With 40 consecutive years of profitability, Dallas-based Southwest Airlines (NYSE: LUV) continues to differentiate itself from other carriers with exemplary Customer Service delivered by nearly 46,000 Employees to more than 100 million Customers annually. On May 2, 2011, Southwest completed the acquisition of AirTran Holdings, Inc., and now operates AirTran Airways as a wholly-owned subsidiary. Southwest is the nation’s largest carrier in terms of originating domestic passengers boarded and, including AirTran, operates the largest fleet of Boeing aircraft in the world to serve 96 destinations in 41 states, the District of Columbia, the Commonwealth of Puerto Rico, and five near-international countries. Southwest has lower unit costs (adjusted for stage length), on average, than virtually all major domestic airlines and consistently has one of the best overall Customer Service records. Southwest’s all-Boeing fleet consistently offers leather seating and the comfort of full-size cabins. The majority of Southwest’s fleet is equipped with a new, eco-friendly cabin interior, and satellite-based WiFi connectivity, including a new inflight entertainment portal, which gives Customers the ability to watch live TV, news, sports, and movies.
Southwest Airlines Co. (NYSE: LUV) is an American low-cost airline. The airline has its headquarters on the grounds of Dallas Love Field in Dallas, Texas.
Southwest is the largest airline in the world by number of passengers carried per year (as of 2009) Southwest maintains the third-largest passenger fleet of aircraft among all of the world's commercial airlines. As of May 3, 2009, Southwest operates approximately 3,510 flights daily.
Southwest Airlines has carried more passengers than any other U.S. airline since August 2006 for combined domestic and international passengers according to the U.S. Department of Transportation's Bureau of Transportation Statistics. Southwest Airlines is one of the world’s most profitable airlines, posting a profit for the 37th consecutive year in January 2010.
Southwest Airlines Co. (NYSE: LUV) is an American low-cost airline. The airline has its headquarters on the grounds of Dallas Love Field in Dallas, Texas.
Southwest is the largest airline in the world by number of passengers carried per year (as of 2009) Southwest maintains the third-largest passenger fleet of aircraft among all of the world's commercial airlines. As of May 3, 2009, Southwest operates approximately 3,510 flights daily.
Southwest Airlines has carried more passengers than any other U.S. airline since August 2006 for combined domestic and international passengers according to the U.S. Department of Transportation's Bureau of Transportation Statistics. Southwest Airlines is one of the world’s most profitable airlines, posting a profit for the 37th consecutive year in January 2010.
This presentation encompasses the classic case study of Southwest Airlines, USA.
Explaining why they have been so successful even in recession period.
It is a part of case-study based lectures at Symbiosis Institute of Business Management, Bangalore.
Southwest Airlines in 2014: Culture, Values, and Operating PracticesTran Thang
This Presentation answer these questions:
1. Is there anything that you find particularly impressive about Southwest Airlines?
2. What grade would you give Southwest management for the job it has done in crafting the company’s strategy? What is it that you like or dislike about the strategy? Does Southwest have a winning strategy?
3. What are the key policies, procedures, operating practices, and core values underlying Southwest’s efforts to implement and execute its low-cost/no frills strategy?
4. What are the key elements of Southwest’s culture? Is Southwest a strong culture company? Why or why not?
5. What grade would you give Southwest management for the job it has done in implementing and executing the company’s strategy? Which of Southwest’s strategy execution approaches and operating practices do you believe have been most crucial in accounting for the success that Southwest has enjoyed in executing its strategy? Are there any policies, procedures, and operating approaches at Southwest that you disapprove of
or that are not working well?
6. What weaknesses or problems do you see at Southwest Airlines as of mid-2014?
7. Do you approve of the AirTran acquisition and the way that Southwest has gone about integrating AirTran
into its operations? Is the integration taking too long? Why go so slow?
