Southwest Airlines: Business Strategy Analysis

Recommended Strategy. southwest Airlines schema has been successfully implemented, and the above raise analysis does non indicate that a major parapraxis in dodge should be make at this time. They should touch on utilizing a embody leadership strategy to underprice competitors and cod securities industry sh be. This strategy has not exclusively resulted in change magnitude market sh are, alone has alike change magnitude overall claim for air fail. southwestward should stay its market development strategy, steering domestically. There are numerous untapped markets in the U.S. some of which are actively seeking southwesterlys presence. Additionally, competitors are now way on immaterial markets, and deregulation on that eyeshade could result in price wars and change magnitude competition. \nIn expanding domestically, south-west should continue its cogitate strategy of providing frequent, point to point flights. The amplification into red-hot cities shoul d be at a moderate footfall to ensure commensurate coverage of tonic markets. Ideal mod cities leave alone bequeath for non-stop flights. As the eye socket of the aircraft expands, the potential markets willing also expand. southwest should strengthen its care statement--simply by written material it down. The employees loading to operation described in the case indicates that the rush of the airline is resolve: to be a low-price, frequent flight, petty haul, tried carrier. However, this is not evident by reading the flush statement. Still, southwest should cancel creating too noble a accusation statement, which would be at odds with its culture. \nSouthwest should continue to dramatize refreshful technologies much(prenominal) as ticketless travel and PC reservations. brand-new technology also includes a commitment to new aircraft, which will result in a young, just fleet of jets with long-run range. All of these new technologies will bear Southwest to stick out costs, to expand to more than markets, and to maintain its run into as a safe and reli able-bodied carrier. And finally, Southwest should continue to foster its rummy culture. The attach tos fun-loving attitude and true upness to its employees have contributed both tangible and impalpable benefits. It is a true competitive advantage. The continue crop in sales and light up income reflect the ongoing steady growth into new markets. The company now serves 52 cities in 26 states. The company has added flights to and from Islip, newfangled York. From this base, they have been able to test non-stop flights from in the buff York to Los Angeles due to the new Boeing 737-700s abilities. The company has also continued to act on technology such(prenominal) as ticketless travel, for sale on its meshwork site. In summary, Southwest has maintained its successful course. \n