.

7. Market Share (US Airline Industry)

8. Market Share – US Low Cost Career (LCC) Industry Southwest Airlines is, by far, the largest Low Cost Carrier in the US market

9. FRILLS FARES Fares and the level of Frills offered are the key differentiators between the Low Cost Carriers and the Full Service Airlines

10. FARES ONTIME On-time performance and fares are a key differentiator within the LCC industry

11. FARES DESTINATIONS Destinations covered do not come out as a major differentiator as can be seen from US Airways and Southwest.

12. FARES SERVICE Service = No. of Customer Complaints per 100,000 passengers 0.00 3.50 The level of service / passenger care, shown here in the form of number of customer complaints / 100,000 passengers, is also a key separator.

13. ONTIME SERVICE Service = No. of Customer Complaints per 100,000 passengers 0.00 3.50 Level of service / passenger care and on-time performance together give a much clearer picture.

14. ONTIME Plane Models Plane Models = No. of distinct Airplane Models in the fleet 1 10 2 The number of distinct plane models used in the fleet is also a key factor. Southwest is the only airline which uses only the Boeing 737 family of airplanes in it’s fleet.

15. DESTINATIONS SERVICE Service = No. of Customer Complaints per 100,000 passengers 0.00 3.50 This map further reinforces the weightage of Service / Passenger Care over Destinations covered.

16. KSF MATRIX The weights to the various KSFs and the relative score of the competitors bears out the large lead in Market Share that Southwest Airlines enjoys. SWA scores over the competition in all the critical KSFs. Key Success Factors Weightage Southwest US Air AirTran JetBlue Alaska Air ExpressJet Low Fares 30% 9 8 8 9 7 6 More Destinations 15% 5 9 5 5 6 7 Operational Efficiency 30% 9 7 8 7 7 7 Service 20% 9 6 5 5 5 6 Safety 5% 9 8 8 6 6 6 Score 100% 41 38 34 32 31 32 Weighted Score 8.4 7.45 6.95 6.85 6.4 6.4 Market Share 40.9% 14.5% 9.5% 8.2% 6.1% 6.0%

21. Strategic Options Filter Strategic Options KSFs LTO Strategic Competencies Vision / Mission Final Score 35% 25% 20% 20% S1, S2, S3, S4, S5, O1 Introducing new flights to non-US North American destinations 8 8 8 7 7.8 S2, S3, S4, O2 / S3, S4, T1 Increase number of destinations served 8 7 7 8 7.55 S3, S2, T2 Enter gate-sharing agreements in Major airports 6 6 6 7 6.2 W2, O2 / W2, T2, T1 Tie-up with full service airlines to serve international routes 7 5 8 6 6.5 W1, O1, O2 Provide last-mile connectivity to other LCCs from outside US 8 7 8 6 7.35

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