Southwest Airlines in 2014: Culture, Values, and Operating Practices (CASE)Tran Thang
In 2014, Southwest Airlines was the market share leader in domestic air travel in the United States; it transported more passengers from U.S. airports to U.S. destinations than any other airline, and it offered more regularly scheduled domestic flights than any other airline. Southwest also had the enviable
distinction of being the only major air carrier in the United States that was consistently profitable, having reported a profit every year since 1973.
Critically discuss the external and internal forces or challenges that Air Asia has to deal with.
Evaluate the existing strategy of Air Asia
Discuss Air Asia’s strategy to develop their business in future.
7Ps of marketing are essential part of strategy implementation of any company.Airline industry clearly fits in 7P's of marketing as it includes product and services.For more contact http://myassignmentexpert.com
This presentation encompasses the classic case study of Southwest Airlines, USA.
Explaining why they have been so successful even in recession period.
It is a part of case-study based lectures at Symbiosis Institute of Business Management, Bangalore.
Southwest Airlines in 2014: Culture, Values, and Operating PracticesTran Thang
This Presentation answer these questions:
1. Is there anything that you find particularly impressive about Southwest Airlines?
2. What grade would you give Southwest management for the job it has done in crafting the company’s strategy? What is it that you like or dislike about the strategy? Does Southwest have a winning strategy?
3. What are the key policies, procedures, operating practices, and core values underlying Southwest’s efforts to implement and execute its low-cost/no frills strategy?
4. What are the key elements of Southwest’s culture? Is Southwest a strong culture company? Why or why not?
5. What grade would you give Southwest management for the job it has done in implementing and executing the company’s strategy? Which of Southwest’s strategy execution approaches and operating practices do you believe have been most crucial in accounting for the success that Southwest has enjoyed in executing its strategy? Are there any policies, procedures, and operating approaches at Southwest that you disapprove of
or that are not working well?
6. What weaknesses or problems do you see at Southwest Airlines as of mid-2014?
7. Do you approve of the AirTran acquisition and the way that Southwest has gone about integrating AirTran
into its operations? Is the integration taking too long? Why go so slow?
Southwest Airlines in 2014: Culture, Values, and Operating Practices (CASE)Tran Thang
In 2014, Southwest Airlines was the market share leader in domestic air travel in the United States; it transported more passengers from U.S. airports to U.S. destinations than any other airline, and it offered more regularly scheduled domestic flights than any other airline. Southwest also had the enviable
distinction of being the only major air carrier in the United States that was consistently profitable, having reported a profit every year since 1973.
Critically discuss the external and internal forces or challenges that Air Asia has to deal with.
Evaluate the existing strategy of Air Asia
Discuss Air Asia’s strategy to develop their business in future.
7Ps of marketing are essential part of strategy implementation of any company.Airline industry clearly fits in 7P's of marketing as it includes product and services.For more contact http://myassignmentexpert.com
This presentation will help u understand the changes that the top management of Southwest Airlines had to take in order to stay competitive after various changes in the industry.
CASE STUDY
Content of research
Data required and obtained
INTRODUCTION&HISTORY
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“This life is what you make it. No matter what, you're going to mess up sometimes, it's a universal truth. But the good part is you get to decide how you're going to mess it up. Girls will be your friends - they'll act like it anyway. But just remember, some come, some go. The ones that stay with you through everything - they're your true best friends. Don't let go of them. Also remember, sisters make the best friends in the world. As for lovers, well, they'll come and go too. And baby, I hate to say it, most of them - actually pretty much all of them are going to break your heart, but you can't give up because if you give up, you'll never find your soulmate. You'll never find that half who makes you whole and that goes for everything. Just because you fail once, doesn't mean you're gonna fail at everything. Keep trying, hold on, and always, always, always believe in yourself, because if you don't, then who will, sweetie? So keep your head high, keep your chin up, and most importantly, keep smiling, because life's a beautiful thing and there's so much to smile about.”
Prince William and Kate Middleton have been pronounced husband and wife at Westminister Abbey in London. The Duke and Duchess of Cambridge, as they will now be known, made their vows in front of 1,900 guests and the eyes of the world.
