Southwest Airlines in 2016 case questions.Case Study Report’s Format

Southwest Airlines in 2016
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Southwest Airlines in 2016
If there is a company in the world that captures the true definition of consistency, it is Southwest Airlines. Southwest Airlines is a company that continues to redefine the airline industry. Its moves all over the world and especially in the United States have earned it a loyal workforce with the goal of giving their best to their clientele. The company is considered to have coined the term Transfarency which mainly describes “its purposed philosophy of treating customers honestly and fairly, and low fares actually staying low.” Everyone associated with Southwest Airlines appears happy including its shareholders who continue to smile as the company repeatedly returns billions of dollars to them every year. Through its management’s tenacity, wit, and the introduction of a generational culture of excellence, Southwest has managed to maintain its relevance in the airline industry for close to 5 decades.
Which one of the five generic competitive strategies discussed in Chapter 5 most closely approximates the competitive approach that Southwest is employing?
The five generic competitive strategies as discussed in Chapter 5 are mainly centered on product differentiation and cost. Southwest Airlines has managed to combine several of these strategies and make the best out of its situation. The airline mainly gets its competitiveness from the use of differentiation and low-cost strategies. Southwest Airlines has mastered the art of offering its clients up-to-par market services within the market prices. Its services are relatively low and this fits a lot of passengers who may not be able to afford other expensive airlines. Competition in the airline industry is quite high and with its cheap prices, Southwest Airlines has been able to remain competitive. Aside from its low-cost strategy, the company also makes use of differentiation strategy. This strategy means that a company introduces some strategies to produce or offer goods and services to customers in ways that are differentiated from their competition. Additionally, these companies consider how crucial these services are to customers. Southwest Airlines employs this strategy by asking its customers to pay low prices, have two free checked bags, no seat reservations. Apparently, with Southwest Airlines, you chose where to seat as you board the flight.
What are the key policies, practices, business principles, and procedures that underlie how Southwest management has implemented and executed the company’s strategy?
The company employs several policies, practices, business principles, and procedures. Some of the policies, practices, business principles and procedures employed at Southwest Airlines include the fact that the company only uses one type of aircraft. The use of one type of aircraft works to the advantage of the company because nothing goes to waste. This mean...