All eyes were on the bride as she made her way towards the abbey. She showed few signs of nerves, smiling and waving at the crowds from her limousine and sat next to her father, Michael. The bride opted for a simple creation by Sarah Burton at Alexander McQueen with lace sleeves, a swagged train and a fine veil of chantilly lace. According to Buckingham Palace the dress "epitomises timeless British craftsmanship by drawing together talented and skilled workmanship from across the United Kingdom".
Flanked by her sister and maid of honour, Pippa Middleton, who was wearing a long, cream silk gown, the bride was also accompanied by young bridesmaids Eliza Lopes, Grace van Cutsem, Louise Mountbatten-Windsor, and Margarita Armstrong-Jones, and pageboys Tom Pettifer and William Lowther-Pinkerton.
Prince William stood next to his brother, Prince Harry, and as his girlfriend of 10 years joined him at the altar the heir to the throne broke into a smile. Kate's mother, Carole Middleton, wearing a fitted blue-grey Catherine Walker outfit, looked on with pride.
The wedding ceremony passed without hitch, with the only moment of tension provided as Prince William struggled to put the ring, fashioned from Welsh gold given to Prince William by the Queen, on his bride's finger.
After the vows Rowan Williams, the archbishop of Canterbury, declared: "I pronounce that they be man and wife together, in the name of the father, and of the son, and of the Holy Ghost. Amen."
In a prayer, written by the couple for the occasion, they said: "God our father, we thank you for our families; for the love that we share and for the joy of our marriage."
As the couple left Westminster Abbey the crowds, some of whom had been camping for days for the moment, erupted into a fresh wave of cheers as they climbed into state landau carriages for the horse-drawn procession to Buckingham Palace. The married couple waved at crowds as they passed the crowds via Parliament Square, Whitehall, Horse Guards and the Mall. Despite fears of thundery showers, threatening grey skies produced no rain.
The couple joined the Queen who is giving a lunchtime reception at Buckingham Palace for 650 guests, described by the palace as "a private gathering for guests drawn from the congregation who will represent the couple's official and private lives".
At just before 1.30pm William and Kate kissed for the first time in public on the balcony of Buckingham Palace. The fleeting embrace sent the already ecstatic crowds wild, and was repeated during a flypast.
After more than five minutes of waving to the crowds, the couple walked hand in hand back through the doors of the palace. Earlier, stepping on to the balcony, Kate appeared to gasp "Oh my" as th
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As an Army veteran dedicated to lifelong learning, I bring a disciplined, strategic mindset to my pursuits. I am constantly expanding my knowledge to innovate and lead effectively. My journey is driven by a commitment to excellence, and to make a meaningful impact in the world.
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3. Market
• Southwest Airlines Started as an intra-state operator
in the state of Texas in 1971
• Short haul, high frequency, low cost strategy, and point to
point route system
• In 1994 southwest held 4.4 Market Share%
• Southwest
• Make the expansion to become a major carrier
• Lowest operating cost in the domestic airline industry
• Low cost philosophy survived, a severe price war
4. • US passenger airlines into 3 categories
• Major Carrier
• annual revenue 1billion; 95% domestic passengers
carried
• 80% all major carrier domestic
• National Carrier
• annual revenue 100million-1billion
• Regional and Commuter Carrier
• annual revenue less than 100million
• In 1978, the United States had 36 domestic carriers
• The major carriers adopted the hub-and-spoke route
system
•
5. Estimated Market Share for Major U.S. Carriers in
1994 Based on Revenue Passenger
Rating
Carrier
Market Share %
1
United Airlines
22.1
2
American Airlines
20.2
3
Delta Airlines
17.6
4
Northwest Airlines
11.8
5
Continental Airlines
8.5
6
USAir
7.8
7
Trans World Airlines
5.1
8
Southwest Airlines
4.4
9
American West Airlines
2.5
Source: Southwest Airlines company records. Firgures rounded
6. Market Share %
4.4
2.5
5.1
22.1
1 United Airlines
7.8
2 American Airlines
3 Delta Airlines
4 Northwest Airlines
8.5
5 Continental Airlines
6 USAir
7 Trans World Airlines
20.2
11.8
8 Southwest Airlines
9 American West Airlines
17.6
7. • Major carriers turned their attention
– Long haul routes
• As major carriers pruned or reduced service
on these short-haul routes
– Regional carriers and New airlines filled the void
8. • Mergers and acquisitions mergers in the
1980’s
• Eight Airlines controlled 91% of U.S traffic
causing them to be fragile
• Price competition- due to deregulation price
competition
9. • In 1994, 92% of airline passengers bought
their tickets at a discount
• on average just 35% of the posted full fare
10. • Customer Service
– sense of humor in our workers
– the compassion for passengers and coworkers
– desire to work
• in 1994 we were awarded the triple crown of the
airline industry for the third consecutive
– time performance
– baggage handling
– overall customer satisfaction
11.
12. Problem Statement
Southwest Airlines strategy to respond to United
Airlines unexpected news that “Shuttle By
United” will make changes in their services and
prices strategies. “We’re going to match
Southwest” strategies? United’s decision to
increase all 14 “Shuttle By United” fares by $10.
Furthermore, suspend service between
Oakland-Ontario, beginning in April. Can we gain
Market Share with these actions?
13. Relevant Criteria
1. Increase Market Share in the Major U.S.
Airline Carriers market.
2. Move from maturity-saturation stage to
repositioning initial strategies.
3. Continue low-fare carrier image.
4. Create Brand Loyalty with current customers.
14. Alternative Strategies
• Match United by having Shuttle to increase
profits from the extra money per ticket as the
main competitors in the market will remain
the same and at the same price.
15. Alternative Strategies
• Adjust their prices by a different amount to
stay competitive while keeping an increase in
profit. Creating an increase in ticket price by a
smaller amount than Shuttle by United they
have an increase in profit and offer a better
price than their competitor
17. Assumptions
• “Ticketless”/ “electronic ticketing” system that
Southwest Airlines has currently scheduled to
go nationwide January 31
• Southwest doesn’t need to go as low as
United, due to their capitalization on
customer service
18. Assumptions
• Southwest would gain market share for
United’s discontinued service for OaklandOntario, CA
• Strategy also wouldn’t hinder the
advertising, sales, promotion, and scheduling
matters pertaining to the start of the
scheduled service to Omaha, Nebraska
19. Comparative Advantages
(Southwest vs. United Airlines)
High customer preference
Lower cost and higher efficiency
Well established image
Cost Per Available Seat Mile
20. A common unit of measurement used to compare the efficiency of
various airlines. It is obtained by dividing the operating costs of an
airline by available seat miles (ASM). Generally, the lower the
.
CASM, the more profitable and efficient the airline
0.09
0.08
0.07
0.06
0.05
0.04
0.03
0.02
0.01
0
0.1050
$0.070800
Series1
21.
22. Comparison
SWA Price Increase to $8 vs. SBU Fare Increase to $10 with Discontinuing of Oakland-Ontario Route
Projection 1995 1th Quarter Operating Results
$1,800,000
$1,551,709
$1,600,000
$1,400,000
$1,200,000
$1,000,000
$800,000
Series1
$600,000
$400,000
$200,000
$193,340
$SWA
SBU
23. Final Decision
According to analysis above, by not matching
United Airline's $10 per ticket fare
increases, instead an increase of $8 per ticket
fare keeping Southwest Airline's "Lowest fare
Airline". Southwest will be able to capture
more customers from United Airline's
discontinued Oakland-Ontario route. Gain
market share in the US markets.
24. In conclusion,
• Southwest should not match United's fare
increase of $10, but increase their fares to $8.
• Southwest should market its Low Fare
Strategy in West Coast Markets.
• Continue to improve its Customer Service
record.